It looks like Jiangsu Sunshine Co., Ltd. (SHSE:600220) is about to go ex-dividend in the next couple of days. The ex-dividend date occurs one day before the record date which is the day on which shareholders need to be on the company's books in order to receive a dividend. It is important to be aware of the ex-dividend date because any trade on the stock needs to have been settled on or before the record date. Meaning, you will need to purchase Jiangsu Sunshine's shares before the 20th of July to receive the dividend, which will be paid on the 20th of July.
The company's next dividend payment will be CN¥0.02 per share, on the back of last year when the company paid a total of CN¥0.02 to shareholders. Last year's total dividend payments show that Jiangsu Sunshine has a trailing yield of 0.6% on the current share price of CN¥3.09. Dividends are an important source of income to many shareholders, but the health of the business is crucial to maintaining those dividends. As a result, readers should always check whether Jiangsu Sunshine has been able to grow its dividends, or if the dividend might be cut.
See our latest analysis for Jiangsu Sunshine
If a company pays out more in dividends than it earned, then the dividend might become unsustainable - hardly an ideal situation. Jiangsu Sunshine is paying out just 20% of its profit after tax, which is comfortably low and leaves plenty of breathing room in the case of adverse events. That said, even highly profitable companies sometimes might not generate enough cash to pay the dividend, which is why we should always check if the dividend is covered by cash flow. What's good is that dividends were well covered by free cash flow, with the company paying out 22% of its cash flow last year.
It's encouraging to see that the dividend is covered by both profit and cash flow. This generally suggests the dividend is sustainable, as long as earnings don't drop precipitously.
Click here to see how much of its profit Jiangsu Sunshine paid out over the last 12 months.
SHSE:600220 Historic Dividend July 18th 2022
Have Earnings And Dividends Been Growing?
Stocks in companies that generate sustainable earnings growth often make the best dividend prospects, as it is easier to lift the dividend when earnings are rising. If earnings fall far enough, the company could be forced to cut its dividend. With that in mind, we're encouraged by the steady growth at Jiangsu Sunshine, with earnings per share up 3.1% on average over the last five years. Jiangsu Sunshine is retaining more than three-quarters of its earnings and has a history of generating some growth in earnings. We think this is a reasonable combination.
The main way most investors will assess a company's dividend prospects is by checking the historical rate of dividend growth. Jiangsu Sunshine has seen its dividend decline 13% per annum on average over the past three years, which is not great to see. Jiangsu Sunshine is a rare case where dividends have been decreasing at the same time as earnings per share have been improving. It's unusual to see, and could point to unstable conditions in the core business, or more rarely an intensified focus on reinvesting profits.
To Sum It Up
From a dividend perspective, should investors buy or avoid Jiangsu Sunshine? Earnings per share have been growing moderately, and Jiangsu Sunshine is paying out less than half its earnings and cash flow as dividends, which is an attractive combination as it suggests the company is investing in growth. It might be nice to see earnings growing faster, but Jiangsu Sunshine is being conservative with its dividend payouts and could still perform reasonably over the long run. There's a lot to like about Jiangsu Sunshine, and we would prioritise taking a closer look at it.
In light of that, while Jiangsu Sunshine has an appealing dividend, it's worth knowing the risks involved with this stock. Every company has risks, and we've spotted 4 warning signs for Jiangsu Sunshine (of which 2 don't sit too well with us!) you should know about.
A common investing mistake is buying the first interesting stock you see. Here you can find a full list of high-yield dividend stocks.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
看起来像是江苏阳光股份有限公司。(上海证券交易所股票代码:600220)将在未来几天内除息。除息日期发生在记录日期的前一天,也就是股东需要登记在公司账面上才能获得股息的日期。重要的是要知道除息日期,因为股票的任何交易都需要在记录日期或之前结算。这意味着,你需要在7月20日之前购买江苏阳光的股票才能获得股息,股息将于7月20日支付。
该公司下一次派息将为每股0.02加元,而去年公司向股东支付的股息总额为0.02加元。去年的股息支付总额显示,江苏阳光的往绩收益率为0.6%,目前的股价为3.09元。对许多股东来说,股息是一个重要的收入来源,但企业的健康状况对维持这些股息至关重要。因此,读者应该始终查看江苏阳光是否能够增加股息,或者股息是否可能被削减。
查看我们对江苏阳光的最新分析
如果一家公司支付的股息超过了它赚取的股息,那么股息可能会变得不可持续--这几乎不是一个理想的情况。江苏阳光只支付了税后利润的20%,这是一个令人欣慰的低水平,并为应对不利事件留下了很大的喘息空间。这就是说,即使是高利润的公司有时也可能无法产生足够的现金来支付股息,这就是为什么我们应该总是检查股息是否由现金流覆盖。值得庆幸的是,自由现金流很好地覆盖了股息,该公司去年支付了22%的现金流。
看到利润和现金流都涵盖了股息,这是令人鼓舞的。这通常表明,只要收益不会急剧下降,股息是可持续的。
点击这里查看江苏阳光在过去12个月中支付了多少利润。
上证综指:600220历史性股息2022年7月18日
盈利和股息一直在增长吗?
产生可持续收益增长的公司的股票往往是最好的股息前景,因为当收益上升时,提高股息更容易。如果收益降幅足够大,该公司可能会被迫削减股息。考虑到这一点,我们对江苏阳光的稳步增长感到鼓舞,过去五年每股收益平均增长3.1%。江苏阳光目前保留了逾四分之三的盈利,并有盈利增长的历史。我们认为这是一个合理的组合。
大多数投资者评估一家公司的股息前景的主要方式是检查历史上的股息增长率。过去三年,江苏阳光的股息平均每年下降13%,情况并不乐观。江苏阳光是一个罕见的案例,它的股息一直在下降,而每股收益却在改善。这是不寻常的,可能表明核心业务状况不稳定,或者更罕见的是,对利润再投资的关注加剧。
总结一下
从分红角度看,投资者应该买入江苏阳光还是避开江苏阳光?每股收益一直在温和增长,江苏阳光以股息的形式支付不到一半的收益和现金流,这是一个有吸引力的组合,因为它表明该公司正在投资于增长。盈利增长更快或许是件好事,但江苏阳光对股息支付持保守态度,长期来看仍有可能表现合理。江苏阳光有很多值得喜欢的地方,我们会优先仔细看看。
有鉴于此,尽管江苏阳光拥有诱人的股息,但了解这只股票所涉及的风险是值得的。每家公司都有风险,我们已经发现江苏阳光四大警示标志(其中两个与我们坐在一起不太好!)你应该知道。
一个常见的投资错误是购买你看到的第一只有趣的股票。在这里你可以找到高收益股息股的完整名单。
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本文由Simply Wall St.撰写,具有概括性。我们仅使用不偏不倚的方法提供基于历史数据和分析师预测的评论,我们的文章并不打算作为财务建议。它不构成买卖任何股票的建议,也没有考虑你的目标或你的财务状况。我们的目标是为您带来由基本面数据驱动的长期重点分析。请注意,我们的分析可能不会将最新的对价格敏感的公司公告或定性材料考虑在内。Simply Wall St.对上述任何一只股票都没有持仓。