Exploring the Dividend Performance, Yield, and Sustainability of JOYY Inc
JOYY Inc(YY, Financial) recently announced a dividend of $0.2 per share, payable on 2023-10-13, with the ex-dividend date set for 2023-09-25. 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 deep dive into JOYY Inc's dividend performance and assess its sustainability.
Introducing JOYY Inc
JOYY Inc is a social media platform engaged in creating and sharing entertainment content and activities. It enables users to interact in real time through online live media, offering an immersive entertainment experience. Its products include Bigo Live, Likee, and Hago, spanning live streaming platforms, short-form video platforms, and instant messaging platforms. With two reporting segments, Bigo and All Other, JOYY Inc has a presence in China, developed countries, the Middle East, Southeast Asia, and others.
JOYY Inc's Dividend History
JOYY Inc has maintained a consistent dividend payment record since 2020, with dividends currently distributed on a quarterly basis. The chart below shows the annual Dividends Per Share for tracking historical trends.
JOYY Inc's Dividend Yield and Growth
As of today, JOYY Inc has a 12-month trailing dividend yield of 5.09% and a 12-month forward dividend yield of 4.32%, suggesting an expected decrease in dividend payments over the next 12 months. Based on JOYY Inc's dividend yield and five-year growth rate, the 5-year yield on cost of JOYY Inc stock as of today is approximately 5.09%.
Assessing Dividend Sustainability: Payout Ratio and Profitability
To evaluate the sustainability of the dividend, it's crucial to examine 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 2023-06-30, JOYY Inc's dividend payout ratio is 0.50.
JOYY Inc's profitability rank, offers an understanding of the company's earnings prowess relative to its peers. GuruFocus ranks JOYY Inc's profitability 8 out of 10 as of 2023-06-30, suggesting good profitability prospects. The company has reported net profit in 9 years out of the past 10 years.
Future Growth Prospects
To ensure the sustainability of dividends, a company must have robust growth metrics. JOYY Inc's growth rank of 8 out of 10 suggests that the company's growth trajectory is good relative to its competitors. JOYY Inc's revenue per share, combined with the 3-year revenue growth rate, indicates a strong revenue model. JOYY Inc's revenue has increased by approximately 36.00% per year on average, a rate that outperforms approximately 83.07% of global competitors.
Conclusion
JOYY Inc's consistent dividend payments, good profitability, and robust growth metrics make it an attractive option for dividend-focused investors. However, the expected decrease in dividend payments over the next 12 months warrants close monitoring. GuruFocus Premium users can screen for high-dividend yield stocks using the High Dividend Yield Screener.
