Sociedad Quimica Y Minera De Chile SA's Dividend Analysis
Understanding the Dividend Future for Sociedad Quimica Y Minera De Chile SA
Sociedad Quimica Y Minera De Chile SA (NYSE:SQM) recently announced a dividend of $0.5 per share, payable on an undisclosed future date, with the ex-dividend date set for 2023-12-06. As investors look forward to this upcoming payment, the spotlight also shines on the company's dividend history, yield, and growth rates. Using the data from GuruFocus, let's look into Sociedad Quimica Y Minera De Chile SA's dividend performance and assess its sustainability.
What Does Sociedad Quimica Y Minera De Chile SA Do?
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Sociedad Quimica y Minera de Chile is a Chilean commodities producer with significant operations in lithium, specialty and standard potassium fertilizers, iodine, and solar salts. The company extracts these materials through its high-quality caliche ore and salt brine deposits. SQM is also expanding its lithium project portfolio in Australia, enhancing its position in the global market.
A Glimpse at Sociedad Quimica Y Minera De Chile SA's Dividend History
Sociedad Quimica Y Minera De Chile SA has maintained a consistent dividend payment record since 1994, with dividends currently distributed on a quarterly basis. Below is a chart showing the annual Dividends Per Share to track historical trends.
Breaking Down Sociedad Quimica Y Minera De Chile SA's Dividend Yield and Growth
Sociedad Quimica Y Minera De Chile SA currently has a 12-month trailing dividend yield of 15.08% and a 12-month forward dividend yield of 10.11%, indicating an expected decrease in dividend payments over the next year. The company's dividend yield is near a 10-year high and outperforms 98.57% of global competitors in the Chemicals industry, making it an attractive option for income investors.
Over the past three years, Sociedad Quimica Y Minera De Chile SA's annual dividend growth rate was 96.30%, which decreased to 34.60% per year over a five-year period. Over the past decade, the annual dividends per share growth rate stands at an impressive 21.50%. Reflecting these figures, the 5-year yield on cost for Sociedad Quimica Y Minera De Chile SA stock is approximately 66.62%.
The Sustainability Question: Payout Ratio and Profitability
The sustainability of Sociedad Quimica Y Minera De Chile SA's dividends can be assessed by the company's payout ratio, which is currently 0.67. This indicates that the company retains a majority of its earnings for future growth and stability. The company's profitability rank is 9 out of 10, suggesting good profitability prospects. With a track record of positive net income for the past decade, Sociedad Quimica Y Minera De Chile SA's financial health appears robust.
Growth Metrics: The Future Outlook
Sociedad Quimica Y Minera De Chile SA's growth rank of 9 out of 10 indicates a strong growth trajectory. The company's revenue per share and 3-year revenue growth rate, which outperforms 98.28% of global competitors, demonstrate a solid revenue model. Additionally, the 3-year EPS growth rate, which outperforms 97.38% of global competitors, and the 5-year EBITDA growth rate, outperforming 90.98%, underscore the company's capability to sustain dividends in the long term.
Engaging Conclusion: Dividend Prospects of Sociedad Quimica Y Minera De Chile SA
In conclusion, Sociedad Quimica Y Minera De Chile SA's attractive dividend yield, consistent dividend growth, manageable payout ratio, and strong profitability metrics position it favorably for income-focused investors. The company's solid growth indicators suggest a promising future for sustained dividend payments. Investors looking for high-dividend yield opportunities may find Sociedad Quimica Y Minera De Chile SA to be a compelling option. For further investment research, GuruFocus Premium users can utilize the High Dividend Yield Screener to identify similar high-yielding stocks.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
This article first appeared on GuruFocus.
