Diageo (FRA:GUI) Dividend Payout Ratio: 0.66 (As of Dec. 2025) — 14% Above Median


FRA:GUI Diageo PLC FRA:GUI
67 GF Score
Price €18.19
GF Value €27.76
Valuation Significantly Undervalued
! 5 Warning Signs
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What is Diageo Dividend Payout Ratio?

Diageo FRA:GUI +1.59% 67 Dividend Payout Ratio is 0.66 as of Dec. 2025, which is 14% above its 10-year median of 0.58. GuruFocus rates FRA:GUI with a GF Score™ of 67/100 and a GF Value™ of €27.76 (Significantly Undervalued). The stock has 5 warning signs investors should review. Among 118 Beverages - Alcoholic companies, Diageo ranks worse than 61.86% on this metric.

The Dividend Payout Ratio is the measure of dividends paid out to shareholders relative to the company's net income. It is calculated as the Dividends per Share divided by the Earnings per Share (Diluted) during the same time period. Diageo's Dividend Payout Ratio for the months ended in Dec. 2025 was 0.66.

The historical rank and industry rank for Diageo's Dividend Payout Ratio or its related term are showing as below:

FRA:GUI' s Dividend Payout Ratio Range Over the Past 10 Years
Min: 0.45   Med: 0.58   Max: 0.77
Current: 0.64

During the past 13 years, the highest Dividend Payout Ratio of Diageo was 0.77. The lowest was 0.45. And the median was 0.58.

FRA:GUI's Dividend Payout Ratio is ranked worse than
61.86% of 118 companies
in the Beverages - Alcoholic industry
Industry Median: 0.51 vs FRA:GUI: 0.64

As of today (2026-06-25), the Dividend Yield % of Diageo is 4.02%.

During the past 13 years, the highest Trailing Annual Dividend Yield of Diageo was 5.38%. The lowest was 1.69%. And the median was 2.39%.

Diageo's Dividends per Share for the months ended in Dec. 2025 was €0.54.

During the past 12 months, Diageo's average Dividends Per Share Growth Rate was -5.70% per year. During the past 3 years, the average Dividends Per Share Growth Rate was -2.90% per year. During the past 5 years, the average Dividends Per Share Growth Rate was 2.30% per year. During the past 10 years, the average Dividends Per Share Growth Rate was 3.00% per year.

During the past 13 years, the highest 3-Year average Dividends Per Share Growth Rate of Diageo was 20.50% per year. The lowest was -2.90% per year. And the median was 5.90% per year.

The growth rate is calculated with least square regression.

For more information regarding to dividend, please check our Dividend Page.

* Please note that "special dividend" is not included in the calculation of dividend per share and related fields.

Diageo (FRA:GUI) Dividend Payout Ratio Explanation

In dividends investing, Dividend Payout Ratio and Dividend Growth Rate are the two most important variables for consideration. A lower payout ratio may indicate that the company has more room to increase its dividends.

Diageo Dividend Payout Ratio Related Terms

Diageo Dividend Payout Ratio Historical Data

* Premium members only.

The historical data trend for Diageo's Dividend Payout Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Diageo Dividend Payout Ratio Chart

Diageo Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Dividend Payout Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.59 0.67 0.45 0.58 0.62

Diageo Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Dividend Payout Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.58 0.57 0.64 0.60 0.66

FRA:GUI vs BF.B: Dividend Payout Ratio Comparison

For the Beverages - Wineries & Distilleries subindustry, Diageo's Dividend Payout Ratio, along with its competitors' market caps and Dividend Payout Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Diageo Dividend Payout Ratio vs Beverages - Alcoholic Industry

For the Beverages - Alcoholic industry and Consumer Defensive sector, Diageo's Dividend Payout Ratio distribution charts can be found below:

* The bar in red indicates where Diageo's Dividend Payout Ratio falls into.


FRA:GUI
67GF Score
Diageo PLC FRA:GUI
Dividend Payout Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Diageo Dividend Payout Ratio Calculation

The Dividend Payout Ratio is the measure of dividends paid out to shareholders relative to the company's net income. It is calculated as the Dividends per Share divided by the Earnings per Share (Diluted) during the same time period.

