Uncovering Dividend Opportunities with NYSE:ROK.

Our stock screener has spotted ROCKWELL AUTOMATION INC (NYSE:ROK) as a good dividend stock with solid fundamentals. NYSE:ROK shows decent health and profitability. At the same time it gives a good and sustainable dividend. We'll dive into each aspect below.

Looking at the Dividend

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. NYSE:ROK has received a 7 out of 10:

• ROK's Dividend Yield is rather good when compared to the industry average which is at 2.22. ROK pays more dividend than 93.10% of the companies in the same industry.
• On average, the dividend of ROK grows each year by 8.11%, which is quite nice.
• ROK has paid a dividend for at least 10 years, which is a reliable track record.
• ROK has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
• 37.80% of the earnings are spent on dividend by ROK. This is a low number and sustainable payout ratio.
• ROK's earnings are growing more than its dividend. This makes the dividend growth sustainable.

ChartMill's Evaluation of Health

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:ROK has received a 5 out of 10:

• An Altman-Z score of 4.67 indicates that ROK is not in any danger for bankruptcy at the moment.
• ROK has a better Altman-Z score (4.67) than 79.31% of its industry peers.
• With a decent Debt to FCF ratio value of 4.71, ROK is doing good in the industry, outperforming 79.31% of the companies in the same industry.

Profitability Insights: NYSE:ROK

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:ROK, the assigned 8 is noteworthy for profitability:

• The Return On Assets of ROK (12.07%) is better than 94.25% of its industry peers.
• ROK has a Return On Equity of 42.41%. This is amongst the best in the industry. ROK outperforms 96.55% of its industry peers.
• ROK's Return On Invested Capital of 16.47% is amongst the best of the industry. ROK outperforms 96.55% of its industry peers.
• ROK had an Average Return On Invested Capital over the past 3 years of 14.86%. This is above the industry average of 11.31%.
• The last Return On Invested Capital (16.47%) for ROK is above the 3 year average (14.86%), which is a sign of increasing profitability.
• ROK has a Profit Margin of 16.45%. This is amongst the best in the industry. ROK outperforms 93.10% of its industry peers.
• ROK has a better Operating Margin (17.82%) than 91.95% of its industry peers.
• ROK has a Gross Margin of 41.15%. This is amongst the best in the industry. ROK outperforms 91.95% of its industry peers.

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

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.