Is NYSE:TGNA a Good Fit for Dividend Investing?

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

Analyzing Dividend Metrics

To gauge a stock's dividend quality, ChartMill utilizes a Dividend Rating ranging from 0 to 10. This comprehensive assessment considers various dividend aspects, including yield, history, growth, and sustainability. NYSE:TGNA has achieved a 8 out of 10:

• Compared to an average industry Dividend Yield of 4.22, TGNA pays a better dividend. On top of this TGNA pays more dividend than 85.42% of the companies listed in the same industry.
• Compared to an average S&P500 Dividend Yield of 2.34, TGNA pays a bit more dividend than the S&P500 average.
• The dividend of TGNA is nicely growing with an annual growth rate of 8.19%!
• TGNA has been paying a dividend for at least 10 years, so it has a reliable track record.
• As TGNA did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
• TGNA pays out 17.59% of its income as dividend. This is a sustainable payout ratio.
• The dividend of TGNA is growing, but earnings are growing more, so the dividend growth is sustainable.

Deciphering NYSE:TGNA's Health Rating

ChartMill assigns a Health Rating to every stock. This score ranges from 0 to 10 and evaluates the different health aspects like liquidity and solvency, both absolutely, but also relative to the industry peers. NYSE:TGNA scores a 6 out of 10:

• The Altman-Z score of TGNA (2.79) is better than 78.13% of its industry peers.
• TGNA has a Debt to FCF ratio of 5.77. This is in the better half of the industry: TGNA outperforms 77.08% of its industry peers.
• TGNA has a Current Ratio of 2.48. This indicates that TGNA is financially healthy and has no problem in meeting its short term obligations.
• TGNA has a better Current ratio (2.48) than 81.25% of its industry peers.
• TGNA has a Quick Ratio of 2.48. This indicates that TGNA is financially healthy and has no problem in meeting its short term obligations.
• Looking at the Quick ratio, with a value of 2.48, TGNA belongs to the top of the industry, outperforming 82.29% of the companies in the same industry.

How do we evaluate the Profitability for NYSE:TGNA?

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:TGNA, the assigned 6 is noteworthy for profitability:

• TGNA has a Return On Assets of 6.78%. This is amongst the best in the industry. TGNA outperforms 89.58% of its industry peers.
• TGNA has a better Return On Equity (17.56%) than 87.50% of its industry peers.
• TGNA's Return On Invested Capital of 7.28% is fine compared to the rest of the industry. TGNA outperforms 79.17% of its industry peers.
• TGNA has a Profit Margin of 16.32%. This is amongst the best in the industry. TGNA outperforms 90.63% of its industry peers.
• TGNA has a better Operating Margin (21.33%) than 92.71% of its industry peers.

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

Disclaimer

This article should in no way be interpreted as advice in any way. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.