Caribbean Utilities Co. Ltd. : CUPUF-US: Dividend Analysis : March 02nd, 2017 (record date) : By the numbers : April 3, 2017

Our analysis is based on comparing Caribbean Utilities Co. Ltd. with the following peers – Energia del Pacifico S.A., GSE Systems, Inc., Power Assets Holdings Limited Sponsored ADR and Huadian Power International Corp. Ltd. Class H (ENPACII1-PE, GVP-US, HGKGY-US and HPIFF-US).

Caribbean Utilities Co. Ltd.’s dividend yield is 5.04 percent and its dividend payout is 90 percent. This compares to a peer average dividend yield of 9.64 percent and a payout level of 165.73 percent. This relatively lagging dividend performance would normally spur the company to consider some dividend action going forward – but for the fact that the current dividend quality score of 25 out of a possible score of 100 looks weak.

Dividend Yield
Dividend Quality Score

Dividend Quality Overview

  • Over the last twelve months (prior to December 31, 2016), CUPUF-US paid a medium quality dividend, which represents a yield of 5.00% at the current price.
  • Dividend quality trend has not been consistent over the last five years. Dividends were paid during each of these years — of these 4 were medium quality and 1 was low quality.
  • The ending cash balance is less than the last full year dividend payment and cannot be relied on to cushion any significant reduction of cash flows in the future.
Dividend Quality Score Vs Dividend Yield

Quadrant label definitions. Hover to know more

High Score;High Yield, High Score;Low Yield, Low Score;Low Yield, Low Score;High Yield

Dividend Coverage

Over the last twelve months (prior to December 31, 2016), CUPUF-US paid a medium quality dividend.

The source of the company’s cash to support the dividend paid over the last twelve months is operating cash flow (coverage of 2.70x), investing cash flow (coverage of -2.08x), issuance cash flow (coverage of 0.75x) and twelve-month prior cash (coverage of 0.06x), for a total dividend coverage of 1.43x.

Dividend Coverage by Cash Flow (TTM)

These coverage ratio factors imply that the firm’s net cash inflow from issuance was required (in addition to operating and investment cash) to pay the dividend, which suggests a medium dividend quality.

Dividend History

Item 2012-12-31 2013-12-31 2014-12-31 2015-12-31 2016-12-31 Latest
Dividend Yield (%) 7.34 6.28 6.48 6.06 5.4 5.04
Dividend Payout (%) 56.56 0 97.06 92.82 90 90

A complete list of metrics and analysis is available on the company page.

Company Profile

Caribbean Utilities Co. Ltd. engages in generating, transmitting, and distributing electricity produced from diesel generation for Grand Cayman. It also engages in the provision of fibre optic infrastructure and other information and communication technology through its subsidiary, DataLink, Ltd. The company was founded on April 30, 1966 and is headquartered in George Town, Cayman Islands.


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