Yahoo Finance Xinhua Winshare Publishing & Media Co Ltd's Dividend Analysis
An In-Depth Look at SHXWF's Dividend Sustainability and Growth Prospects
Xinhua Winshare Publishing & Media Co Ltd (SHXWF) recently announced a dividend of $0.2 per share, payable on 2024-02-20, with the ex-dividend date set for 2023-12-22. 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 Xinhua Winshare Publishing & Media Co Ltd's dividend performance and assess its sustainability.
What Does Xinhua Winshare Publishing & Media Co Ltd Do?
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Xinhua Winshare Publishing & Media Co Ltd is engaged in the publishing of books, periodicals and audio-visual products and distribution of textbooks and supplementary materials. It operates its activity in China through two operating segments; the Publication segment which includes the publishing of books, periodicals and audiovisual products and the Distribution segment which comprises of distribution of textbooks and supplementary materials. The group generates a majority of its revenue from the Distribution segment.
A Glimpse at Xinhua Winshare Publishing & Media Co Ltd's Dividend History
Xinhua Winshare Publishing & Media Co Ltd has maintained a consistent dividend payment record since 2021, distributing dividends on a yearly basis. Below is a chart showing annual Dividends Per Share for tracking historical trends.
Breaking Down Xinhua Winshare Publishing & Media Co Ltd's Dividend Yield and Growth
As of today, Xinhua Winshare Publishing & Media Co Ltd currently has a 12-month trailing dividend yield of 5.93% and a 12-month forward dividend yield of 5.93%, indicating an expectation of consistent dividend payments over the next 12 months.
Over the past three years, Xinhua Winshare Publishing & Media Co Ltd's annual dividend growth rate was 1.60%. Extended to a five-year horizon, this rate decreased to 0.90% per year. And over the past decade, the company's annual dividends per share growth rate stands at 9.10%.
Based on Xinhua Winshare Publishing & Media Co Ltd's dividend yield and five-year growth rate, the 5-year yield on cost of Xinhua Winshare Publishing & Media Co Ltd stock as of today is approximately 6.20%.
The Sustainability Question: Payout Ratio and Profitability
To assess the sustainability of the dividend, one needs to evaluate the company's payout ratio. The dividend payout ratio provides insights into the portion of earnings the company distributes as dividends. A lower ratio suggests that the company retains a significant part of its earnings, which ensures the availability of funds for future growth and unexpected downturns. As of 2023-09-30, Xinhua Winshare Publishing & Media Co Ltd's dividend payout ratio is 0.28.
Xinhua Winshare Publishing & Media Co Ltd's profitability rank, offers an understanding of the company's earnings prowess relative to its peers. GuruFocus ranks Xinhua Winshare Publishing & Media Co Ltd's profitability 9 out of 10 as of 2023-09-30, suggesting good profitability prospects. The company has reported positive net income for each year over the past decade, further solidifying its high profitability.
Growth Metrics: The Future Outlook
To ensure the sustainability of dividends, a company must have robust growth metrics. Xinhua Winshare Publishing & Media Co Ltd's growth rank of 9 out of 10 suggests that the company's growth trajectory is good relative to its competitors.
Revenue is the lifeblood of any company, and Xinhua Winshare Publishing & Media Co Ltd's revenue per share, combined with the 3-year revenue growth rate, indicates a strong revenue model. Xinhua Winshare Publishing & Media Co Ltd's revenue has increased by approximately 7.50% per year on average, a rate that outperforms approximately 69.83% of global competitors.
The company's 3-year EPS growth rate showcases its capability to grow its earnings, a critical component for sustaining dividends in the long run. During the past three years, Xinhua Winshare Publishing & Media Co Ltd's earnings increased by approximately 7.20% per year on average, a rate that outperforms approximately 52.65% of global competitors.
Lastly, the company's 5-year EBITDA growth rate of 9.40%, which outperforms approximately 62.79% of global competitors, bodes well for its financial health.
Conclusion: Evaluating Xinhua Winshare Publishing & Media Co Ltd's Dividend Viability
In conclusion, Xinhua Winshare Publishing & Media Co Ltd demonstrates a strong dividend profile with its consistent payments, moderate growth rates, and a sustainable payout ratio. Coupled with its high profitability rank and solid growth metrics, the company appears to be in a good position to maintain its dividend payments in the foreseeable future. Investors seeking dividend income may find Xinhua Winshare Publishing & Media Co Ltd an attractive option to consider. With these insights, value investors can make more informed decisions on whether Xinhua Winshare Publishing & Media Co Ltd fits into their investment portfolio for steady income and potential capital appreciation.
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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.
