National Grid Dividend yield




   GBP/share 
 Price  8.85
 Dividend  0.49
 Earnings  0.52
 Cash-flow  1.04
 Book value  5.53
 Equity  5.59

National Grid is part of Gas Water and Multiutilities business, which is part of Utilities industry. National Grid is a company from UK, and his stocks are publicly traded.

National Grid paid a total dividend of 1,742 million GBP last year, for a market value of 31,462 millions (Market Cap 31,405 millions). Dividend per share of National Grid is 0.49 GBP, and his stock market price 8.85 GBP.

According to the chart below, where dividend yield is displayed, National Grid has a dividend yield of 5.56%, which is higher than the amount offered by both the market average and companies from UK. It is also bigger than average of Utilities 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 National Grid dividend yield with other Gas Water and Multiutilities companies or firms from UK.

Dividend yield of National Grid

National Grid Dividend Payout

About the ability of National Grid to maintain his current dividend of GBP 0.49 per share, an amount that accounts for 5.56%, we should study its payout ratio both on earnings and on cash-flows (see chart below). National Grid payout on ernings is currently 94.23%, which is higher than the market average, and companies of Utilities industry, which are 39.27% and 52.49% respectively. Both figures show that National Grid 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 National Grid is GBP 1.04 per share, which is higher than the dividend per share paid by the company of GBP 0.49, so the company generates enough cash to maintain his dividend in the future.

The following figure shows payout ratios over earnings and cashflow of National Grid, compared againt world market average, UK companies, Utilities industry and Gas Water and Multiutilities sector companies.

National Grid payout

National Grid Dividend History

Year Yield  GBP  Paypout  Shares* 
Present5.56%0.4994.23%3,555
20205.66%0.49119.51%3,510
20195.07%0.48100.00%3,480
20186.09%0.4743.12%3,399
20175.10%0.4519.07%3,391
20164.76%0.4359.72%3,772
20154.66%0.4375.44%3,772

*In millions

National Grid Stock performance

Finally, last moth National Grid showed a return of -6.00% compared to a worldwide -1.33% average, and a -0.64% of Utilities firms. Over the last year, the company obtained a -0.60% versus a worldwide performance of a 31.58%. More detailed information can be seen in the following graph for UK and Gas Water and Multiutilities firms.

National Grid stock and market return