Exploring NYSE:ALE's dividend characteristics.

Last update: Jul 4, 2024

Our stock screener has singled out ALLETE INC (NYSE:ALE) as a promising choice for dividend investors. NYSE:ALE not only scores well in profitability, solvency, and liquidity but also offers a decent dividend. We'll explore this further.

Dividend Analysis for NYSE:ALE

To gauge a stock's dividend quality, ChartMill utilizes a Dividend Rating ranging from 0 to 10. This comprehensive assessment considers various dividend aspects, including yield, history, growth, and sustainability. NYSE:ALE has achieved a 7 out of 10:

ALE has a Yearly Dividend Yield of 4.52%, which is a nice return.
Compared to an average industry Dividend Yield of 3.81, ALE pays a bit more dividend than its industry peers.
ALE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
ALE has been paying a dividend for at least 10 years, so it has a reliable track record.
ALE has not decreased their dividend for at least 10 years, which is a reliable track record.

Deciphering NYSE:ALE's Health Rating

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NYSE:ALE has earned a 5 out of 10:

ALE has a Altman-Z score of 1.17. This is in the better half of the industry: ALE outperforms 72.73% of its industry peers.
ALE has a better Debt to FCF ratio (6.15) than 88.64% of its industry peers.
The Debt to Equity ratio of ALE (0.63) is better than 75.00% of its industry peers.
With an excellent Current ratio value of 1.66, ALE belongs to the best of the industry, outperforming 86.36% of the companies in the same industry.
Looking at the Quick ratio, with a value of 0.96, ALE is in the better half of the industry, outperforming 63.64% of the companies in the same industry.

Analyzing Profitability Metrics

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, NYSE:ALE has achieved a 5:

ALE's Return On Assets of 3.63% is fine compared to the rest of the industry. ALE outperforms 72.73% of its industry peers.
The last Return On Invested Capital (2.45%) for ALE is above the 3 year average (2.22%), which is a sign of increasing profitability.
ALE has a better Profit Margin (13.94%) than 65.91% of its industry peers.
ALE's Profit Margin has improved in the last couple of years.
ALE has a Gross Margin of 83.27%. This is amongst the best in the industry. ALE outperforms 81.82% of its industry peers.

More Best Dividend stocks can be found in our Best Dividend screener.

For an up to date full fundamental analysis you can check the fundamental report of ALE

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.