Fortum Dividend yield




   EUR/share 
 Price  16.53
 Dividend  1.14
 Earnings  1.01
 Cash-flow  5.51
 Book value  13.78
 Equity  14.03

Fortum is part of Electricity business, which is part of Utilities industry. Fortum is a company from Finland, and his stocks are publicly traded.

Fortum paid a total dividend of 1,012 million EUR last year, for a market value of 14,679 millions (Market Cap 7,124 millions). Dividend per share of Fortum is 1.14 EUR, and his stock market price 16.53 EUR.

According to the chart below, where dividend yield is displayed, Fortum has a dividend yield of 6.90%, which is higher than the amount offered by both the market average and companies from Finland. 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 Fortum dividend yield with other Electricity companies or firms from Finland.

Dividend yield of Fortum

Fortum Dividend Payout

About the ability of Fortum to maintain his current dividend of EUR 1.14 per share, an amount that accounts for 6.90%, we should study its payout ratio both on earnings and on cash-flows (see chart below). Fortum payout on ernings is currently 112.87%, which is higher than the market average, and companies of Utilities industry, which are 38.25% and 54.88% respectively. Both figures show that Fortum 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 Fortum is EUR 5.51 per share, which is higher than the dividend per share paid by the company of EUR 1.14, so the company generates enough cash to maintain his dividend in the future.

The following figure shows payout ratios over earnings and cashflow of Fortum, compared againt world market average, Finland companies, Utilities industry and Electricity sector companies.

Fortum payout

Fortum Dividend History

Year Yield  EUR  Paypout  Shares* 
Present6.90%1.14112.87%888
20214.15%1.1250.68%888
20205.58%1.1062.50%888
20195.00%1.10105.77%888
20185.76%1.10108.91%888
20176.67%1.10189.66%888
20168.03%1.1023.31%891
20157.96%1.1031.07%891

*In millions

Fortum Stock performance

Finally, last moth Fortum showed a return of -12.30% compared to a worldwide 1.12% average, and a 2.24% of Utilities firms. Over the last year, the company obtained a -27.40% versus a worldwide performance of a 5.73%. More detailed information can be seen in the following graph for Finland and Electricity firms.

Fortum stock and market return