Why It Might Not Make Sense To Buy Shanghai Lianming Machinery Co., Ltd. (SHSE:603006) For Its Upcoming Dividend
Why It Might Not Make Sense To Buy Shanghai Lianming Machinery Co., Ltd. (SHSE:603006) For Its Upcoming Dividend
Shanghai Lianming Machinery Co., Ltd. (SHSE:603006) is about to trade ex-dividend in the next 4 days. Typically, the ex-dividend date is one business day before the record date which is the date on which a company determines the shareholders eligible to receive a dividend. The ex-dividend date is an important date to be aware of as any purchase of the stock made on or after this date might mean a late settlement that doesn't show on the record date. Thus, you can purchase Shanghai Lianming Machinery's shares before the 4th of June in order to receive the dividend, which the company will pay on the 4th of June.
上海联明机械有限公司(SHSE: 603006)即将在未来4天内进行除息交易。通常,除息日是记录日期前一个工作日,即公司确定有资格获得股息的股东的日期。除息日是需要注意的重要日期,因为在该日或之后购买的任何股票都可能意味着延迟结算,而结算日期并未显示在记录日期。因此,您可以在6月4日之前购买上海联明机械的股票,以获得股息,该公司将在6月4日支付股息。
The company's next dividend payment will be CN¥0.28 per share. Last year, in total, the company distributed CN¥0.28 to shareholders. Calculating the last year's worth of payments shows that Shanghai Lianming Machinery has a trailing yield of 2.6% on the current share price of CN¥10.87. Dividends are an important source of income to many shareholders, but the health of the business is crucial to maintaining those dividends. So we need to check whether the dividend payments are covered, and if earnings are growing.
该公司的下一次股息将为每股0.28元人民币。去年,该公司总共向股东分配了0.28元人民币。计算去年的付款额显示,上海联明机械的追踪收益率为2.6%,而目前的股价为10.87元人民币。股息是许多股东的重要收入来源,但业务的健康状况对于维持这些股息至关重要。因此,我们需要检查股息支付是否包括在内,以及收益是否在增长。
Dividends are typically paid from company earnings. If a company pays more in dividends than it earned in profit, then the dividend could be unsustainable. It paid out 80% of its earnings as dividends last year, which is not unreasonable, but limits reinvestment in the business and leaves the dividend vulnerable to a business downturn. It could become a concern if earnings started to decline. A useful secondary check can be to evaluate whether Shanghai Lianming Machinery generated enough free cash flow to afford its dividend. It paid out more than half (65%) of its free cash flow in the past year, which is within an average range for most companies.
股息通常从公司收益中支付。如果一家公司支付的股息超过其利润,那么分红可能是不可持续的。它去年将其收益的80%作为股息支付,这并非不合理,但限制了对业务的再投资,使股息容易受到业务衰退的影响。如果收益开始下降,这可能会成为一个问题。一项有用的辅助检查可以是评估上海联明机械是否产生了足够的自由现金流来支付其股息。在过去的一年中,它支付了自由现金流的一半以上(65%),这在大多数公司的平均范围内。
It's positive to see that Shanghai Lianming Machinery's dividend is covered by both profits and cash flow, since this is generally a sign that the dividend is sustainable, and a lower payout ratio usually suggests a greater margin of safety before the dividend gets cut.
可以肯定的是,上海联明机械的股息由利润和现金流共同支付,因为这通常表明分红是可持续的,而较低的派息率通常表明在削减股息之前有更大的安全余地。
Click here to see how much of its profit Shanghai Lianming Machinery paid out over the last 12 months.
点击此处查看上海联明机械在过去12个月中支付了多少利润。
![historic-dividend](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240531/0-376eda759c5693fd835b5e1ed5378701-0-22ea7e1ff39034595afcf0643fbcca78.png/big)
Have Earnings And Dividends Been Growing?
收益和股息一直在增长吗?
When earnings decline, dividend companies become much harder to analyse and own safely. If business enters a downturn and the dividend is cut, the company could see its value fall precipitously. Readers will understand then, why we're concerned to see Shanghai Lianming Machinery's earnings per share have dropped 9.9% a year over the past five years. Ultimately, when earnings per share decline, the size of the pie from which dividends can be paid, shrinks.
当收益下降时,股息公司变得更加难以分析和安全拥有。如果业务陷入低迷并削减股息,该公司的价值可能会急剧下降。届时,读者就会明白,为什么我们担心上海联明机械的每股收益在过去五年中每年下降9.9%。最终,当每股收益下降时,支付股息的资金规模就会缩小。
Another key way to measure a company's dividend prospects is by measuring its historical rate of dividend growth. In the last nine years, Shanghai Lianming Machinery has lifted its dividend by approximately 12% a year on average. The only way to pay higher dividends when earnings are shrinking is either to pay out a larger percentage of profits, spend cash from the balance sheet, or borrow the money. Shanghai Lianming Machinery is already paying out a high percentage of its income, so without earnings growth, we're doubtful of whether this dividend will grow much in the future.
衡量公司股息前景的另一种关键方法是衡量其历史股息增长率。在过去的九年中,上海联明机械平均每年将股息提高约12%。收益萎缩时支付更高股息的唯一方法是支付更大比例的利润,从资产负债表中支出现金,或者借钱。上海联明机械已经支付了很高的收入比例,因此,如果没有收益增长,我们怀疑未来这种股息是否会大幅增长。
To Sum It Up
总结一下
Is Shanghai Lianming Machinery an attractive dividend stock, or better left on the shelf? It's never good to see earnings per share shrinking, but at least the dividend payout ratios appear reasonable. We're aware though that if earnings continue to decline, the dividend could be at risk. Overall it doesn't look like the most suitable dividend stock for a long-term buy and hold investor.
上海联明机械是有吸引力的股息股票,还是最好留在架子上?每股收益萎缩从来都不是一件好事,但至少股息支付率似乎是合理的。但是我们知道,如果收益继续下降,股息可能会面临风险。总体而言,它看起来不是最适合长期买入和持有投资者的股息股票。
So if you're still interested in Shanghai Lianming Machinery despite it's poor dividend qualities, you should be well informed on some of the risks facing this stock. Every company has risks, and we've spotted 3 warning signs for Shanghai Lianming Machinery (of which 1 is concerning!) you should know about.
因此,如果你仍然对上海联明机械感兴趣,尽管它的股息质量很差,那么你应该充分了解这只股票面临的一些风险。每家公司都有风险,我们发现了上海联明机械的3个警告标志(其中1个令人担忧!)你应该知道。
Generally, we wouldn't recommend just buying the first dividend stock you see. Here's a curated list of interesting stocks that are strong dividend payers.
通常,我们不建议只购买你看到的第一只股息股票。以下是精选的具有强大股息支付能力的有趣股票清单。
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Simply Wall St的这篇文章本质上是笼统的。我们仅使用公正的方法根据历史数据和分析师的预测提供评论,我们的文章无意作为财务建议。它不构成买入或卖出任何股票的建议,也没有考虑到您的目标或财务状况。我们的目标是为您提供由基本数据驱动的长期重点分析。请注意,我们的分析可能不考虑最新的价格敏感型公司公告或定性材料。简而言之,华尔街没有持有任何上述股票的头寸。