In This Article:
Exploring the Sustainability and Growth Prospects of LondonMetric Property PLC's Dividends
LondonMetric Property PLC (LNSPF) recently announced a dividend of $0.03 per share, payable on 2024-07-22, with the ex-dividend date set for 2024-06-13. 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 LondonMetric Property PLC's dividend performance and assess its sustainability.
What Does LondonMetric Property PLC Do?
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LondonMetric Property PLC is a real estate company that is engaged in property investment and development across the United Kingdom. The company focuses on properties in the retail and distribution businesses. The company categorizes its property portfolios in six segments: Distribution, retail parks, Long income, Office, Residential, and Development. The company generates its revenue mainly from contracted leases.
A Glimpse at LondonMetric Property PLC's Dividend History
LondonMetric Property PLC has maintained a consistent dividend payment record since 2011. Dividends are currently distributed on a quarterly basis. Below is a chart showing annual Dividends Per Share for tracking historical trends.
Breaking Down LondonMetric Property PLC's Dividend Yield and Growth
As of today, LondonMetric Property PLC currently has a 12-month trailing dividend yield of 4.92% and a 12-month forward dividend yield of 5.11%. This suggests an expectation of increased dividend payments over the next 12 months.
Over the past three years, LondonMetric Property PLC's annual dividend growth rate was 4.50%. Extended to a five-year horizon, this rate decreased to 4.00% per year. And over the past decade, LondonMetric Property PLC's annual dividends per share growth rate stands at 3.20%.
Based on LondonMetric Property PLC's dividend yield and five-year growth rate, the 5-year yield on cost of LondonMetric Property PLC stock as of today is approximately 5.99%.
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, LondonMetric Property PLC's dividend payout ratio is 0.90, which may suggest that the company's dividend may not be sustainable.