Analyzing NYSE:FLO's Dividend Potential.

Last update: Jun 17, 2024

Unearth the potential of FLOWERS FOODS INC (NYSE:FLO) as a dividend stock recommended by our stock screening tool. NYSE:FLO maintains a robust financial footing and delivers a sustainable dividend. We'll delve into the details below.

Deciphering NYSE:FLO's Dividend Rating

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:FLO has achieved a 7 out of 10:

FLO has a Yearly Dividend Yield of 4.24%, which is a nice return.
Compared to an average industry Dividend Yield of 3.72, FLO pays a better dividend. On top of this FLO pays more dividend than 89.13% of the companies listed in the same industry.
FLO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
The dividend of FLO is nicely growing with an annual growth rate of 10.15%!
FLO has been paying a dividend for at least 10 years, so it has a reliable track record.
FLO has not decreased their dividend for at least 10 years, which is a reliable track record.

Analyzing Health Metrics

ChartMill assigns a proprietary Health Rating to each stock. The score is computed by evaluating various liquidity and solvency ratios and ranges from 0 to 10. NYSE:FLO was assigned a score of 5 for health:

FLO has an Altman-Z score of 3.61. This indicates that FLO is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of FLO (3.61) is better than 78.26% of its industry peers.
The Debt to FCF ratio of FLO is 3.92, which is a good value as it means it would take FLO, 3.92 years of fcf income to pay off all of its debts.
FLO has a Debt to FCF ratio of 3.92. This is in the better half of the industry: FLO outperforms 77.17% of its industry peers.

A Closer Look at Profitability for NYSE:FLO

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NYSE:FLO was assigned a score of 7 for profitability:

With a decent Return On Assets value of 3.67%, FLO is doing good in the industry, outperforming 61.96% of the companies in the same industry.
FLO has a Return On Equity of 9.14%. This is in the better half of the industry: FLO outperforms 63.04% of its industry peers.
FLO has a better Return On Invested Capital (9.37%) than 84.78% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FLO is above the industry average of 7.81%.
FLO's Operating Margin of 6.63% is fine compared to the rest of the industry. FLO outperforms 69.57% of its industry peers.
FLO's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 48.79%, FLO belongs to the best of the industry, outperforming 97.83% of the companies in the same industry.

Our Best Dividend screener lists more Best Dividend stocks and is updated daily.

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

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.