Is NASDAQ:GNTX a Good Fit for Dividend Investing?

GENTEX CORP (NASDAQ:GNTX) has caught the attention of dividend investors as a stock worth considering. NASDAQ:GNTX excels in profitability, solvency, and liquidity, all while providing a decent dividend. Let's delve into the details.

Dividend Insights: NASDAQ:GNTX

An integral part of ChartMill's stock analysis is the Dividend Rating, which spans from 0 to 10. This rating evaluates diverse dividend factors, including yield, historical data, growth, and sustainability. NASDAQ:GNTX has received a 7 out of 10:

• GNTX's Dividend Yield is rather good when compared to the industry average which is at 2.54. GNTX pays more dividend than 80.95% of the companies in the same industry.
• GNTX has been paying a dividend for at least 10 years, so it has a reliable track record.
• GNTX has not decreased their dividend for at least 10 years, which is a reliable track record.
• 25.85% of the earnings are spent on dividend by GNTX. This is a low number and sustainable payout ratio.
• The dividend of GNTX is growing, but earnings are growing more, so the dividend growth is sustainable.

Health Analysis for NASDAQ:GNTX

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. NASDAQ:GNTX has earned a 10 out of 10:

• An Altman-Z score of 16.69 indicates that GNTX is not in any danger for bankruptcy at the moment.
• GNTX's Altman-Z score of 16.69 is amongst the best of the industry. GNTX outperforms 97.62% of its industry peers.
• There is no outstanding debt for GNTX. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
• A Current Ratio of 3.52 indicates that GNTX has no problem at all paying its short term obligations.
• With an excellent Current ratio value of 3.52, GNTX belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
• GNTX has a Quick Ratio of 2.09. This indicates that GNTX is financially healthy and has no problem in meeting its short term obligations.
• GNTX's Quick ratio of 2.09 is amongst the best of the industry. GNTX outperforms 80.95% of its industry peers.

Assessing Profitability for NASDAQ:GNTX

ChartMill utilizes a Profitability Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of profitability ratios and margins, both in absolute terms and in comparison to industry peers. NASDAQ:GNTX has earned a 8 out of 10:

• With an excellent Return On Assets value of 15.94%, GNTX belongs to the best of the industry, outperforming 95.24% of the companies in the same industry.
• GNTX's Return On Equity of 18.20% is amongst the best of the industry. GNTX outperforms 85.71% of its industry peers.
• GNTX's Return On Invested Capital of 18.17% is amongst the best of the industry. GNTX outperforms 92.86% of its industry peers.
• GNTX had an Average Return On Invested Capital over the past 3 years of 17.11%. This is significantly above the industry average of 9.31%.
• The last Return On Invested Capital (18.17%) for GNTX is above the 3 year average (17.11%), which is a sign of increasing profitability.
• With an excellent Profit Margin value of 18.50%, GNTX belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
• GNTX has a better Operating Margin (21.89%) than 100.00% of its industry peers.
• GNTX has a better Gross Margin (33.78%) than 85.71% of its industry peers.

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Our latest full fundamental report of GNTX contains the most current fundamental analsysis.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.