ABB Dividend yield




   CHF/share 
 Price  28.56
 Dividend  0.80
 Earnings  2.53
 Cash-flow  0.78
 Book value  6.80
 Equity  6.68

ABB is part of Industrial Engineering business, which is part of Industrials industry. ABB is a company from Switzerland, and his stocks are publicly traded.

ABB paid a total dividend of 1,625 million CHF last year, for a market value of 58,005 millions (Market Cap 48,518 millions). Dividend per share of ABB is 0.80 CHF, and his stock market price 28.56 CHF.

According to the chart below, where dividend yield is displayed, ABB has a dividend yield of 2.80%, which is higher than the amount offered by both the market average and companies from Switzerland. It is also bigger than average of Industrials 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 ABB dividend yield with other Industrial Engineering companies or firms from Switzerland.

Dividend yield of ABB

ABB Dividend Payout

About the ability of ABB to maintain his current dividend of CHF 0.80 per share, an amount that accounts for 2.80%, we should study its payout ratio both on earnings and on cash-flows (see chart below). ABB payout on ernings is currently 31.62%, which is lower than the market average and companies of Industrials industry, which are 38.17% and 33.06% respectively. Both figures lead us to believe that there is confidence that ABBcan 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 ABB is CHF 0.78 per share, which is lower than the dividend per share paid by the company of CHF 0.80, 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 ABB, compared againt world market average, Switzerland companies, Industrials industry and Industrial Engineering sector companies.

ABB payout

ABB Dividend History

Year Yield  CHF  Paypout  Shares* 
Present2.80%0.8031.62%2,031
20203.24%0.8096.39%2,134
20193.42%0.8069.57%2,132
20184.17%0.7866.10%2,129
20172.91%0.7673.08%2,144
20163.57%0.7469.81%2,127
20152.82%0.5543.65%2,221

*In millions

ABB Stock performance

Finally, last moth ABB showed a return of 9.30% compared to a worldwide 4.24% average, and a 5.39% of Industrials firms. Over the last year, the company obtained a 68.00% versus a worldwide performance of a 53.49%. More detailed information can be seen in the following graph for Switzerland and Industrial Engineering firms.

ABB stock and market return