News Image

Is NYSE:MDT suited for dividend investing?

By Mill Chart

Last update: May 30, 2024

Unearth the potential of MEDTRONIC PLC (NYSE:MDT) as a dividend stock recommended by our stock screening tool. NYSE:MDT maintains a robust financial footing and delivers a sustainable dividend. We'll delve into the details below.

Best Dividend stocks image

How We Gauge Dividend for NYSE:MDT

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:MDT scores a 7 out of 10:

  • MDT's Dividend Yield is rather good when compared to the industry average which is at 1.74. MDT pays more dividend than 98.96% of the companies in the same industry.
  • Compared to an average S&P500 Dividend Yield of 2.37, MDT pays a bit more dividend than the S&P500 average.
  • On average, the dividend of MDT grows each year by 6.78%, which is quite nice.
  • MDT has been paying a dividend for at least 10 years, so it has a reliable track record.
  • MDT has not decreased their dividend for at least 10 years, which is a reliable track record.
  • The dividend of MDT is growing, but earnings are growing more, so the dividend growth is sustainable.

Evaluating Health: NYSE:MDT

ChartMill employs its own Health Rating for stock assessment. This rating, ranging from 0 to 10, is calculated by examining various liquidity and solvency ratios. In the case of NYSE:MDT, the assigned 5 reflects its health status:

  • MDT has a better Altman-Z score (2.85) than 66.15% of its industry peers.
  • The Debt to FCF ratio of MDT (4.81) is better than 81.25% of its industry peers.
  • A Debt/Equity ratio of 0.48 indicates that MDT is not too dependend on debt financing.
  • MDT has a Current Ratio of 2.03. This indicates that MDT is financially healthy and has no problem in meeting its short term obligations.

Profitability Analysis for NYSE:MDT

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:MDT, the assigned 7 is a significant indicator of profitability:

  • MDT's Return On Assets of 4.09% is amongst the best of the industry. MDT outperforms 80.21% of its industry peers.
  • With an excellent Return On Equity value of 7.32%, MDT belongs to the best of the industry, outperforming 81.25% of the companies in the same industry.
  • The Return On Invested Capital of MDT (5.88%) is better than 80.21% of its industry peers.
  • MDT has a Profit Margin of 11.36%. This is amongst the best in the industry. MDT outperforms 86.98% of its industry peers.
  • The Operating Margin of MDT (19.54%) is better than 92.71% of its industry peers.
  • The Gross Margin of MDT (65.82%) is better than 68.75% of its industry peers.

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

Our latest full fundamental report of MDT 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.