Telkom SA SOC Dividend yield




   ZAR/share 
 Price  42.36
 Dividend  1.22
 Earnings  2.51
 Cash-flow  20.17
 Book value  60.51
 Equity  58.37

Telkom SA SOC is part of Fixed Line Telecommunications business, which is part of Telecommunications industry. Telkom SA SOC is a company from South Africa, and his stocks are publicly traded.

Telkom SA SOC paid a total dividend of 623 million ZAR last year, for a market value of 21,646 millions (Market Cap 12,264 millions). Dividend per share of Telkom SA SOC is 1.22 ZAR, and his stock market price 42.36 ZAR.

According to the chart below, where dividend yield is displayed, Telkom SA SOC has a dividend yield of 2.87%, which is similar to the amount offered by both the market average and companies from South Africa. However, it is lower than the average of Telecommunications industry. The company should be deeply analized because dividend yields should be similar among companies from the same industry unless they carry an opposite strategy.

In addition, you should compare Telkom SA SOC dividend yield with other Fixed Line Telecommunications companies or firms from South Africa.

Dividend yield of Telkom SA SOC

Telkom SA SOC Dividend Payout

About the ability of Telkom SA SOC to maintain his current dividend of ZAR 1.22 per share, an amount that accounts for 2.87%, we should study its payout ratio both on earnings and on cash-flows (see chart below). Telkom SA SOC payout on ernings is currently 48.61%, which is higher than the market average, but lower than companies of Telecommunications industry, which are 38.17% and 54.76% respectively. Both figures show that Telkom SA SOC 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 Telkom SA SOC is ZAR 20.17 per share, which is higher than the dividend per share paid by the company of ZAR 1.22, so the company generates enough cash to maintain his dividend in the future.

The following figure shows payout ratios over earnings and cashflow of Telkom SA SOC, compared againt world market average, South Africa companies, Telecommunications industry and Fixed Line Telecommunications sector companies.

Telkom SA SOC payout

Telkom SA SOC Dividend History

Year Yield  ZAR  Paypout  Shares* 
Present2.87%1.2248.61%511
20203.96%1.2248.41%511
20199.22%3.2147.00%511
20185.52%3.4946.35%511
20178.50%4.0947.61%527
20165.76%4.0166.83%525
20153.48%2.1528.86%525

*In millions

Telkom SA SOC Stock performance

Finally, last moth Telkom SA SOC showed a return of 3.60% compared to a worldwide 4.24% average, and a 3.59% of Telecommunications firms. Over the last year, the company obtained a 106.30% versus a worldwide performance of a 53.49%. More detailed information can be seen in the following graph for South Africa and Fixed Line Telecommunications firms.

Telkom SA SOC stock and market return