Yahoo Finance Klepierre's Dividend Analysis
Dissecting the Upcoming Dividend and Financial Health of Klepierre (KLPEF)
Klepierre (KLPEF) recently announced a dividend of $0.9 per share, payable on 2024-03-26, with the ex-dividend date set for 2024-03-22. 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 Klepierre's dividend performance and assess its sustainability.
What Does Klepierre Do?
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Klepierre is a French real estate company with a focus on the European retail property market. The company generates the vast majority of its revenue from the rents received from its shopping centres. The company also operates development, refurbishment, and extension programs in its shopping centres. By geography, most of the shopping centres are located in France and Belgium, with the others in Scandinavia, Italy, the Netherlands, Iberia, Germany, and elsewhere. Significant tenants include large retail companies.
A Glimpse at Klepierre's Dividend History
Klepierre has maintained a consistent dividend payment record since 2022. Dividends are currently distributed on a bi-annually basis. Below is a chart showing annual Dividends Per Share for tracking historical trends.
Breaking Down Klepierre's Dividend Yield and Growth
As of today, Klepierre currently has a 12-month trailing dividend yield of 7.19% and a 12-month forward dividend yield of 7.26%. This suggests an expectation of increased dividend payments over the next 12 months.
Over the past three years, Klepierre's annual dividend growth rate was -6.80%. Based on Klepierre's dividend yield and five-year growth rate, the 5-year yield on cost of Klepierre stock as of today is approximately 7.19%.
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 2023-06-30, Klepierre's dividend payout ratio is 3.46, which may suggest that the company's dividend may not be sustainable.
Klepierre's profitability rank, offers an understanding of the company's earnings prowess relative to its peers. GuruFocus ranks Klepierre's profitability 7 out of 10 as of 2023-06-30, suggesting good profitability prospects. The company has reported net profit in 9 years out of the past 10 years.
Growth Metrics: The Future Outlook
To ensure the sustainability of dividends, a company must have robust growth metrics. Klepierre's growth rank of 7 out of 10 suggests that the company's growth trajectory is good relative to its competitors.
Revenue is the lifeblood of any company, and Klepierre's revenue per share, combined with the 3-year revenue growth rate, indicates a strong revenue model. Klepierre's revenue has increased by approximately 5.70% per year on average, a rate that outperforms approximately 63.33% 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, Klepierre's earnings increased by approximately 1.20% per year on average, a rate that outperforms approximately 43.87% of global competitors.
Next Steps
Considering Klepierre's consistent dividend payments, dividend growth rate, payout ratio, profitability, and growth metrics, investors may find the company an attractive prospect for dividend income. However, the negative dividend growth rate and a payout ratio that may raise concerns about sustainability suggest that investors should monitor the company's financial health closely. With a robust profitability rank and strong growth metrics, Klepierre appears poised to maintain its dividend payments, but careful analysis of future financial statements will be crucial for investors seeking long-term income stability.
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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.
This article first appeared on GuruFocus.
