McDonald’s And 3 Other Stocks Have Very High Payout Ratio

(VIANEWS) – Capital Southwest Corporation (CSWC), McDonald’s (MCD), First Hawaiian (FHB) are the highest payout ratio stocks on this list.

We have congregated information about stocks with the highest payout ratio so far. The payout ratio in itself isn’t a promise of good investment but it’s an indicator of whether dividends are being paid and how the company chooses to issue them.

When investigating a potential investment, the dividend payout ratio is a good statistic to know so here are a few stocks with an above 30% percent payout ratio.

1. Capital Southwest Corporation (CSWC)

148.18% Payout Ratio

Capital Southwest Corporation is a business development company specializing in credit and private equity and venture capital investments in middle market companies, mezzanine, later stage, mature, late venture, emerging growth, buyouts, recapitalizations and growth capital investments. It does not invest in startups, publicly traded companies, real estate developments, project finance opportunities, oil and gas exploration businesses, troubled companies, turnarounds, and companies in which significant senior management is departing. In lower middle market, the firm typically invests in growth financing, bolt-on acquisitions, new platform acquisitions, refinancing, dividend recapitalizations, sponsor-led buyouts, and management buyouts situations. The investment structures are Unitranche debt, subordinated debt, senior debt, first and second lien debt, and preferred and common equity. The firm makes equity co-investments alongside debt investments, up to 20% of total check and only makes non-control investments. It prefers to invest in Industrial manufacturing and services, value-added distribution, healthcare products and services, business services, specialty chemicals, food and beverage, tech-enabled services and SaaS models. The firm seeks to invest in energy services and products, industrial technologies, and specialty chemicals and products. Within energy services and products, the firm seeks to invest in each segment of the industry, including upstream, midstream and downstream, excluding exploration and production with a focus on differentiated products and services, equipment and tool rental, consumable products, and drilling and completion chemicals. Within industrial technologies, it seeks to invest in automation and process controls, handling and packaging equipment, industrial filtration and fluid handling, measurement, monitoring and testing, professional tools, and sensors and instrumentation. Within and specialty chemicals and products, the firm seeks to invest in businesses that develop and manufacture highly differentiated chemicals and products including adhesives, coatings and sealants, catalysts and absorbents, cosmeceuticals, fine chemicals, flavors and fragrances, performance lubricants, polymers, plastics and composites, chemical dispensing and filtration equipment, professional and industrial trade consumables and tools, engineered solutions for HVAC, plumbing, and electrical installations, specified high performance materials for fire protection and oilfield applications. It may also invest in exceptional opportunities in building products. The firm seeks to invest in the United States. The firm seeks to make investments ranging from $5 to $25 million in securities. It seeks to make equity investments up to $5 million and debt investments between $5 million and $20 million and co-invest in transaction size upto $40 million. It prefers to invest in companies with revenues approaching above $10 million, profitable operations, historical growth rate of at least 15 percent per year. . Within the lower middle market, it seeks to invest in with less than $15 million in EBITDA and also opportunistically invests in the upper middle market, generally defined as companies with EBITDA in excess of $50 million. In addition to making direct investments, the firm allocates capital to syndicated first and second lien term loans in the upper middle market. Criteria for Upper Middle Market Syndicated 1st Lien is EBITDA Size more than $30 million, Closing Leverage greater than 4 times, investment hold size between $5 million and $7 million, investment yield greater than 6.5%. Criteria for Upper Middle Market Syndicated 2nd Lien is EBITDA Size more than $50 million, Closing Leverage greater than 6 times, investment hold size between $5 million and $7 million, investment yield greater than 9%. It prefers to take a majority and minority stake. The firm has the flexibility to hold investments for very long period in its portfolio companies. It may also invest through warrants. The firm prefers to take Board participation in its portfolio companies. Capital Southwest Corporation was founded on April 19, 1961 and is based in Dallas, Texas.

Earnings Per Share

As for profitability, Capital Southwest Corporation has a trailing twelve months EPS of $1.36.

PE Ratio

Capital Southwest Corporation has a trailing twelve months price to earnings ratio of 12.42. Meaning, the purchaser of the share is investing $12.42 for every dollar of annual earnings.

The company’s return on equity, which measures the profitability of a business relative to shareholder’s equity, for the twelve trailing months is 7.29%.

Revenue Growth

Year-on-year quarterly revenue growth grew by 46.9%, now sitting on 103.14M for the twelve trailing months.

Volume

Today’s last reported volume for Capital Southwest Corporation is 497866 which is 60.88% above its average volume of 309454.

Growth Estimates Quarters

The company’s growth estimates for the ongoing quarter and the next is 20% and 26.5%, respectively.

