Richards Packaging to distribute dividends with a 3.8% yield

Must read

Bank CEO shrugs off U.S. war on ‘woke’ capital, says ESG investing is good for business

Bill Winters, Chief Executive Officer at the Standard Chartered Bank, attends a panel session of the World Governments Summit in Dubai on February 12,...

Russia offering African governments ‘regime survival package’ in exchange for resources, report says

OUAGADOUGOU, Burkina Faso - Jan. 20, 2023: A banner of Russian President Vladimir Putin is seen during a protest to support the Burkina Faso...

Smartphone makers are dreaming of a ‘supercycle’ driven by AI. Analysts disagree

Samsung Electronics' flagship smartphones Galaxy S24 series are displayed during their unveiling ceremony in Seoul, South Korea, January 15, 2024. Kim Hong-ji | ReutersBARCELONA –...

The 11 GRANOLAS stocks power Europe to record highs, drawing Magnificent Seven comparisons

The German share price index DAX graph is pictured at the stock exchange in Frankfurt, Germany, January 19, 2024. Staff | ReutersOver the last 12...

Richards Packaging to distribute dividends with a 3.8% yield © Reuters.

Richards Packaging (NYSE:) Income Fund (TSE:RPI.UN) announced today that it will distribute dividends on December 14, showcasing a yield of 3.8%. This decision is backed by strong earnings and effective cash generation, highlighting the company’s sustainability and potential for growth.

The firm has demonstrated a commitment to its shareholders through a consistent increase in dividends, moving from CA$0.786 in 2013 to CA$1.32 recently. This change represents an annual growth rate of 5.3%, signifying the company’s dedication to dividend stability and enhancing shareholder value.

Looking ahead, Richards Packaging is expected to see a 2.8% increase in earnings per share (EPS) for the next year, with a payout ratio that is estimated to remain at a comfortable level of 51%. This suggests that future dividend growth is likely, which could further appeal to income-focused investors.

The company’s financial strength is further evidenced by an impressive annual EPS growth rate of 15% over the past five years, coupled with a low payout ratio. These factors make Richards Packaging stand out as an attractive income stock option. However, investors are advised to consider insider shareholdings as well when making investment decisions, ensuring a well-rounded analysis of the company’s prospects.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

More articles

Latest article

Bank CEO shrugs off U.S. war on ‘woke’ capital, says ESG investing is good for business

Bill Winters, Chief Executive Officer at the Standard Chartered Bank, attends a panel session of the World Governments Summit in Dubai on February 12,...

Russia offering African governments ‘regime survival package’ in exchange for resources, report says

OUAGADOUGOU, Burkina Faso - Jan. 20, 2023: A banner of Russian President Vladimir Putin is seen during a protest to support the Burkina Faso...

Smartphone makers are dreaming of a ‘supercycle’ driven by AI. Analysts disagree

Samsung Electronics' flagship smartphones Galaxy S24 series are displayed during their unveiling ceremony in Seoul, South Korea, January 15, 2024. Kim Hong-ji | ReutersBARCELONA –...

The 11 GRANOLAS stocks power Europe to record highs, drawing Magnificent Seven comparisons

The German share price index DAX graph is pictured at the stock exchange in Frankfurt, Germany, January 19, 2024. Staff | ReutersOver the last 12...

eToro wants to bring its trading app to Apple Vision Pro and Meta Quest headsets

An Apple Vision Pro mixed reality (XR) headset is seen at Apple store in New York, United States on Feb. 3, 2024.Fatih Aktas |...