U.S. Markets closed

Here's What We Like About BancorpSouth Bank (NYSE:BXS)'s Upcoming Dividend

Simply Wall St

Regular readers will know that we love our dividends at Simply Wall St, which is why it's exciting to see BancorpSouth Bank (NYSE:BXS) is about to trade ex-dividend in the next 4 days. You will need to purchase shares before the 12th of December to receive the dividend, which will be paid on the 2nd of January.

BancorpSouth Bank's next dividend payment will be US$0.18 per share, on the back of last year when the company paid a total of US$0.76 to shareholders. Based on the last year's worth of payments, BancorpSouth Bank stock has a trailing yield of around 2.4% on the current share price of $31.36. We love seeing companies pay a dividend, but it's also important to be sure that laying the golden eggs isn't going to kill our golden goose! As a result, readers should always check whether BancorpSouth Bank has been able to grow its dividends, or if the dividend might be cut.

See our latest analysis for BancorpSouth Bank

If a company pays out more in dividends than it earned, then the dividend might become unsustainable - hardly an ideal situation. BancorpSouth Bank paid out a comfortable 33% of its profit last year.

Companies that pay out less in dividends than they earn in profits generally have more sustainable dividends. The lower the payout ratio, the more wiggle room the business has before it could be forced to cut the dividend.

Click here to see the company's payout ratio, plus analyst estimates of its future dividends.

NYSE:BXS Historical Dividend Yield, December 7th 2019

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. For this reason, we're glad to see BancorpSouth Bank's earnings per share have risen 17% per annum over the last five years.

Another key way to measure a company's dividend prospects is by measuring its historical rate of dividend growth. BancorpSouth Bank's dividend payments per share have declined at 1.5% per year on average over the past ten years, which is uninspiring.

Final Takeaway

Has BancorpSouth Bank got what it takes to maintain its dividend payments? Typically, companies that are growing rapidly and paying out a low fraction of earnings are keeping the profits for reinvestment in the business. This strategy can add significant value to shareholders over the long term - as long as it's done without issuing too many new shares. Overall, BancorpSouth Bank looks like a promising dividend stock in this analysis, and we think it would be worth investigating further.

Wondering what the future holds for BancorpSouth Bank? See what the nine analysts we track are forecasting, with this visualisation of its historical and future estimated earnings and cash flow

We wouldn't recommend just buying the first dividend stock you see, though. Here's a list of interesting dividend stocks with a greater than 2% yield and an upcoming dividend.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Thank you for reading.

  • One of the most successful stock-market investors says these 3 events ‘would definitely trigger a bear market’
    Business
    MarketWatch

    One of the most successful stock-market investors says these 3 events ‘would definitely trigger a bear market’

    Stanley Druckenmiller, one of Wall Street's most successful investors, acknowledges that the markets are riding high and that investors may be able to finally breathe freely in the short term after a number of shocks, but says investors should be wary of three events that could knock assets into a bear market. One of the reasons I'm pretty sanguine right now is I think we're close enough to the election, at least we can breathe for a few months,” he told Bloomberg Television during a recent interview. But there are a trio of situations that could upend that optimism — and perhaps permanently.

  • Business
    Barrons.com

    A Giant Fund Sold Apple and Costco Stock. Here’s What It Bought.

    Dutch pension giant PGGM made some major moves in its U.S.-traded stock investments. In the fourth quarter, PGGM initiated a stake in (V) stock (ticker: V), and tripled its investment in (MSFT) stock (MSFT). PGGM disclosed the trades, among others, in a form it filed with the Securities and Exchange Commission.

  • This basket of dividend growth stocks can help your portfolio stand out in 2020
    Business
    MarketWatch

    This basket of dividend growth stocks can help your portfolio stand out in 2020

    Analysts at Goldman Sachs are highlighting a “dividend growth basket” of stocks at a time when valuations for the U.S. stock market have shot up to their second-highest level since June 2002. In the firm's recent “U.S. Weekly Kickstart” report Jan. 3, the analysts, led by David Kostin, recommended investors be cautious and look for “growth at a reasonable price,” but also included a group of dividend stocks with low price-to-earnings valuations relative to the S&P 500 (SPX) that also appear likely to continue raising their dividend payouts more quickly than the broader market.

