Anhui Jiuhuashan Tourism Development Co., Ltd. (SHSE:603199) is set to have an ex-dividend date within the next three days. The ex-dividend date is one day before the record date, which is the date by which shareholders must be on the company’s books to receive dividends. The ex-dividend date is important because in order to receive the dividend, all trading in the shares must have settled before the record date. So if you buy Anhui Jiuhuashan Tourism Development shares after the 6th of June, you won’t be eligible to receive the dividend paid on the 6th of June.
The company’s next dividend will be RMB0.79 per share, and last year it paid a total of RMB0.79 to shareholders. Last year’s total dividends represent a historic yield of 2.2% on Anhui Jiuhuashan Tourism Development’s current share price of RMB35.32. If you buy this business for its dividend, you should know if Anhui Jiuhuashan Tourism Development’s dividend is reliable and sustainable. So, we need to investigate whether Anhui Jiuhuashan Tourism Development can afford its dividend, and whether the dividend could grow.
Check out our latest analysis on Anhui Jiuhuashan Tourism Development
Dividends are typically paid out of company profits, so if a company pays out more in dividends than it earned, it is at a higher risk of its dividend being cut than usual. Anhui Jiuhuashan Tourism Development paid out more than half (53%) of its profits last year, a standard payout ratio for most companies.
Click here to see the company’s dividend payout ratio, plus analyst estimates of its future dividends.
SHSE:603199 June 2, 2024 Historical Dividend
SHSE:603199 June 2, 2024 Historical Dividend Are profits and dividends increasing?
Stocks in companies that generate sustainable earnings growth often have the best dividend prospects, as they are more likely to raise dividends when earnings are rising. If business falters and the dividend is cut, a company’s value could fall sharply. For this reason, it’s good to see that Anhui Jiuhuashan Tourism Development’s earnings per share have grown at 12% per year over the past five years. Anhui Jiuhuashan Tourism Development’s dividend payout ratio is average, suggesting a good balance between earnings growth and returning profits to shareholders. Given the rapid growth rate of earnings per share and the current dividend level, it is likely that the dividend will grow further in the future.
Another key way to gauge a company’s dividend prospects is to measure the historical rate of dividend growth. Over the past nine years, Anhui Jiuhuashan Tourism Development has grown its dividends at an average of approximately 23% per year. Both earnings per share and dividends have been growing rapidly recently, which is great to see.
Conclusion
Is Anhui Jiuhuashan Tourism Development an attractive dividend stock, or is it better left on the shelf? Earnings per share have been growing at a healthy clip and Anhui Jiuhuashan Tourism Development is paying out a similar percentage of its earnings to the average for a dividend stock. Overall, Anhui Jiuhuashan Tourism Development looks like a promising dividend stock from our analysis and we think it is worth investigating further.
So, while Anhui Jiuhuashan Tourism Development looks good from a dividend perspective, it’s worth staying up to date on the risks involving this stock.For example, Anhui Jiuhuashan Tourism Development has 1 warning sign we think you should be aware of.
Generally speaking, we don’t recommend just buying the first dividend stock you see, so here we present a curated list of interesting stocks with high dividends.
Valuation is complicated, but we can help make it simple.
Check out our comprehensive analysis, including fair value estimates, risks and warnings, dividends, insider trading, financial health, and more, to find out whether Anhui Jiuhuashan Tourism Development is potentially overvalued or undervalued.
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This article by Simply Wall St is of general nature. We provide commentary based on historical data and analyst forecasts using only unbiased methodology, and our articles are not intended as financial advice. It is not a recommendation to buy or sell stocks, and does not take into account your objectives or financial situation. We aim to provide long-term analysis driven by fundamental data. Please note that our analysis may not take into account the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any of the stocks mentioned herein.