2. McDonald’s (MCD)

67.95% Payout Ratio

McDonald's Corporation operates and franchises McDonald's restaurants in the United States and internationally. Its restaurants offer hamburgers and cheeseburgers, chicken sandwiches and nuggets, wraps, fries, salads, oatmeal, shakes, desserts, sundaes, soft serve cones, bakery items, soft drinks, coffee, and beverages and other beverages, as well as breakfast menu, including biscuit and bagel sandwiches, breakfast burritos, hotcakes, and other sandwiches. As of December 31, 2021, the company operated 40,031 restaurants. McDonald's Corporation was founded in 1940 and is headquartered in Chicago, Illinois.

Earnings Per Share

As for profitability, McDonald’s has a trailing twelve months EPS of $6.89.

PE Ratio

McDonald’s has a trailing twelve months price to earnings ratio of 38.61. Meaning, the purchaser of the share is investing $38.61 for every dollar of annual earnings.

Growth Estimates Quarters

The company’s growth estimates for the ongoing quarter and the next is 0.9% and 4.3%, respectively.

Moving Average

McDonald’s’s worth is under its 50-day moving average of $266.75 and above its 200-day moving average of $259.38.

Dividend Yield

As claimed by Morningstar, Inc., the next dividend payment is on Feb 27, 2023, the estimated forward annual dividend rate is 6.08 and the estimated forward annual dividend yield is 2.33%.

Yearly Top and Bottom Value

McDonald’s’s stock is valued at $266.08 at 08:23 EST, below its 52-week high of $281.67 and way above its 52-week low of $223.16.

3. First Hawaiian (FHB)

50% Payout Ratio

First Hawaiian, Inc. operates as a bank holding company for First Hawaiian Bank that provides a range of banking services to consumer and commercial customers in the United States. It operates in three segments: Retail Banking, Commercial Banking, and Treasury and Other. The company accepts various deposit products, including checking and savings accounts, and time deposit accounts. It also provides residential and commercial mortgage loans, home equity lines of credit, automobile loans and leases, personal lines of credit, installment loans, and small business loans and leases, commercial lease financing, and auto dealer financing. In addition, the company offers personal installment, credit card, individual investment and financial planning, insurance protection, trust and estate, private banking, retirement planning, treasury, and merchant processing services. As of December 31, 2020, it operated 54 branches in Oahu, Maui, Hawaii, Kauai, Lanai, Guam, and Saipan. The company was formerly known as BancWest Corporation and changed its name to First Hawaiian, Inc. in April 2016. The company was founded in 1858 and is headquartered in Honolulu, Hawaii. First Hawaiian, Inc. is a subsidiary of BancWest Corporation.

Earnings Per Share

As for profitability, First Hawaiian has a trailing twelve months EPS of $2.03.

PE Ratio

First Hawaiian has a trailing twelve months price to earnings ratio of 13.17. Meaning, the purchaser of the share is investing $13.17 for every dollar of annual earnings.

The company’s return on equity, which measures the profitability of a business relative to shareholder’s equity, for the twelve trailing months is 10.79%.

Volume

Today’s last reported volume for First Hawaiian is 439159 which is 18.61% below its average volume of 539575.

Revenue Growth

Year-on-year quarterly revenue growth grew by 21.3%, now sitting on 791.68M for the twelve trailing months.

Dividend Yield

As maintained by Morningstar, Inc., the next dividend payment is on Feb 15, 2023, the estimated forward annual dividend rate is 1.04 and the estimated forward annual dividend yield is 3.8%.

Previous days news about First Hawaiian (FHB)

  • According to Zacks on Wednesday, 15 March, "One other stock in the same industry, First Hawaiian (FHB Quick QuoteFHB – Free Report) , finished the last trading session 4.9% higher at $21.17. "

4. Auburn National Bancorporation (AUBN)

35.93% Payout Ratio

Auburn National Bancorporation, Inc. operates as the bank holding company for AuburnBank that provides various banking products and services in East Alabama. The company's deposit products include checking, savings, and transaction deposit accounts, as well as certificates of deposit. It also provides commercial, financial, agricultural, real estate construction, and consumer loan products; and other financial services. In addition, the company offers automated teller services; debit cards; online banking, bill payment, and other electronic services; and safe deposit boxes. It operates through seven full-service branches in Auburn, Opelika, Notasulga, and Valley, Alabama; as well as loan production offices in Auburn and Phenix City, Alabama. Auburn National Bancorporation, Inc. was founded in 1907 and is headquartered in Auburn, Alabama.

Earnings Per Share

As for profitability, Auburn National Bancorporation has a trailing twelve months EPS of $2.15.

PE Ratio

Auburn National Bancorporation has a trailing twelve months price to earnings ratio of 10.7. Meaning, the purchaser of the share is investing $10.7 for every dollar of annual earnings.

The company’s return on equity, which measures the profitability of a business relative to shareholder’s equity, for the twelve trailing months is 12.65%.

Moving Average

Auburn National Bancorporation’s worth is below its 50-day moving average of $23.74 and below its 200-day moving average of $25.19.

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