  • Business
    U.S.News & World Report

    7 Best Vanguard Funds to Buy and Hold

    It offers a five-year average return of 7.23% and an expense ratio of 0.14%. Year-to-date, VASGX has delivered a 23.13% return. VITSX is one of the best Vanguard mutual funds for buy-and-hold investors who want broad exposure to the stock market as a whole.

  • Business
    Barrons.com

    Mario Gabelli Says It’s Time to Invest in Stocks That Will Save the World. These Two Stocks Fit the Bill.

    The stock is at $29.70, with 60 million shares and a $1.8 billion market value. The Atlanta Braves finished with a 97-65 record last season, so they've done well on the field. Secondly, Major League Baseball is examining the minor-league ownership rules, which should increase the value of their A, AA, and AAA teams.

  • Politics
    Bloomberg

    Warren Responds to ‘Angry Dad’ Over Student Loan Plan

    In a clip shared on an anonymous pro-Trump Twitter account Tuesday and amplified by conservative media, an unnamed man tells Warren that he gave up vacations and saved money for his daughter's education so that she wouldn't have debt. Asked about the clip in an interview on “CBS This Morning,” Warren responded that younger Americans are getting “crushed” by student loan debt, which is roughly $1.5 trillion.

  • U.S.
    Financial Times

    Couple plead guilty to swindling Berkshire Hathaway

    A California couple pleaded guilty on Friday in connection with a Ponzi scheme that swindled almost $1bn from American blue-chip companies including Warren Buffett's Berkshire Hathaway and the insurance provider Progressive. Jeff Carpoff pleaded guilty to conspiracy to commit wire fraud and money laundering in a California federal court, while his wife Paulette admitted to charges of money laundering and conspiracy to commit an offence against the US. The couple owned DC Solar, a California-based manufacturer of mobile solar power generators that were used at outdoor concerts, sporting events and on construction sites.

  • Ground beef shipped to retailers in 9 states recalled for possible plastic contamination
    Business
    USA TODAY

    Ground beef shipped to retailers in 9 states recalled for possible plastic contamination

    Approximately 2,000 pounds of raw ground beef products have been recalled due to possible contamination, according to a Friday release from the United States Department of Agriculture Food Safety and Inspection Service. The raw ground beef packages may be contaminated with clear, thin pliable plastic, the release states. The recalled products were packaged in Chicago, Illinois at Amity Packing Company Inc. on Jan. 6, according to the release.

  • ‘Kids that don’t fail are normally frugal.' Wealth advisers say Meghan and Harry’s lifestyle already raises red flags
    News
    MarketWatch

    ‘Kids that don’t fail are normally frugal.' Wealth advisers say Meghan and Harry’s lifestyle already raises red flags

    Meghan and Harry Windsor aren't the first people to try to quit the safety of a rich family and try to go it alone, and they won't be the last. Chief among them: Reports that the couple is looking to buy a mansion in Vancouver on the market for $36 million Canadian dollars ($27 million in U.S. dollars), already dubbed a “Megha-Mansion” by the British press. “That is a red flag,” writes Elizabeth Windisch, a financial planner at Aspen Wealth Management in Centennial, Colo., in an email, “they really couldn't find a nice, secure home for, say, $15 million.” Others agree.

  • Brad Pitt: 'I'm old'
    News
    Associated Press Videos

    Brad Pitt: 'I'm old'

    As he's presented with the Maltin Modern Masters Award in Santa Barbara, Brad Pitt admits he may have forgotten the first rule of Fight Club, but feels blessed to have the life he's had. Jan.

