M&G Dividend yield

 Price  2.07
 Dividend  0.18
 Earnings  0.44
 Cash-flow  0.77
 Book value  2.07
 Equity  2.04

M&G is part of Financial Services business, which is part of Financials industry. M&G is a company from UK, and his stocks are publicly traded.

M&G paid a total dividend of 468 million GBP last year, for a market value of 5,382 millions (Market Cap 5,387 millions). Dividend per share of M&G is 0.18 GBP, and his stock market price 2.07 GBP.

According to the chart below, where dividend yield is displayed, M&G has a dividend yield of 8.79%, which is higher than the amount offered by both the market average and companies from UK. 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 M&G dividend yield with other Financial Services companies or firms from UK.

Dividend yield of M&G

M&G Dividend Payout

About the ability of M&G to maintain his current dividend of GBP 0.18 per share, an amount that accounts for 8.79%, we should study its payout ratio both on earnings and on cash-flows (see chart below). M&G payout on ernings is currently 40.91%, which is higher than the market average, but lower than companies of Financials industry, which are 38.16% and 41.40% respectively. Both figures show that M&G should not have problems to continue paying his 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 M&G is GBP 0.77 per share, which is higher than the dividend per share paid by the company of GBP 0.18, so the company generates enough cash to maintain his dividend in the future.

The following figure shows payout ratios over earnings and cashflow of M&G, compared againt world market average, UK companies, Financials industry and Financial Services sector companies.

M&G payout

M&G Dividend History

Year Yield  GBP  Paypout  Shares* 

*In millions

M&G Stock performance

Finally, last moth M&G showed a return of 12.80% compared to a worldwide 4.25% average, and a 4.06% of Financials firms. Over the last year, the company obtained a 89.20% versus a worldwide performance of a 53.42%. More detailed information can be seen in the following graph for UK and Financial Services firms.

M&G stock and market return