Why It Might Not Make Sense To Buy Low Keng Huat (Singapore) Limited (SGX:F1E) For Its Upcoming Dividend
Why It Might Not Make Sense To Buy Low Keng Huat (Singapore) Limited (SGX:F1E) For Its Upcoming Dividend
Regular readers will know that we love our dividends at Simply Wall St, which is why it's exciting to see Low Keng Huat (Singapore) Limited (SGX:F1E) is about to trade ex-dividend in the next three days. The ex-dividend date is usually set to be one business day before the record date which is the cut-off date on which you must be present on the company's books as a shareholder in order to receive the 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 Low Keng Huat (Singapore)'s shares before the 7th of June to receive the dividend, which will be paid on the 21st of June.
常規讀者將知道我們在Simply Wall St熱愛分紅,這就是爲什麼看到Low Keng Huat (Singapore) Limited (SGX:F1E)即將在未來三天以內交易除權息時如此令人興奮的原因。 除權息日期通常設置爲記錄日前一天,也就是你必須在該日期前作爲股東登記在公司的賬簿上才能收到分紅的截止日期。必須注意除權息日期,因爲在記錄日之前,股票的任何交易都需要已結算。這意味着你需要在6月7日之前購買Low Keng Huat (Singapore)的股票才能獲得分紅,而分紅將於6月21日支付。
The company's next dividend payment will be S$0.015 per share. Last year, in total, the company distributed S$0.015 to shareholders. Looking at the last 12 months of distributions, Low Keng Huat (Singapore) has a trailing yield of approximately 4.8% on its current stock price of S$0.31. Dividends are a major contributor to investment returns for long term holders, but only if the dividend continues to be paid. We need to see whether the dividend is covered by earnings and if it's growing.
該公司的下一個股息支付將是每股S$0.015。去年,該公司總計向股東分配了S$0.015。從過去12個月的分配情況來看,Low Keng Huat (Singapore)當前的股票價格大約爲S$0.31,其股票收益率約爲4.8%。分紅對於長期股東的投資回報是一個重要的貢獻因素,但只有在分紅持續支付的情況下才有可能。我們需要看到股息是否被盈利所覆蓋,以及它是否在增長。
Dividends are usually paid out of company profits, so if a company pays out more than it earned then its dividend is usually at greater risk of being cut. Low Keng Huat (Singapore) paid a dividend last year despite being unprofitable. This might be a one-off event, but it's not a sustainable state of affairs in the long run. Considering the lack of profitability, we also need to check if the company generated enough cash flow to cover the dividend payment. If Low Keng Huat (Singapore) didn't generate enough cash to pay the dividend, then it must have either paid from cash in the bank or by borrowing money, neither of which is sustainable in the long term. Luckily it paid out just 5.0% of its free cash flow last year.
一般而言,分紅通常是由公司利潤支付的,因此如果一家公司支付的分紅超過了其盈利,則其分紅通常面臨更大的被削減風險。儘管Low Keng Huat (Singapore)在過去一年被證明是無盈利的,但它仍然派發了股息。這可能是一個一次性的事件,但從長遠來看,這不是可持續的狀態。考慮到缺乏盈利能力,我們還需要檢查公司是否產生足夠的現金流來支付分紅。如果Low Keng Huat (Singapore)沒有產生足夠的現金流來支付分紅,則它必須從銀行帳户或借貸資金來支付,這兩種方式都不可持續。幸運的是,它僅支付了去年5.0%的自由現金流。
Click here to see how much of its profit Low Keng Huat (Singapore) paid out over the last 12 months.
點擊此處查看Low Keng Huat (Singapore)在過去12個月中支付的利潤佔比。
![historic-dividend](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240603/0-223bdaa38cedf04fddfb9fd0d6778f3d-0-3a5d8224ca26b275c2e6ca6832fe901c.png/big)
Have Earnings And Dividends Been Growing?
收益和股息一直在增長嗎?
Businesses with shrinking earnings are tricky from a dividend perspective. If earnings fall far enough, the company could be forced to cut its dividend. Low Keng Huat (Singapore) was unprofitable last year and, unfortunately, the general trend suggests its earnings have been in decline over the last five years, making us wonder if the dividend is sustainable at all.
從股息角度看,收益萎縮的企業會面臨一些問題。如果收益下降到一定程度,企業可能會被迫削減其股息。Low Keng Huat (Singapore)去年虧損了,並且不幸的是,一般趨勢表明其收益在過去五年中一直在下降,這讓我們懷疑股息是否可持續。
The main way most investors will assess a company's dividend prospects is by checking the historical rate of dividend growth. Low Keng Huat (Singapore) has seen its dividend decline 6.7% per annum on average over the past 10 years, which is not great to see. While it's not great that earnings and dividends per share have fallen in recent years, we're encouraged by the fact that management has trimmed the dividend rather than risk over-committing the company in a risky attempt to maintain yields to shareholders.
大多數投資者評估公司股息前景的主要方法是檢查股息增長的歷史率。過去10年中,Low Keng Huat (Singapore)的股息平均下降了6.7%,這並不是令人滿意的。雖然近年來每股收益和股息每股也下降了,但我們對管理層將股息削減而不是冒險過度承諾公司以保持對股東的回報率感到鼓舞。
We update our analysis on Low Keng Huat (Singapore) every 24 hours, so you can always get the latest insights on its financial health, here.
我們每隔24小時更新一次對Low Keng Huat (Singapore)的分析,因此您可以隨時獲得有關其財務狀況的最新見解,請點擊此處。
Final Takeaway
最後的結論
Is Low Keng Huat (Singapore) an attractive dividend stock, or better left on the shelf? It's hard to get used to Low Keng Huat (Singapore) paying a dividend despite reporting a loss over the past year. At least the dividend was covered by free cash flow, however. Bottom line: Low Keng Huat (Singapore) has some unfortunate characteristics that we think could lead to sub-optimal outcomes for dividend investors.
Low Keng Huat (Singapore)支付股息,儘管在過去一年中報告了虧損,這讓人難以適應。不過至少分紅是由自由現金流支付的。總之:Low Keng Huat (Singapore)存在一些不太有利的特徵,我們認爲這可能會導致股息投資者的次優結果。
With that being said, if you're still considering Low Keng Huat (Singapore) as an investment, you'll find it beneficial to know what risks this stock is facing. To help with this, we've discovered 3 warning signs for Low Keng Huat (Singapore) (2 make us uncomfortable!) that you ought to be aware of before buying the shares.
話雖如此,如果你仍然在考慮投資Low Keng Huat (Singapore),你需要了解這隻股票面臨哪些風險。爲了幫助你理解這一點,我們發現了三個警告信號:Low Keng Huat (Singapore)(其中2個讓我們感到不舒服!)在購買股票之前應了解。
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.
一般來說,我們不建議僅僅購買第一個股息股票。下面是一個經過策劃的有趣的、股息表現良好的股票清單。
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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.
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這篇文章是Simply Wall St的一般性文章。我們根據歷史數據和分析師預測提供評論,只使用公正的方法論,我們的文章並不意味着提供任何金融建議。文章不構成買賣任何股票的建議,也不考慮您的目標或您的財務狀況。我們的目標是帶給您基本數據驅動的長期關注分析。請注意,我們的分析可能不考慮最新的價格敏感公司公告或定性材料。Simply Wall St沒有任何股票頭寸。