Understanding Gecina Nom's Dividend Dynamics
Gecina Nom (GECFF, Financial) recently announced a dividend of $2.65 per share, payable on 2024-03-06, with the ex-dividend date set for 2024-03-04. 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 Gecina Nom's dividend performance and assess its sustainability.
What Does Gecina Nom Do?
Gecina Nom is a French real estate investment trust with assets primarily located in Paris, France, and the surrounding region. The majority of Gecina's real estate property portfolio is comprised of office buildings with residential properties also making up a substantial percentage. Most of Gecina's properties are located in the City of Paris, while others are also located in the Paris region and other French cities, such as Lyon. Gecina primarily generates revenue from rental income and the sale of its real estate properties. Most of this rental revenue is derived from its office buildings. Gecina's customers and occupants include businesses, students, and individuals. It also manages the construction, redevelopment, and environmental operations of its assets.
A Glimpse at Gecina Nom's Dividend History
Gecina Nom has maintained a consistent dividend payment record since 2009. Dividends are currently distributed on a bi-annually basis. Below is a chart showing annual Dividends Per Share for tracking historical trends.
Breaking Down Gecina Nom's Dividend Yield and Growth
As of today, Gecina Nom currently has a 12-month trailing dividend yield of 5.81% and a 12-month forward dividend yield of 5.85%. This suggests an expectation of increased dividend payments over the next 12 months. Extended to a five-year horizon, this rate decreased to -0.30% per year. And over the past decade, Gecina Nom's annual dividends per share growth rate stands at 2.20%.
Based on Gecina Nom's dividend yield and five-year growth rate, the 5-year yield on cost of Gecina Nom stock as of today is approximately 5.72%.
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, Gecina Nom's dividend payout ratio is 0.00.
Gecina Nom's profitability rank, offers an understanding of the company's earnings prowess relative to its peers. GuruFocus ranks Gecina Nom's profitability 6 out of 10 as of 2023-12-31, suggesting fair profitability. The company has reported net profit in 9 years out of the past 10 years.
Growth Metrics: The Future Outlook
To ensure the sustainability of dividends, a company must have robust growth metrics. Gecina Nom's growth rank of 6 out of 10 suggests that the company has a fair growth outlook. Revenue is the lifeblood of any company, and Gecina Nom's revenue per share, combined with the 3-year revenue growth rate, indicates a strong revenue model. Gecina Nom's revenue has increased by approximately 1.00% per year on average, a rate that underperforms than approximately 57.78% of global competitors.
Next Steps for Value Investors
In conclusion, Gecina Nom's dividend payments and growth rate suggest a company committed to returning value to shareholders. While the payout ratio is currently non-applicable, the company's fair profitability and growth metrics paint a picture of stability. As investors consider the future prospects of Gecina Nom, they should weigh the combination of a solid dividend yield with the company's strategic position in the real estate market. With an eye on industry trends and Gecina Nom's financial health, value investors can make informed decisions about the sustainability and potential growth of their dividend income. GuruFocus Premium users can screen for high-dividend yield stocks using the High Dividend Yield Screener, which may include Gecina Nom as a candidate for their portfolios.
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.
