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Why NYSE:IPG qualifies as a good dividend investing stock.

By Mill Chart

Last update: May 24, 2024

Discover INTERPUBLIC GROUP OF COS INC (NYSE:IPG)—a stock that our stock screener has recognized as a solid dividend pick with strong fundamentals. NYSE:IPG showcases decent financial health and profitability while providing a sustainable dividend. We'll explore the specifics further.


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How do we evaluate the Dividend for NYSE:IPG?

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:IPG has been assigned a 8 for dividend:

  • With a Yearly Dividend Yield of 4.23%, IPG is a good candidate for dividend investing.
  • IPG's Dividend Yield is rather good when compared to the industry average which is at 4.17. IPG pays more dividend than 90.53% of the companies in the same industry.
  • IPG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.32.
  • On average, the dividend of IPG grows each year by 8.30%, which is quite nice.
  • IPG has paid a dividend for at least 10 years, which is a reliable track record.
  • IPG has not decreased their dividend for at least 10 years, which is a reliable track record.

How do we evaluate the Health for NYSE:IPG?

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:IPG scores a 5 out of 10:

  • With a decent Altman-Z score value of 1.82, IPG is doing good in the industry, outperforming 67.37% of the companies in the same industry.
  • Looking at the Debt to FCF ratio, with a value of 4.18, IPG is in the better half of the industry, outperforming 75.79% of the companies in the same industry.

Exploring NYSE:IPG's Profitability

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:IPG, the assigned 8 is noteworthy for profitability:

  • With an excellent Return On Assets value of 6.26%, IPG belongs to the best of the industry, outperforming 84.21% of the companies in the same industry.
  • IPG has a Return On Equity of 28.32%. This is amongst the best in the industry. IPG outperforms 91.58% of its industry peers.
  • IPG's Return On Invested Capital of 12.94% is amongst the best of the industry. IPG outperforms 89.47% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for IPG is above the industry average of 7.97%.
  • The 3 year average ROIC (12.64%) for IPG is below the current ROIC(12.94%), indicating increased profibility in the last year.
  • With a decent Profit Margin value of 9.97%, IPG is doing good in the industry, outperforming 74.74% of the companies in the same industry.
  • IPG's Profit Margin has improved in the last couple of years.
  • IPG has a Operating Margin of 13.60%. This is in the better half of the industry: IPG outperforms 77.89% of its industry peers.
  • In the last couple of years the Operating Margin of IPG has grown nicely.
  • In the last couple of years the Gross Margin of IPG has grown nicely.

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

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

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.

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