Diageo's Dividend Payout Ratio for the fiscal year that ended in Jun. 2025 is calculated as

Dividend Payout Ratio=Dividends per Share (A: Jun. 2025 )/ EPS without NRI (A: Jun. 2025 )
=0.881/ 1.419
=0.62

Diageo's Dividend Payout Ratio for the quarter that ended in Dec. 2025 is calculated as

Dividend Payout Ratio=Dividends per Share (Q: Dec. 2025 )/ EPS without NRI (Q: Dec. 2025 )
=0.538/ 0.81
=0.66

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Dividend Payout Ratio →
What does a Dividend Payout Ratio of 0.66 mean?
Diageo (FRA:GUI) has a Dividend Payout Ratio of 0.66 as of Dec. 2025. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on Diageo and its competitors. This is 14% above median its historical median of 0.58. Over the past decade, Diageo's Dividend Payout Ratio has ranged from 0.45 to 0.77. According to the industry distribution chart, Diageo ranks #73 out of 118 companies in the Beverages - Alcoholic industry, placing it in the top 61.9%.
Is Diageo's Dividend Payout Ratio too high?
Diageo's current Dividend Payout Ratio of 0.66 is 14% above median its 10-year median of 0.58. Over the past 10 years, this metric has ranged from a low of 0.45 to a high of 0.77. The Beverages - Alcoholic industry median Dividend Payout Ratio is 0.51. Diageo's value of 0.66 is 29.4% above this industry median. Based on the distribution chart, Diageo ranks #73 out of 118 companies in the Beverages - Alcoholic industry, which is below the industry midpoint. Overall, Diageo has a GF Score™ of 67/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Diageo's Dividend Payout Ratio compare to BF.B?
According to the Beverages - Alcoholic industry distribution chart, Diageo ranks #73 out of 118 companies for Dividend Payout Ratio. This places Diageo in the lower half of its industry. The industry median Dividend Payout Ratio is 0.51. Diageo's value of 0.66 is 29.4% above this benchmark. Historically, Diageo's own Dividend Payout Ratio has ranged from 0.45 to 0.77 over the past decade. While the company's 10-year median is 0.58 vs. the industry median of 0.51, Diageo has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Dividend Payout Ratio for a Beverages - Alcoholic company?
The median Dividend Payout Ratio among Beverages - Alcoholic companies is 0.51, based on 118 companies in the industry. Companies in the top quartile (top 25%) have a Dividend Payout Ratio significantly above this median, while those in the bottom quartile fall well below. However, Dividend Payout Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Diageo's current Dividend Payout Ratio of 0.66 is 29.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Dividend Payout Ratio mean?
A high Dividend Payout Ratio can signal that a stock is expensive relative to its fundamentals. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on Diageo and its competitors. For the Beverages - Alcoholic industry, the median Dividend Payout Ratio is 0.51 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Diageo's current Dividend Payout Ratio is 0.66, which is 14% above median its own 10-year median of 0.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Diageo stock overvalued right now?
Based on GuruFocus' analysis, Diageo (FRA:GUI) is currently considered Significantly Undervalued. The stock's GF Value™ is €27.76, compared to a current price of €18.19 — trading 34.5% below its estimated fair value. The current Dividend Payout Ratio is 0.66, which is 14% above median its 10-year median of 0.58 and 29.4% above the Beverages - Alcoholic industry median of 0.51. Diageo's overall GF Score™ is 67/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Dividend Payout Ratio calculated?
Dividend Payout Ratio is calculated from a company's financial statements. For Diageo (FRA:GUI), the current Dividend Payout Ratio is 0.66 as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Diageo (FRA:GUI) Overvalued in 2026?

Based on GuruFocus' analysis, Diageo stock appears to be undervalued. The current stock price of €18.19 is trading 34.5% below its estimated GF Value™ of €27.76. GuruFocus considers Diageo to be Significantly Undervalued.

Key valuation signals for FRA:GUI:

  • Dividend Payout Ratio: 0.66 (14% above median its 10-year median of 0.58)
  • GF Value™: €27.76 vs. price of €18.19 (34.5% below fair value)
  • GF Score™: 67/100 with 5 warning signs
  • Industry Position: 29.4% above the Beverages - Alcoholic median (#73 of 118)

No single metric tells the full story. See the FRA:GUI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Diageo Business Description

Address 16 Great Marlborough Street, London, GBR, W1F 7HS
Formed in 1997 through the merger of Grand Metropolitan and Guinness, Diageo is the largest distiller globally by sales. Diageo acquired some of the Seagram assets in 2001, which gave it brands such as Captain Morgan rum and Crown Royal Canadian whisky. Since then, mergers and acquisitions have mostly been bolt-on in nature, plugging gaps in the company's product and geographic portfolio.
67GF Score

Get the complete analysis for FRA:GUI

Dividend Payout Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€18.19
Price
€27.76
GF Value