Why FLOWERS FOODS INC (NYSE:FLO) provides a good dividend, while having solid fundamentals.

Our stock screening tool has identified FLOWERS FOODS INC (NYSE:FLO) as a strong dividend contender with robust fundamentals. NYSE:FLO exhibits commendable financial health and profitability, all while offering a sustainable dividend. Let's delve into each aspect below.

Dividend Analysis for NYSE:FLO

ChartMill assigns a proprietary Dividend Rating to each stock. The score is computed by evaluating various valuation aspects, like the yield, the history, the dividend growth and sustainability. NYSE:FLO was assigned a score of 8 for dividend:

• FLO has a Yearly Dividend Yield of 5.09%, which is a nice return.
• FLO's Dividend Yield is rather good when compared to the industry average which is at 3.92. FLO pays more dividend than 88.24% of the companies in the same industry.
• FLO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.30.
• On average, the dividend of FLO grows each year by 7.46%, which is quite nice.
• FLO has paid a dividend for at least 10 years, which is a reliable track record.
• FLO has not decreased their dividend for at least 10 years, which is a reliable track record.

Health Analysis for NYSE:FLO

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:

• An Altman-Z score of 3.50 indicates that FLO is not in any danger for bankruptcy at the moment.
• FLO's Altman-Z score of 3.50 is fine compared to the rest of the industry. FLO outperforms 77.65% of its industry peers.
• FLO has a debt to FCF ratio of 3.69. This is a good value and a sign of high solvency as FLO would need 3.69 years to pay back of all of its debts.
• FLO has a better Debt to FCF ratio (3.69) than 69.41% of its industry peers.

Profitability Insights: NYSE:FLO

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:FLO has achieved a 8:

• The Return On Assets of FLO (7.30%) is better than 76.47% of its industry peers.
• FLO has a Return On Equity of 17.60%. This is amongst the best in the industry. FLO outperforms 85.88% of its industry peers.
• FLO's Return On Invested Capital of 10.20% is amongst the best of the industry. FLO outperforms 81.18% of its industry peers.
• The last Return On Invested Capital (10.20%) for FLO is above the 3 year average (9.98%), which is a sign of increasing profitability.
• Looking at the Profit Margin, with a value of 4.86%, FLO is in the better half of the industry, outperforming 68.24% of the companies in the same industry.
• In the last couple of years the Profit Margin of FLO has grown nicely.
• The Operating Margin of FLO (7.44%) is better than 67.06% of its industry peers.
• FLO's Operating Margin has improved in the last couple of years.
• The Gross Margin of FLO (49.50%) is better than 100.00% of its industry peers.

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.