Uncovering Dividend Opportunities with NYSE:SQM.

Last update: Feb 7, 2024

Take a closer look at QUIMICA Y MINERA CHIL-SP ADR (NYSE:SQM), a stock of interest to dividend investors uncovered by our stock screener. NYSE:SQM excels in fundamentals and provides a decent dividend, all while maintaining a reasonable valuation. Let's break it down further.

Dividend Analysis for NYSE:SQM

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. NYSE:SQM has been assigned a 7 for dividend:

SQM has a Yearly Dividend Yield of 10.90%, which is a nice return.
Compared to an average industry Dividend Yield of 2.38, SQM pays a better dividend. On top of this SQM pays more dividend than 100.00% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.47, SQM pays a better dividend.
The dividend of SQM is nicely growing with an annual growth rate of 98.58%!
SQM has been paying a dividend for at least 10 years, so it has a reliable track record.

What does the Health looks like for NYSE:SQM

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NYSE:SQM has earned a 8 out of 10:

An Altman-Z score of 4.75 indicates that SQM is not in any danger for bankruptcy at the moment.
SQM's Altman-Z score of 4.75 is amongst the best of the industry. SQM outperforms 82.56% of its industry peers.
SQM has a debt to FCF ratio of 2.06. This is a good value and a sign of high solvency as SQM would need 2.06 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 2.06, SQM belongs to the best of the industry, outperforming 88.37% of the companies in the same industry.
A Debt/Equity ratio of 0.45 indicates that SQM is not too dependend on debt financing.
Even though the debt/equity ratio score it not favorable for SQM, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
SQM has a Current Ratio of 2.48. This indicates that SQM is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of SQM (2.48) is better than 62.79% of its industry peers.
SQM's Quick ratio of 1.81 is fine compared to the rest of the industry. SQM outperforms 63.95% of its industry peers.

Profitability Insights: NYSE:SQM

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:SQM, the assigned 10 is a significant indicator of profitability:

Looking at the Return On Assets, with a value of 34.56%, SQM belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
With an excellent Return On Equity value of 71.10%, SQM belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
With an excellent Return On Invested Capital value of 46.56%, SQM belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
SQM had an Average Return On Invested Capital over the past 3 years of 22.85%. This is significantly above the industry average of 11.59%.
The 3 year average ROIC (22.85%) for SQM is below the current ROIC(46.56%), indicating increased profibility in the last year.
Looking at the Profit Margin, with a value of 35.24%, SQM belongs to the top of the industry, outperforming 98.84% of the companies in the same industry.
SQM's Profit Margin has improved in the last couple of years.
SQM has a better Operating Margin (49.99%) than 100.00% of its industry peers.
In the last couple of years the Operating Margin of SQM has grown nicely.
The Gross Margin of SQM (51.46%) is better than 98.84% of its industry peers.
SQM's Gross 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 SQM 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.