Our analysis is based on comparing ComfortDelGro Corp. Ltd. with the following peers – National Express Group PLC Unsponsored ADR, Westshore Terminals Investment Corporation, Echo Global Logistics, Inc and Matson, Inc. (NXPGY-US, WTSHF-US, ECHO-US and MATX-US).
ComfortDelGro Corp. Ltd.’s dividend yield is 4.46 percent and its dividend payout is 65.30 percent. This compares to a peer median dividend yield of 2.96 percent and a payout level of 44.28 percent. This type of dividend performance might make it a good stock for dividend investors. However, the company’s average dividend quality score of 58 out of a possible score of 100, points to some weakness in the sustainability of its robust payout ratio, and makes its less attractive for dividend investors seeking current income.
Dividend Quality Overview
- Over the last twelve months (prior to June 30, 2017), CDGLY-US paid a low quality dividend, which represents a yield of 4.42% 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 3 were high quality and 2 were low quality.
- The ending cash balance, with a dividend coverage of 3.74x, provides a substantial cushion in case of a significant reduction of cash flows in the future.
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Over the last twelve months (prior to June 30, 2017), CDGLY-US paid a low 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 2.98x), investing cash flow (coverage of -2.55x), issuance cash flow (coverage of -0.29x) and twelve-month prior cash (coverage of 3.98x), for a total dividend coverage of 4.05x.
CDGLY-US‘s issuance cash flow includes outflows from net debt repayment (coverage of -0.41x).
These coverage ratio factors imply that the firm had to dip into the beginning cash balance to pay the dividend, which suggests a low dividend quality.
|Dividend Yield (%)||3.4||3.25||3.1||2.87||3.92||4.46|
|Dividend Payout (%)||0||0||29.86||58.8||65.21||65.3|
A complete list of metrics and analysis is available on the company page.
ComfortDelGro Corp. Ltd. is an investment holding company, which engages in the provision of land transportation services. It operates through the following segments: Public Transport Services; Taxi; Bus Station; Automotive Engineering Services; Inspection and Testing Services; Car Rental and Leasing; and Driving Centre. The Public Transport Services segment engages in the provision of bus and rail services to commuters travelling on public transport systems, contracted revenue for operation of scheduled services, provision of coach rental services and ancillary advertisement. The Taxi segment engages in renting out taxis, operating taxi bureau services and ancillary advertisement. The Bus Station segment engages in fare collection. The Automotive Engineering Services segment engages in the provision of vehicular maintenance and repair services, construction of specialized vehicles, assembly of bus bodies, crash repair services, engineering services and sale of diesel. The Inspection and Testing Services segment engages in the provision of motor vehicle inspection services and provision of non-vehicle testing, inspection and consultancy services. The Car Rental and Leasing segment engages in renting and leasing of cars. The Driving Centre segment operates driving schools. The company was founded on March 29, 2003 and is headquartered in Singapore.
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