Showa Denko Dividend yield

Showa Denko is part of Chemicals business, which is part of Basic Materials industry. Showa Denko is a company from Japan, and his stocks are publicly traded.

Showa Denko paid a total dividend of 11,679 million JPY last year, for a market value of 301,782 millions (Market Cap 295,695 millions). Dividend per share of Showa Denko is 79.99 JPY, and his stock market price 2,067.00 JPY.

According to the chart below, where dividend yield is displayed, Showa Denko has a dividend yield of 3.87%, which is higher than the amount offered by both the market average and companies from Japan. It is also bigger than average of Basic Materials 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 Showa Denko dividend yield with other Chemicals companies or firms from Japan.

Showa Denko Dividend Payout

About the ability of Showa Denko to maintain his current dividend of JPY 79.99 per share, an amount that accounts for 3.87%, we should study its payout ratio both on earnings and on cash-flows (see chart below). Showa Denko payout on ernings is currently 15.87%, which is lower than the market average and companies of Basic Materials industry, which are 37.66% and 45.45% respectively. Both figures lead us to believe that there is confidence that Showa Denkocan maintain his current dividend.

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 Showa Denko is JPY 530.00 per share, which is higher than the dividend per share paid by the company of JPY 79.99, so the company generates enough cash to maintain his dividend in the future.

The following figure shows payout ratios over earnings and cashflow of Showa Denko, compared againt world market average, Japan companies, Basic Materials industry and Chemicals sector companies.

Showa Denko Stock performance

Finally, last moth Showa Denko showed a return of -5.00% compared to a worldwide 4.36% average, and a 6.04% of Basic Materials firms. Over the last year, the company obtained a -24.60% versus a worldwide performance of a 2.14%. More detailed information can be seen in the following graph for Japan and Chemicals firms.