  • 6 Social Security Changes for 2020
    Business
    Investopedia

    6 Social Security Changes for 2020

    Every October the Social Security Administration (SSA) announces its annual changes to the Social Security program for the coming year. Here are the Social Security changes that were announced in October 2019 and took effect on Jan. 1, 2020, according to the SSA's annual fact sheet. For 2020, more than 64 million Social Security recipients are seeing a 1.6% cost-of-living adjustment (COLA) to their monthly benefits. The adjustment helps benefits keep pace with inflation and is based on the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) as calculated by the Bureau of Labor Statistics (BLS).

  • Theranos Founder Elizabeth Holmes Phones In Her Defense 
    Business
    Bloomberg

    Theranos Founder Elizabeth Holmes Phones In Her Defense 

    Unable to pay her lawyers in an Arizona fraud lawsuit, former Theranos Inc. Chief Executive Officer Elizabeth Holmes is defending herself by phone. Bloomberg's Heather Smith has more on "Bloomberg Markets."

  • 3 Top Dividend Stocks with Over 7% Dividend Yield
    Business
    TipRanks

    3 Top Dividend Stocks with Over 7% Dividend Yield

    These profit-sharing payments give investors a steady income stream – even when market gains are sluggish. As an added appeal, there is no upper limit to a dividend's yield. After three Fed rate cuts in 2019, Treasury bonds are down to the 1.5% to 1.75% range – while the average dividend yield among S&P-listed companies is just about 2%.

  • The Dow is about to face its stiffest test in years
    Business
    MarketWatch

    The Dow is about to face its stiffest test in years

    The Dow Jones Industrial Average increased more than 22% in 2019 and is already up 2.2% through three weeks of 2020, but it is about to face its biggest test of the young year, and potentially many years. Nearly half of the 30 Dow (DJIA) components are scheduled to report results from the holiday season in the coming week, which will be by far the busiest week of the earnings season. There are 14 Dow companies expected to report, the most companies from the blue-chip index to report in a single week since at least 2014, a group that includes two trillion-dollar market caps in Apple Inc.

  • What you need to know about homeowner tax deductions
    Business
    Yahoo Finance

    What you need to know about homeowner tax deductions

    Fueled by low mortgage rates and a strong job market, demand is high and supply is low in many areas of the country. For those lucky enough to find a home where they want, at a price they want, the tax benefits are enticing: You can deduct mortgage points from your closing costs, take a deduction on your home mortgage interest, and deduct mortgage interest as well as state and local taxes (up to $10,000). It has made the benefits of these homeowner deductions less clear, especially for those who are higher earners and live in high-tax states.

  • Tesla will mark the beginning of the end for this bull market, warns Ralph Nader
    Business
    MarketWatch

    Tesla will mark the beginning of the end for this bull market, warns Ralph Nader

    Apparently so, according to consumer advocate and former presidential candidate Ralph Nader, who issued a stark warning this week, not only on the electric-car maker's pricey stock, but on the stock market as a whole. “Deep in debt, selling less than 400,000 vehicles last year and challenged by several competing electric car models in 2020, Tesla's stock valuation stunningly exceeds VW which sold over 10 million vehicles last year,” Nader added in a follow-up tweet. Of course, his stance didn't sit well with Tesla fans.

  • Business
    Barrons.com

    Oil Tumbled This Week. It’s Time to Buy Energy Stocks Like BP.

    Just when it looked as if oil prices were ready to shoot higher, the waning threat of war and the arrival of the coronavirus has caused them to have their worst start to a year since 2016. That makes it a good time to consider buying energy stocks. Oil began 2020 with a quick 7.5% gain as tensions between the U.S. and Iran ratcheted up, leading to concern that an all-out conflict would disrupt the oil supply.

  • How to Retire a Millionaire Without a 401(k)
    Business
    Investopedia

    How to Retire a Millionaire Without a 401(k)

    IRA Contribution Limits Whether you have a traditional or Roth IRA, the annual contribution limits are the same. For the tax years 2020, you can contribute up to $6,000, or $7,000 if you're age 50 or older—a "catch-up" contribution for employees approaching retirement age. Can You Save $1 Million in an IRA?

