Yahoo Finance Bucher Industries AG's Dividend Analysis
Understanding the Upcoming Dividend Payment and Historical Performance
Bucher Industries AG (BCHHF) recently announced a dividend of $13.5 per share, payable on 2024-04-24, with the ex-dividend date set for 2024-04-22. 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 Bucher Industries AG's dividend performance and assess its sustainability.
What Does Bucher Industries AG Do?
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Bucher Industries AG develops and manufactures economical, ecological components, machinery, and systems, and offers solutions for harvesting, producing, and packaging foods, keeping roads and public spaces clean and safe, and providing electrohydraulic drive systems for sophisticated machines. The Company comprises five segments: Kuhn Group manufactures agricultural machinery, Bucher Municipal provides municipal vehicles, Bucher Hydraulics provides hydraulic components and electrohydraulic systems, Bucher Emhart Glass manufactures equipment for the glass container industry, Bucher Specials manufactures equipment for processing beverages, as well as automation solutions. It derives a majority of its revenue from the Kuhn Group segment.
A Glimpse at Bucher Industries AG's Dividend History
Bucher Industries AG has maintained a consistent dividend payment record since 2020. Dividends are currently distributed on a yearly basis. Below is a chart showing annual Dividends Per Share for tracking historical trends.
Breaking Down Bucher Industries AG's Dividend Yield and Growth
As of today, Bucher Industries AG currently has a 12-month trailing dividend yield of 3.16% and a 12-month forward dividend yield of 3.30%. This suggests an expectation of increased dividend payments over the next 12 months.
Over the past three years, Bucher Industries AG's annual dividend growth rate was 17.60%. Extended to a five-year horizon, this rate decreased to 11.40% per year. And over the past decade, Bucher Industries AG's annual dividends per share growth rate stands at 7.10%.
Based on Bucher Industries AG's dividend yield and five-year growth rate, the 5-year yield on cost of Bucher Industries AG stock as of today is approximately 5.42%.
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, thereby ensuring the availability of funds for future growth and unexpected downturns. As of 2023-12-31, Bucher Industries AG's dividend payout ratio is 0.37.
Bucher Industries AG's profitability rank, offers an understanding of the company's earnings prowess relative to its peers. GuruFocus ranks Bucher Industries AG's profitability 7 out of 10 as of 2023-12-31, 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. Bucher Industries AG's growth rank of 7 out of 10 suggests that the company's growth trajectory is good relative to its competitors.
Revenue is the lifeblood of any company, and Bucher Industries AG's revenue per share, combined with the 3-year revenue growth rate, indicates a strong revenue model. Bucher Industries AG's revenue has increased by approximately 9.20% per year on average, a rate that outperforms approximately 53.59% 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, Bucher Industries AG's earnings increased by approximately 31.00% per year on average, a rate that outperforms approximately 73.04% of global competitors.
Lastly, the company's 5-year EBITDA growth rate of 11.80%, which outperforms approximately 58.76% of global competitors.
Next Steps
With a solid track record of dividend payments, an attractive dividend growth rate, a prudent payout ratio, and strong profitability and growth metrics, Bucher Industries AG presents a compelling case for income-focused investors. The company's ability to sustain and potentially increase its dividend in the future is supported by its financial health and market position. As value investors consider the addition of Bucher Industries AG to their portfolios, they may also explore other high-dividend yield opportunities using the High Dividend Yield Screener available to GuruFocus Premium users. Will Bucher Industries AG continue to be a reliable source of dividends amidst the changing economic landscape? This question remains central to investors seeking long-term value and stability in their investments.
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.
