China Tower Corp Ltd's Dividend Analysis
In This Article:
Exploring the Sustainability and Growth of Dividends
China Tower Corp Ltd (CHWRF) recently announced a dividend of $0.04 per share, payable on 2024-06-28, with the ex-dividend date set for 2024-05-23. 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 China Tower Corp Ltd's dividend performance and assess its sustainability.
What Does China Tower Corp Ltd Do?
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China Tower Corp Ltd is a telecommunications tower infrastructure service provider. The Company is principally engaged in the construction, maintenance, and operation of base station ancillary facilities such as telecommunications towers, public network coverage in high-speed railways and subways, and large-scale indoor Distributed Antenna Systems (DAS). The business of the company includes Tower business; DAS business; Smart Tower business and Energy business. It generates maximum revenue from the Tower business.
A Glimpse at China Tower Corp Ltd's Dividend History
China Tower Corp Ltd has maintained a consistent dividend payment record since 2021. Dividends are currently distributed on a yearly basis. Below is a chart showing annual Dividends Per Share for tracking historical trends.
Breaking Down China Tower Corp Ltd's Dividend Yield and Growth
As of today, China Tower Corp Ltd currently has a 12-month trailing dividend yield of 3.74% and a 12-month forward dividend yield of 4.21%. This suggests an expectation of increased dividend payments over the next 12 months. Over the past three years, China Tower Corp Ltd's annual dividend growth rate was 28.40%. Based on China Tower Corp Ltd's dividend yield and five-year growth rate, the 5-year yield on cost of China Tower Corp Ltd stock as of today is approximately 3.74%.
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 2024-03-31, China Tower Corp Ltd's dividend payout ratio is 0.50. China Tower Corp Ltd's profitability rank, offers an understanding of the company's earnings prowess relative to its peers. GuruFocus ranks China Tower Corp Ltd's profitability 6 out of 10 as of 2024-03-31, suggesting fair profitability. The company has reported net profit in 8 years out of past 10 years.