Nestle Dividend yield




   CHF/share 
 Price  105.34
 Dividend  2.70
 Earnings  4.52
 Cash-flow  5.16
 Book value  16.46
 Equity  17.59

Nestle is part of Food Producers business, which is part of Consumer Goods industry. Nestle is a company from Switzerland, and his stocks are publicly traded.

Nestle paid a total dividend of 7,520 million CHF last year, for a market value of 293,372 millions (Market Cap 293,377 millions). Dividend per share of Nestle is 2.70 CHF, and his stock market price 105.34 CHF.

According to the chart below, where dividend yield is displayed, Nestle has a dividend yield of 2.56%, which is higher than the amount offered by both the market average and companies from Switzerland. It is also bigger than average of Consumer Goods 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 Nestle dividend yield with other Food Producers companies or firms from Switzerland.

Dividend yield of Nestle

Nestle Dividend Payout

About the ability of Nestle to maintain his current dividend of CHF 2.70 per share, an amount that accounts for 2.56%, we should study its payout ratio both on earnings and on cash-flows (see chart below). Nestle payout on ernings is currently 59.73%, which is higher than the market average, and companies of Consumer Goods industry, which are 38.16% and 45.22% respectively. Both figures show that Nestle 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 Nestle is CHF 5.16 per share, which is higher than the dividend per share paid by the company of CHF 2.70, so the company generates enough cash to maintain his dividend in the future.

The following figure shows payout ratios over earnings and cashflow of Nestle, compared againt world market average, Switzerland companies, Consumer Goods industry and Food Producers sector companies.

Nestle payout

Nestle Dividend History

Year Yield  CHF  Paypout  Shares* 
Present2.56%2.7059.73%2,785
20202.59%2.7058.57%2,785
20192.34%2.4567.49%2,888
20182.94%2.35104.91%3,008
20172.74%2.3080.42%3,098
20163.29%2.2574.01%3,085
20152.88%2.2046.71%3,132

*In millions

Nestle Stock performance

Finally, last moth Nestle showed a return of 10.90% compared to a worldwide 4.25% average, and a 4.48% of Consumer Goods firms. Over the last year, the company obtained a 5.90% versus a worldwide performance of a 53.42%. More detailed information can be seen in the following graph for Switzerland and Food Producers firms.

Nestle stock and market return