Is MEDTRONIC PLC (NYSE:MDT) a Good Fit for Dividend Investing?

Our stock screener has singled out MEDTRONIC PLC (NYSE:MDT) as a promising choice for dividend investors. MDT not only scores well in profitability, solvency, and liquidity but also offers a decent dividend. We'll explore this further.

A Closer Look at Dividend for MDT

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. MDT has been assigned a 7 for dividend:

• Compared to an average industry Dividend Yield of 1.84, MDT pays a better dividend. On top of this MDT pays more dividend than 98.43% of the companies listed in the same industry.
• Compared to an average S&P500 Dividend Yield of 2.44, 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 paid a dividend for at least 10 years, which is a reliable track record.
• MDT has not decreased their dividend for at least 10 years, which is a reliable track record.

Health Analysis for MDT

Every stock is evaluated by ChartMill, receiving a Health Rating on a scale of 0 to 10. This assessment considers different health aspects, including liquidity and solvency, both in absolute terms and relative to industry peers. MDT has achieved a 5 out of 10:

• The Altman-Z score of MDT (2.79) is better than 70.16% of its industry peers.
• MDT has a Debt to FCF ratio of 4.87. This is amongst the best in the industry. MDT outperforms 81.15% of its industry peers.
• MDT has a Debt/Equity ratio of 0.49. This is a healthy value indicating a solid balance between debt and equity.

Looking at the Profitability

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 MDT, the assigned 8 is a significant indicator of profitability:

• MDT has a Return On Assets of 4.73%. This is amongst the best in the industry. MDT outperforms 83.77% of its industry peers.
• MDT's Return On Equity of 8.63% is amongst the best of the industry. MDT outperforms 84.29% of its industry peers.
• The Return On Invested Capital of MDT (6.09%) is better than 81.15% of its industry peers.
• The last Return On Invested Capital (6.09%) for MDT is above the 3 year average (5.95%), which is a sign of increasing profitability.
• With an excellent Profit Margin value of 12.83%, MDT belongs to the best of the industry, outperforming 90.05% of the companies in the same industry.
• The Operating Margin of MDT (19.47%) is better than 92.67% of its industry peers.
• The Gross Margin of MDT (65.59%) is better than 67.02% of its industry peers.

Every day, new Best Dividend stocks can be found on ChartMill in our Best Dividend screener.

For an up to date full fundamental analysis you can check the fundamental report of MDT

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.