Yahoo Finance Kasikornbank Public Co Ltd's Dividend Analysis
Assessing the Sustainability of Kasikornbank Public Co Ltd's Upcoming Dividend
Kasikornbank Public Co Ltd (KPCPY) recently announced a dividend of $0.67 per share, payable on 2024-05-28, with the ex-dividend date set for 2024-04-22. 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 Kasikornbank Public Co Ltd's dividend performance and assess its sustainability.
What Does Kasikornbank Public Co Ltd Do?
This Powerful Chart Made Peter Lynch 29% A Year For 13 Years
How to calculate the intrinsic value of a stock?
Kasikornbank Public Co Ltd is a commercial bank operating in Thailand. The corporate business customers include public and private companies, government-backed enterprises or agencies, and financial institutions. The corporate business provides a variety of financial products and services such as loans, working capital, cash management, and value chain solutions. The retail business focuses on individual customers and offers loans and deposits, debit and credit cards, financial planning, and transactional banking services. The treasury and capital markets business includes funding, risk management, and foreign currency exchange services.
A Glimpse at Kasikornbank Public Co Ltd's Dividend History
Kasikornbank Public Co Ltd has maintained a consistent dividend payment record since 2011. Dividends are currently distributed on a bi-annual basis. Below is a chart showing annual Dividends Per Share for tracking historical trends.
Breaking Down Kasikornbank Public Co Ltd's Dividend Yield and Growth
As of today, Kasikornbank Public Co Ltd currently has a 12-month trailing dividend yield of 3.48% and a 12-month forward dividend yield of 5.40%. This suggests an expectation of increased dividend payments over the next 12 months.
Over the past three years, Kasikornbank Public Co Ltd's annual dividend growth rate was -3.90%. Extended to a five-year horizon, this rate increased to -2.90% per year. And over the past decade, Kasikornbank Public Co Ltd's annual dividends per share growth rate stands at 0.50%.
Based on Kasikornbank Public Co Ltd's dividend yield and five-year growth rate, the 5-year yield on cost of Kasikornbank Public Co Ltd stock as of today is approximately 3.00%.
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 2023-12-31, Kasikornbank Public Co Ltd's dividend payout ratio is 0.23.
Kasikornbank Public Co Ltd's profitability rank, offers an understanding of the company's earnings prowess relative to its peers. GuruFocus ranks Kasikornbank Public Co Ltd's profitability 6 out of 10 as of 2023-12-31, suggesting fair profitability. The company has reported positive net income for each 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. Kasikornbank Public Co Ltd's growth rank of 6 out of 10 suggests that the company has a fair growth outlook.
Revenue is the lifeblood of any company, and Kasikornbank Public Co Ltd's revenue per share, combined with the 3-year revenue growth rate, indicates a strong revenue model. Kasikornbank Public Co Ltd's revenue has increased by approximately 8.80% per year on average, a rate that outperforms approximately 59.07% 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, Kasikornbank Public Co Ltd's earnings increased by approximately 12.30% per year on average, a rate that outperforms approximately 48.88% of global competitors.
Lastly, the company's 5-year EBITDA growth rate of -0.40%, which outperforms approximately 19.98% of global competitors.
Next Steps
Considering Kasikornbank Public Co Ltd's dividend payments, dividend growth rate, payout ratio, profitability, and growth metrics, investors can be cautiously optimistic about the bank's ability to maintain its dividend in the near term. The bank's consistent dividend history, fair profitability, and positive growth outlook indicate a commitment to returning value to shareholders. However, it's important to note the slight decrease in dividend growth rates over the last few years. Investors should keep an eye on the bank's financial health and market position to ensure that dividends remain sustainable in the long run. For those seeking to expand their portfolio with dividend-paying stocks, GuruFocus Premium users can utilize the High Dividend Yield Screener to find potential investment opportunities.
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.
This article first appeared on GuruFocus.
