27 Feb '16, 12am

Sustainability of dividends: For dividend investors, we all wanted the above. How do you determine if dividends are…

For dividend investors, we all wanted the above. How do you determine if dividends are sustainable beyond simple numbers like FCF, and NP above distribution? I like to share mine, and hope readers generously share theirs. I am Talking about absolute sum of distribution not yield as yield is a function of price. Distribution amount can be the same or even increasing but yield falling due to runaway prices. Determine “will” to give: 1) Track records and whether owners owned a significant stake (>35%) 2) Case of even in a bad year, dividends is maintained. While some might consider as imprudent, I see it as a good will gesture. Examples include Venture and CMPH 2) Level of buffer of FCF Dun just take FCF as OCF – Capex. Take tax away too, there are some reports that add back finance costs in OCF. Take that away too. 3) …

Full article: http://thefinance.sg/2016/02/27/sustainability-of-dividends/

Tweets

via @SustainBrands

via @SustainBrands

sustainablebrands.com 26 Feb '16, 10pm

“Movies can help drive a focused interest in complex issues that many would ordinarily shy away from. They celebrate great...

Dividend Income Update – 1st Quarter 2016: As p...

thefinance.sg 27 Feb '16, 3pm

As previously mentioned in the last quarterly update , this will be an attempt to try and provide a quarterly dividend inc...

The Gordon dividend growth model: Gordon divide...

thefinance.sg 22 Feb '16, 2pm

Gordon dividend growth model part 1 The dividend growth model is one of the earliest, if not the earliest, ways of valuing...