Insights into B3 SA - Brasil Bolsa Balcao's Upcoming Dividend
B3 SA - Brasil Bolsa Balcao (BOLSY, Financial) recently announced a dividend of $0.06 per share, payable on 2024-01-23, with the ex-dividend date set for 2024-01-04. As investors look forward to this upcoming payment, the spotlight also shines on the company's dividend history, yield, and growth rates. Using the data from GuruFocus, let's look into B3 SA - Brasil Bolsa Balcao's dividend performance and assess its sustainability.
What Does B3 SA - Brasil Bolsa Balcao Do?
B3 SA - Brasil Bolsa Balcao is a financial market exchange. Its services consist of trading, clearing, and other post-trade services. The company's activities are carried out through its trading systems and clearinghouses and include transactions with securities, interbank foreign exchange, and securities under custody in the special system for settlement and custody. It relies on technology to deliver its services.
A Glimpse at B3 SA - Brasil Bolsa Balcao's Dividend History
B3 SA - Brasil Bolsa Balcao has maintained a consistent dividend payment record since 2021. Dividends are currently distributed on a quarterly basis. Below is a chart showing annual Dividends Per Share for tracking historical trends.
Breaking Down B3 SA - Brasil Bolsa Balcao's Dividend Yield and Growth
As of today, B3 SA - Brasil Bolsa Balcao currently has a 12-month trailing dividend yield of 2.15% and a 12-month forward dividend yield of 2.63%. This suggests an expectation of increased dividend payments over the next 12 months.
Over the past three years, B3 SA - Brasil Bolsa Balcao's annual dividend growth rate was 7.80%. Extended to a five-year horizon, this rate increased to 28.30% per year. And over the past decade, B3 SA - Brasil Bolsa Balcao's annual dividends per share growth rate stands at an impressive 17.00%.
Based on B3 SA - Brasil Bolsa Balcao's dividend yield and five-year growth rate, the 5-year yield on cost of B3 SA - Brasil Bolsa Balcao stock as of today is approximately 7.47%.
The Sustainability Question: Payout Ratio and Profitability
To assess the sustainability of the dividend, one needs to evaluate the company's payout ratio. The dividend payout ratio provides insights into the portion of earnings the company distributes as dividends. A lower ratio suggests that the company retains a significant part of its earnings, thereby ensuring the availability of funds for future growth and unexpected downturns. As of 2023-09-30, B3 SA - Brasil Bolsa Balcao's dividend payout ratio is 0.53.
B3 SA - Brasil Bolsa Balcao's profitability rank, offers an understanding of the company's earnings prowess relative to its peers. GuruFocus ranks B3 SA - Brasil Bolsa Balcao's profitability 9 out of 10 as of 2023-09-30, suggesting good profitability prospects. The company has reported positive net income for each of year over the past decade, further solidifying its high profitability.
Growth Metrics: The Future Outlook
To ensure the sustainability of dividends, a company must have robust growth metrics. B3 SA - Brasil Bolsa Balcao's growth rank of 9 out of 10 suggests that the company's growth trajectory is good relative to its competitors.
Revenue is the lifeblood of any company, and B3 SA - Brasil Bolsa Balcao's revenue per share, combined with the 3-year revenue growth rate, indicates a strong revenue model. B3 SA - Brasil Bolsa Balcao's revenue has increased by approximately 18.90% per year on average, a rate that outperforms approximately 70.9% of global competitors.
The company's 3-year EPS growth rate showcases its capability to grow its earnings, a critical component for sustaining dividends in the long run. During the past three years, B3 SA - Brasil Bolsa Balcao's earnings increased by approximately 11.50% per year on average, a rate that outperforms approximately 49.47% of global competitors.
Lastly, the company's 5-year EBITDA growth rate of 29.00%, which outperforms approximately 80.05% of global competitors.
Concluding Thoughts on B3 SA - Brasil Bolsa Balcao's Dividend Prospects
Considering B3 SA - Brasil Bolsa Balcao's consistent dividend payments, a solid dividend growth rate, a reasonable payout ratio, robust profitability, and strong growth metrics, the company stands as a potentially attractive option for value investors focused on dividend income. The combination of these financial health indicators suggests that B3 SA - Brasil Bolsa Balcao is well-positioned to continue its dividend payments and possibly enhance them in the future. As investors weigh their options, B3 SA - Brasil Bolsa Balcao's financial resilience and growth prospects could make it a compelling addition to a dividend-focused portfolio.
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This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
