Analyzing NYSE:MDT's Dividend Potential.

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

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. NYSE:MDT has been awarded a 7 for its dividend quality:

• MDT's Dividend Yield is rather good when compared to the industry average which is at 1.74. MDT pays more dividend than 98.42% of the companies in the same industry.
• Compared to an average S&P500 Dividend Yield of 2.39, MDT pays a bit more dividend than the S&P500 average.
• On average, the dividend of MDT grows each year by 6.78%, which is quite nice.
• MDT has been paying a dividend for at least 10 years, so it has a reliable track record.
• MDT has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
• MDT's earnings are growing more than its dividend. This makes the dividend growth sustainable.

What does the Health looks like for NYSE:MDT

A critical element of ChartMill's stock evaluation is the Health Rating, which spans from 0 to 10. This rating considers multiple health factors, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:MDT has received a 5 out of 10:

• The Altman-Z score of MDT (2.79) is better than 66.32% of its industry peers.
• With an excellent Debt to FCF ratio value of 4.81, MDT belongs to the best of the industry, outperforming 81.58% of the companies in the same industry.
• MDT has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
• MDT has a Current Ratio of 2.03. This indicates that MDT is financially healthy and has no problem in meeting its short term obligations.

Exploring NYSE:MDT's Profitability

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:MDT was assigned a score of 7 for profitability:

• MDT's Return On Assets of 4.09% is amongst the best of the industry. MDT outperforms 80.53% of its industry peers.
• MDT has a Return On Equity of 7.32%. This is amongst the best in the industry. MDT outperforms 81.58% of its industry peers.
• With an excellent Return On Invested Capital value of 5.88%, MDT belongs to the best of the industry, outperforming 80.53% of the companies in the same industry.
• The Profit Margin of MDT (11.36%) is better than 87.37% of its industry peers.
• With an excellent Operating Margin value of 19.54%, MDT belongs to the best of the industry, outperforming 93.16% of the companies in the same industry.
• Looking at the Gross Margin, with a value of 65.82%, MDT is in the better half of the industry, outperforming 69.47% of the companies in the same industry.

More Best Dividend stocks can be found in our Best Dividend screener.

Check the latest full fundamental report of MDT for a complete fundamental analysis.

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.