Balancing Dividends and Fundamentals: The Case of NYSE:KT.

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

Understanding NYSE:KT's Dividend

ChartMill assigns a Dividend Rating to every stock. This score ranges from 0 to 10 and evaluates the different dividend aspects, including the yield, the growth and sustainability. NYSE:KT scores a 8 out of 10:

• KT has a Yearly Dividend Yield of 5.20%, which is a nice return.
• KT's Dividend Yield is a higher than the industry average which is at 5.04.
• Compared to an average S&P500 Dividend Yield of 2.32, KT pays a better dividend.
• The dividend of KT is nicely growing with an annual growth rate of 11.46%!
• KT has paid a dividend for at least 10 years, which is a reliable track record.
• KT has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.

Understanding NYSE:KT's Health Score

Every stock is evaluated by ChartMill, receiving a Health Rating on a scale of 0 to 10. This assessment considers different health aspects, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:KT has achieved a 5 out of 10:

• KT's Altman-Z score of 1.47 is amongst the best of the industry. KT outperforms 83.33% of its industry peers.
• KT's Debt to FCF ratio of 8.57 is fine compared to the rest of the industry. KT outperforms 69.44% of its industry peers.
• Looking at the Debt to Equity ratio, with a value of 0.50, KT is in the better half of the industry, outperforming 77.78% of the companies in the same industry.

Profitability Analysis for NYSE:KT

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. NYSE:KT has earned a 7 out of 10:

• The Return On Assets of KT (2.36%) is better than 66.67% of its industry peers.
• The Return On Equity of KT (6.02%) is better than 61.11% of its industry peers.
• KT's Return On Invested Capital of 4.07% is fine compared to the rest of the industry. KT outperforms 63.89% of its industry peers.
• Looking at the Profit Margin, with a value of 3.82%, KT is in the better half of the industry, outperforming 61.11% of the companies in the same industry.
• KT's Profit Margin has improved in the last couple of years.
• KT's Operating Margin has improved in the last couple of years.
• KT has a better Gross Margin (64.38%) than 77.78% of its industry peers.
• KT's Gross Margin has improved in the last couple of years.

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 KT

Disclaimer

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.