Balancing Dividends and Fundamentals: The Case of NASDAQ:SNY.

Our stock screening tool has identified SANOFI-ADR (NASDAQ:SNY) as a strong dividend contender with robust fundamentals. NASDAQ:SNY exhibits commendable financial health and profitability, all while offering a sustainable dividend. Let's delve into each aspect below.

Dividend Assessment of NASDAQ:SNY

ChartMill employs its own Dividend Rating system for all stocks. This score, on a scale of 0 to 10, is determined by evaluating different dividend factors, such as yield, historical performance, dividend growth, and sustainability. NASDAQ:SNY has been assigned a 7 for dividend:

• With a Yearly Dividend Yield of 4.14%, SNY is a good candidate for dividend investing.
• SNY's Dividend Yield is rather good when compared to the industry average which is at 4.28. SNY pays more dividend than 96.35% of the companies in the same industry.
• SNY's Dividend Yield is rather good when compared to the S&P500 average which is at 2.19.
• SNY has been paying a dividend for at least 10 years, so it has a reliable track record.
• SNY's earnings are growing more than its dividend. This makes the dividend growth sustainable.

Evaluating Health: NASDAQ:SNY

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. NASDAQ:SNY has received a 5 out of 10:

• With a decent Altman-Z score value of 2.87, SNY is doing good in the industry, outperforming 70.83% of the companies in the same industry.
• The Debt to FCF ratio of SNY (5.74) is better than 85.94% of its industry peers.
• A Debt/Equity ratio of 0.20 indicates that SNY is not too dependend on debt financing.

Understanding NASDAQ:SNY's Profitability

ChartMill assigns a Profitability Rating to every stock. This score ranges from 0 to 10 and evaluates the different profitability ratios and margins, both absolutely, but also relative to the industry peers. NASDAQ:SNY scores a 8 out of 10:

• SNY has a better Return On Assets (6.07%) than 89.06% of its industry peers.
• With an excellent Return On Equity value of 10.83%, SNY belongs to the best of the industry, outperforming 89.06% of the companies in the same industry.
• SNY's Return On Invested Capital of 12.36% is amongst the best of the industry. SNY outperforms 91.15% of its industry peers.
• The last Return On Invested Capital (12.36%) for SNY is above the 3 year average (7.23%), which is a sign of increasing profitability.
• With an excellent Profit Margin value of 11.06%, SNY belongs to the best of the industry, outperforming 86.98% of the companies in the same industry.
• SNY's Operating Margin of 21.92% is amongst the best of the industry. SNY outperforms 88.02% of its industry peers.
• In the last couple of years the Operating Margin of SNY has grown nicely.
• The Gross Margin of SNY (69.08%) is better than 71.88% of its industry peers.

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

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

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.