Why the dividend investor may take a look at NYSE:RDN.

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

Dividend Examination for NYSE:RDN

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:RDN was assigned a score of 7 for dividend:

• Compared to an average industry Dividend Yield of 3.95, RDN pays a better dividend. On top of this RDN pays more dividend than 81.82% of the companies listed in the same industry.
• RDN's Dividend Yield is a higher than the S&P500 average which is at 2.33.
• On average, the dividend of RDN grows each year by 149.14%, which is quite nice.
• RDN has paid a dividend for at least 10 years, which is a reliable track record.
• RDN has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
• RDN pays out 25.07% of its income as dividend. This is a sustainable payout ratio.

Evaluating Health: NYSE:RDN

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:RDN has received a 5 out of 10:

• A Debt/Equity ratio of 0.42 indicates that RDN is not too dependend on debt financing.
• A Current Ratio of 19.56 indicates that RDN has no problem at all paying its short term obligations.
• Looking at the Current ratio, with a value of 19.56, RDN belongs to the top of the industry, outperforming 98.99% of the companies in the same industry.
• A Quick Ratio of 19.56 indicates that RDN has no problem at all paying its short term obligations.
• With an excellent Quick ratio value of 19.56, RDN belongs to the best of the industry, outperforming 98.99% of the companies in the same industry.

A Closer Look at Profitability for NYSE:RDN

ChartMill's Profitability Rating offers a unique perspective on stock analysis, providing scores from 0 to 10. These ratings consider a wide range of profitability metrics and margins, both in comparison to industry peers and on their own merits. For NYSE:RDN, the assigned 5 is a significant indicator of profitability:

• RDN has a better Return On Assets (7.11%) than 82.83% of its industry peers.
• With an excellent Profit Margin value of 45.96%, RDN belongs to the best of the industry, outperforming 91.92% of the companies in the same industry.
• The Operating Margin of RDN (69.54%) is better than 92.93% of its industry peers.
• RDN's Operating Margin has improved in the last couple of years.

Every day, new Best Dividend stocks can be found on ChartMill in our Best Dividend screener.

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

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.