Meridian Energy Dividend yield




   NZD/share 
 Price  5.24
 Dividend  0.21
 Earnings  0.27
 Cash-flow  0.18
 Book value  2.18
 Equity  2.11

Meridian Energy is part of Electricity business, which is part of Utilities industry. Meridian Energy is a company from New Zealand, and his stocks are publicly traded.

Meridian Energy paid a total dividend of 541 million NZD last year, for a market value of 13,509 millions (Market Cap 6,483 millions). Dividend per share of Meridian Energy is 0.21 NZD, and his stock market price 5.24 NZD.

According to the chart below, where dividend yield is displayed, Meridian Energy has a dividend yield of 3.96%, which is similar to the amount offered by both the market average and companies from New Zealand. However, it is lower than the average of Utilities industry. The company should be deeply analized because dividend yields should be similar among companies from the same industry unless they carry an opposite strategy.

In addition, you should compare Meridian Energy dividend yield with other Electricity companies or firms from New Zealand.

Dividend yield of Meridian Energy

Meridian Energy Dividend Payout

About the ability of Meridian Energy to maintain his current dividend of NZD 0.21 per share, an amount that accounts for 3.96%, we should study its payout ratio both on earnings and on cash-flows (see chart below). Meridian Energy payout on ernings is currently 77.78%, which is higher than the market average, and companies of Utilities industry, which are 41.22% and 52.83% respectively. Both figures show that Meridian Energy 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 Meridian Energy is NZD 0.18 per share, which is lower than the dividend per share paid by the company of NZD 0.21, so the company does not generate enough cash to maintain his dividend in the future.

The following figure shows payout ratios over earnings and cashflow of Meridian Energy, compared againt world market average, New Zealand companies, Utilities industry and Electricity sector companies.

Meridian Energy payout

Meridian Energy Dividend History

Year Yield  NZD  Paypout  Shares* 
Present3.96%0.2177.78%2,578
20214.01%0.19111.76%2,562
20202.95%0.22275.00%2,563
201910.28%0.51364.29%2,563
20180.00%0.000.00%2,563
20177.21%0.21262.50%2,563
20160.00%0.000.00%2,563

*In millions

Meridian Energy Stock performance

Finally, last moth Meridian Energy showed a return of 7.00% compared to a worldwide -2.30% average, and a -0.70% of Utilities firms. Over the last year, the company obtained a 8.00% versus a worldwide performance of a -5.85%. More detailed information can be seen in the following graph for New Zealand and Electricity firms.

Meridian Energy stock and market return