Analyzing NYSE:RDN's Dividend Potential.

Discover RADIAN GROUP INC (NYSE:RDN)—a stock that our stock screener has recognized as a solid dividend pick with strong fundamentals. NYSE:RDN showcases decent financial health and profitability while providing a sustainable dividend. We'll explore the specifics further.

Dividend Assessment of NYSE:RDN

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:RDN has been awarded a 7 for its dividend quality:

• Compared to an average industry Dividend Yield of 3.61, RDN pays a better dividend. On top of this RDN pays more dividend than 81.82% of the companies listed in the same industry.
• Compared to an average S&P500 Dividend Yield of 2.24, RDN pays a bit more dividend than the S&P500 average.
• On average, the dividend of RDN grows each year by 149.14%, which is quite nice.
• RDN has been paying a dividend for at least 10 years, so it has a reliable track record.
• RDN has not decreased their dividend for at least 10 years, which is a reliable track record.
• RDN pays out 25.07% of its income as dividend. This is a sustainable payout ratio.

Health Assessment of NYSE:RDN

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:RDN has achieved a 5 out of 10:

• RDN has a Debt/Equity ratio of 0.42. This is a healthy value indicating a solid balance between debt and equity.
• A Current Ratio of 19.56 indicates that RDN has no problem at all paying its short term obligations.
• RDN has a Current ratio of 19.56. This is amongst the best in the industry. RDN outperforms 98.99% of its industry peers.
• RDN has a Quick Ratio of 19.56. This indicates that RDN is financially healthy and has no problem in meeting its short term obligations.
• RDN has a better Quick ratio (19.56) than 98.99% of its industry peers.

Looking at the Profitability

ChartMill employs its own Profitability Rating system for stock evaluation. This score, ranging from 0 to 10, is derived from an analysis of diverse profitability metrics and margins. In the case of NYSE:RDN, the assigned 5 is noteworthy for profitability:

• RDN has a Return On Assets of 7.11%. This is amongst the best in the industry. RDN outperforms 82.83% of its industry peers.
• The Profit Margin of RDN (45.96%) is better than 91.92% of its industry peers.
• RDN's Operating Margin of 69.54% is amongst the best of the industry. RDN outperforms 92.93% of its industry peers.
• RDN's Operating Margin has improved in the last couple of years.

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

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

Keep in mind

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.