Is BRISTOL-MYERS SQUIBB CO (NYSE:BMY) suited for dividend investing?

Discover BRISTOL-MYERS SQUIBB CO (NYSE:BMY)—a stock that our stock screener has recognized as a solid dividend pick with strong fundamentals. BMY showcases decent financial health and profitability while providing a sustainable dividend. We'll explore the specifics further.

ChartMill's Evaluation of Dividend

ChartMill assigns a Dividend Rating to each stock, ranging from 0 to 10. This rating is calculated by analyzing various dividend elements, such as yield, historical performance, dividend growth, and sustainability. BMY has been awarded a 7 for its dividend quality:

• BMY has a Yearly Dividend Yield of 4.11%, which is a nice return.
• BMY's Dividend Yield is rather good when compared to the industry average which is at 4.41. BMY pays more dividend than 95.83% of the companies in the same industry.
• BMY's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
• On average, the dividend of BMY grows each year by 11.67%, which is quite nice.
• BMY has paid a dividend for at least 10 years, which is a reliable track record.
• The dividend of BMY is growing, but earnings are growing more, so the dividend growth is sustainable.

Health Insights: BMY

ChartMill employs a unique Health Rating system for all stocks. This rating, ranging from 0 to 10, is determined by analyzing various liquidity and solvency ratios. For BMY, the assigned 5 for health provides valuable insights:

• Looking at the Altman-Z score, with a value of 2.19, BMY is in the better half of the industry, outperforming 70.31% of the companies in the same industry.
• BMY has a debt to FCF ratio of 3.56. This is a good value and a sign of high solvency as BMY would need 3.56 years to pay back of all of its debts.
• BMY has a better Debt to FCF ratio (3.56) than 89.06% of its industry peers.

Assessing Profitability for BMY

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, BMY has achieved a 6:

• With a decent Return On Assets value of -9.66%, BMY is doing good in the industry, outperforming 69.79% of the companies in the same industry.
• BMY has a better Return On Invested Capital (13.21%) than 90.10% of its industry peers.
• The last Return On Invested Capital (13.21%) for BMY is above the 3 year average (12.29%), which is a sign of increasing profitability.
• The Operating Margin of BMY (23.90%) is better than 89.58% of its industry peers.
• With an excellent Gross Margin value of 75.26%, BMY belongs to the best of the industry, outperforming 81.77% of the companies in the same industry.

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 BMY

Disclaimer

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.