BUNGE GLOBAL SA (NYSE:BG) - A Reliable Dividend Stock Worth Considering

BUNGE GLOBAL SA (NYSE:BG) stands out as a compelling choice for dividend investors, according to our Best Dividend Stocks screen. The company combines a strong dividend profile with reasonable profitability and financial health, making it a candidate for income-focused portfolios.

Dividend Strength

• Attractive Yield: BG offers a dividend yield of 3.57%, which is above the S&P 500 average of 2.37%. While not the highest in its sector, the yield is sustainable and backed by a solid track record.
• Reliable Payout History: The company has paid dividends consistently for at least 10 years without reductions, demonstrating commitment to shareholders.
• Sustainable Payout Ratio: BG pays out 34.19% of its income as dividends, leaving ample room to maintain payouts even if earnings fluctuate.

Profitability & Financial Health

• Decent Profitability: With a Profitability Rating of 5/10, BG maintains reasonable margins and returns, including a Return on Equity (ROE) of 10.34%, outperforming 70% of its industry peers.
• Solid Financial Position: The company’s Health Rating of 5/10 reflects manageable debt levels (Debt/Equity of 0.57) and strong liquidity (Current Ratio of 2.04), reducing risk for dividend sustainability.
• Valuation: Trading at a P/E of 9.40, BG appears reasonably priced compared to both its industry and the broader market.

Considerations

While BG’s earnings and revenue growth have slowed recently, its stable dividend and financial resilience make it a viable option for income investors.

For a deeper look, review the full fundamental analysis of BG.

Our Best Dividend Stocks screener provides more high-quality dividend ideas.

Disclaimer

This is not investing advice. Always conduct your own research before making investment decisions.