Old Mutual Ltd Dividend yield




   ZAR/share 
 Price  11.89
 Dividend  1.20
 Earnings  2.24
 Cash-flow  2.90
 Book value  16.99
 Equity  17.78

Old Mutual Ltd is part of Life Insurance business, which is part of Financials industry. Old Mutual Ltd is a company from South Africa, and his stocks are publicly traded.

Old Mutual Ltd paid a total dividend of 5,651 million ZAR last year, for a market value of 55,990 millions (Market Cap 54,272 millions). Dividend per share of Old Mutual Ltd is 1.20 ZAR, and his stock market price 11.89 ZAR.

According to the chart below, where dividend yield is displayed, Old Mutual Ltd has a dividend yield of 10.09%, which is higher than the amount offered by both the market average and companies from South Africa. It is also bigger than average of Financials 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 Old Mutual Ltd dividend yield with other Life Insurance companies or firms from South Africa.

Dividend yield of Old Mutual Ltd

Old Mutual Ltd Dividend Payout

About the ability of Old Mutual Ltd to maintain his current dividend of ZAR 1.20 per share, an amount that accounts for 10.09%, we should study its payout ratio both on earnings and on cash-flows (see chart below). Old Mutual Ltd payout on ernings is currently 53.57%, which is higher than the market average, and companies of Financials industry, which are 38.57% and 41.00% respectively. Both figures show that Old Mutual Ltd 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 Old Mutual Ltd is ZAR 2.90 per share, which is higher than the dividend per share paid by the company of ZAR 1.20, so the company generates enough cash to maintain his dividend in the future.

The following figure shows payout ratios over earnings and cashflow of Old Mutual Ltd, compared againt world market average, South Africa companies, Financials industry and Life Insurance sector companies.

Old Mutual Ltd payout

Old Mutual Ltd Dividend History

Year Yield  ZAR  Paypout  Shares* 
Present10.09%1.2053.57%4,709
20195.95%1.1714.29%4,709
20184.98%1.1229.02%4,932

*In millions

Old Mutual Ltd Stock performance

Finally, last moth Old Mutual Ltd showed a return of 1.70% compared to a worldwide 3.99% average, and a 3.02% of Financials firms. Over the last year, the company obtained a -39.50% versus a worldwide performance of a 6.65%. More detailed information can be seen in the following graph for South Africa and Life Insurance firms.

Old Mutual Ltd stock and market return