Should Yuexiu Transport Infrastructure Limited (HKG:1052) Be Part Of Your Dividend Portfolio?

In this article:

Yuexiu Transport Infrastructure Limited (SEHK:1052) has pleased shareholders over the past 10 years, paying out an average dividend of 6.00% annually. The company currently pays out a dividend yield of 6.05% to shareholders, making it a relatively attractive dividend stock. Let’s dig deeper into whether Yuexiu Transport Infrastructure should have a place in your portfolio. View our latest analysis for Yuexiu Transport Infrastructure

5 checks you should use to assess a dividend stock

If you are a dividend investor, you should always assess these five key metrics:

  • Is its annual yield among the top 25% of dividend payers?

  • Has its dividend been stable over the past (i.e. no missed payments or significant payout cuts)?

  • Has dividend per share amount increased over the past?

  • Does earnings amply cover its dividend payments?

  • Based on future earnings growth, will it be able to continue to payout dividend at the current rate?

SEHK:1052 Historical Dividend Yield Jun 8th 18
SEHK:1052 Historical Dividend Yield Jun 8th 18

How well does Yuexiu Transport Infrastructure fit our criteria?

The company currently pays out 52.41% of its earnings as a dividend, according to its trailing twelve-month data, which means that the dividend is covered by earnings. In the near future, analysts are predicting a payout ratio of 51.39%, leading to a dividend yield of around 6.90%. In addition to this, EPS should increase to CN¥0.61. If there is one thing that you want to be reliable in your life, it’s dividend stocks and their constant income stream. Whilst its per-share payments have increased during the past 10 years, there has been some hiccups. Shareholders would have seen a few years of reduced payments in this time. Compared to its peers, Yuexiu Transport Infrastructure generates a yield of 6.05%, which is high for Infrastructure stocks.

Next Steps:

Considering the dividend attributes we analyzed above, Yuexiu Transport Infrastructure is definitely worth keeping an eye on for someone looking to build a dedicated income portfolio. Given that this is purely a dividend analysis, I recommend taking sufficient time to understand its core business and determine whether the company and its investment properties suit your overall goals. Below, I’ve compiled three relevant factors you should look at:

  1. Future Outlook: What are well-informed industry analysts predicting for 1052’s future growth? Take a look at our free research report of analyst consensus for 1052’s outlook.

  2. Valuation: What is 1052 worth today? Even if the stock is a cash cow, it’s not worth an infinite price. The intrinsic value infographic in our free research report helps visualize whether 1052 is currently mispriced by the market.

  3. Other Dividend Rockstars: Are there better dividend payers with stronger fundamentals out there? Check out our free list of these great stocks here.


To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned.

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