Why NYSE:SU is a Top Pick for Dividend Investors.

Consider SUNCOR ENERGY INC (NYSE:SU) as a top pick for dividend investors, identified by our stock screening tool. NYSE:SU shines in terms of profitability, solvency, and liquidity, all while paying a decent dividend. Let's dive deeper into the analysis.

What does the Dividend looks like for NYSE:SU

ChartMill assigns a Dividend Rating to every stock. This score ranges from 0 to 10 and evaluates the different dividend aspects, including the yield, the growth and sustainability. NYSE:SU scores a 8 out of 10:

• With a Yearly Dividend Yield of 4.13%, SU is a good candidate for dividend investing.
• Compared to an average industry Dividend Yield of 6.60, SU pays a bit more dividend than its industry peers.
• Compared to an average S&P500 Dividend Yield of 2.34, SU pays a better dividend.
• On average, the dividend of SU grows each year by 7.66%, which is quite nice.
• SU has paid a dividend for at least 10 years, which is a reliable track record.
• SU pays out 34.85% of its income as dividend. This is a sustainable payout ratio.
• The dividend of SU is growing, but earnings are growing more, so the dividend growth is sustainable.

Exploring NYSE:SU's 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:SU has received a 7 out of 10:

• With a decent Altman-Z score value of 2.27, SU is doing good in the industry, outperforming 64.22% of the companies in the same industry.
• SU has a debt to FCF ratio of 1.72. This is a very positive value and a sign of high solvency as it would only need 1.72 years to pay back of all of its debts.
• With an excellent Debt to FCF ratio value of 1.72, SU belongs to the best of the industry, outperforming 80.39% of the companies in the same industry.
• SU has a Debt/Equity ratio of 0.32. This is a healthy value indicating a solid balance between debt and equity.
• SU has a Current ratio of 1.59. This is in the better half of the industry: SU outperforms 64.71% of its industry peers.

Understanding NYSE:SU's Profitability

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NYSE:SU was assigned a score of 5 for profitability:

• SU has a Return On Assets of 8.84%. This is in the better half of the industry: SU outperforms 72.06% of its industry peers.
• The Return On Equity of SU (17.79%) is better than 68.14% of its industry peers.
• In the last couple of years the Profit Margin of SU has grown nicely.
• SU has a better Gross Margin (61.96%) than 68.14% of its industry peers.

Our Best Dividend screener lists more Best Dividend stocks and is updated daily.

Check the latest full fundamental report of SU 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.