  • How the stock market has performed during past viral outbreaks, as epidemic locks down 16 Chinese cities
    World
    MarketWatch

    How the stock market has performed during past viral outbreaks, as epidemic locks down 16 Chinese cities

    According to Dow Jones Market Data, the S&P 500 posted a gain of 14.59% after the first occurrence of SARS back in 2002-03, based on the end of month performance for the index in April, 2003. About 12 months after that point, the broad-market benchmark was up 20.76% (see attached table): SARS resulted in a total of about 8,100 people being sickened during the 2003 outbreak, with 774 people dying, according to data from WHO and the Centers for Disease Control and Prevention. Separately, the S&P 500 rose 11.66% in the roughly six months following reports of the 2006 Avian flu virus — a fast-moving pathogen also known as H5N1.

  • Head of U.S.’ largest bank says central banks are fueling a sovereign debt bubble, negative-rates won’t ‘end well’
    Business
    MarketWatch

    Head of U.S.’ largest bank says central banks are fueling a sovereign debt bubble, negative-rates won’t ‘end well’

    Jamie Dimon doesn't have much positive to say about negative interest rates in Europe and Japan or public policy in the United States during the past decade. The JPMorgan Chase & Co. (JPM) Chairman and CEO blasted the policy of negative interest rates adopted in Europe and Japan during an interview with CNBC, while arguing that economic growth in the U.S. could have been nearly double its actual rate if the government policy had been better. Dimon took aim at fiscal and other economic policies in place at the U.S. federal level.

  • Tesla earnings: Will results help keep the rally alive?
    Business
    MarketWatch

    Tesla earnings: Will results help keep the rally alive?

    The company will have to convince investors that its fundamentals justify the string of record highs the stock has hit since mid-December. Investors will zero in on Tesla's 2020 sales outlook, said Garrett Nelson, an analyst with CFRA. Generally, we think the recent stock price run-up has greatly raised the bar in terms of expectations and elevated the risk of disappointment,” he said.

  • Toll Brothers gears up to sell 2,200 homes in the West Valley
    Business
    American City Business Journals

    Toll Brothers gears up to sell 2,200 homes in the West Valley

    The 780-acre community includes 13 model homes and three community pools. It also will include an 18-hole Jack Nicklaus-designed private golf facility, which is the first golf course to be built in the West Valley in nearly a decade. The golf course is expected to be completed by January 2021, with a 35,000-square-foot clubhouse to be completed soon after, said Ryan Stemsrud, general manager for Sterling Grove Golf Club.

  • Want to solve the retirement crisis? Invest $7,500 for every baby born in America
    Business
    MarketWatch

    Want to solve the retirement crisis? Invest $7,500 for every baby born in America

    This federal program, which doles out an average monthly benefit of about $1,500, was never meant to be the sole source of retirement income for older Americans. One recent proposal aims to change that. As part of his work with the Stanford Center on Longevity, Ric Edelman, chairman and co-founder of Edelman Financial Engines, proposed a new vehicle to generate an additional source of retirement income.

  • Business
    Barrons.com

    Deere, Chevron, and 30 Other Stock Picks From the Barron’s Roundtable

    Read More Roundtable Read the picks—and pans—from these panelists As always, the prolific Mario Gabelli, chairman and CEO of Gamco Investors, obliged with several picks—nine in all this year—related to media, defense, and what he dubs his “theme for the decade: saving planet Earth. Abby Joseph Cohen, advisory director and senior investment strategist at Goldman Sachs, proposed an eclectic group of stocks, both global and domestic, including Procter & Gamble and Chevron. Todd Ahlsten, chief investment officer of Parnassus Investments and lead portfolio manager of the Parnassus Core Equity fund, produced last year's strongest returns among the Roundtable panelists.

  • How an IRA Works After Retirement
    Business
    Investopedia

    How an IRA Works After Retirement

    An individual retirement account (IRA), as the name implies, is a place to store those golden nest eggs for the golden years. All of which raises an interesting question: How does a traditional IRA work after retirement? Technically, the owner of an IRA can withdraw money (taking distributions, in IRS-speak) from an IRA at any time.