GSK Dividend yield

 Price  14.29
 Dividend  0.86
 Earnings  1.37
 Cash-flow  1.76
 Book value  3.66
 Equity  3.64

GSK is part of Pharmaceuticals and Biotechnology business, which is part of Health Care industry. GSK is a company from UK, and his stocks are publicly traded.

GSK paid a total dividend of 3,498 million GBP last year, for a market value of 58,117 millions (Market Cap 57,056 millions). Dividend per share of GSK is 0.86 GBP, and his stock market price 14.29 GBP.

According to the chart below, where dividend yield is displayed, GSK has a dividend yield of 6.04%, which is higher than the amount offered by both the market average and companies from UK. It is also bigger than average of Health Care industry. This high dividend yield might be a sign to worry about the future of the company so deeper analysis is needed.

In addition, you should compare GSK dividend yield with other Pharmaceuticals and Biotechnology companies or firms from UK.

Dividend yield of GSK

GSK Dividend Payout

About the ability of GSK to maintain his current dividend of GBP 0.86 per share, an amount that accounts for 6.04%, we should study its payout ratio both on earnings and on cash-flows (see chart below). GSK payout on ernings is currently 62.77%, which is higher than the market average, and companies of Health Care industry, which are 41.59% and 34.33% respectively. Both figures show that GSK can have problems to keep with his present dividend yield.

The payout on earnings should be complemented with the payout on cash flow since it is this last amount the one which can be distributed to shareholders. Cash flow per share of GSK is GBP 1.76 per share, which is higher than the dividend per share paid by the company of GBP 0.86, so the company generates enough cash to maintain his dividend in the future.

The following figure shows payout ratios over earnings and cashflow of GSK, compared againt world market average, UK companies, Health Care industry and Pharmaceuticals and Biotechnology sector companies.

GSK payout

GSK Dividend History

No data available

GSK Stock performance

Finally, last moth GSK showed a return of 9.40% compared to a worldwide 3.75% average, and a 6.02% of Health Care firms. Over the last year, the company obtained a -4.40% versus a worldwide performance of a -9.52%. More detailed information can be seen in the following graph for UK and Pharmaceuticals and Biotechnology firms.

GSK stock and market return