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

Our stock screening tool has identified MEDTRONIC PLC (NYSE:MDT) as a strong dividend contender with robust fundamentals. MDT exhibits commendable financial health and profitability, all while offering a sustainable dividend. Let's delve into each aspect below.

Dividend Insights: MDT

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. MDT has achieved a 7 out of 10:

• MDT's Dividend Yield is rather good when compared to the industry average which is at 1.89. MDT pays more dividend than 98.41% of the companies 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 been paying a dividend for at least 10 years, so it has a reliable track record.
• MDT has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.

A Closer Look at Health for MDT

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. MDT has earned a 5 out of 10:

• The Altman-Z score of MDT (2.82) is better than 68.78% of its industry peers.
• MDT's Debt to FCF ratio of 4.87 is amongst the best of the industry. MDT outperforms 81.48% 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.

A Closer Look at Profitability for MDT

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 MDT, the assigned 8 is noteworthy for profitability:

• The Return On Assets of MDT (4.73%) is better than 83.60% of its industry peers.
• MDT's Return On Equity of 8.63% is amongst the best of the industry. MDT outperforms 85.19% of its industry peers.
• MDT's Return On Invested Capital of 6.09% is amongst the best of the industry. MDT outperforms 80.42% 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.
• Looking at the Profit Margin, with a value of 12.83%, MDT belongs to the top of the industry, outperforming 90.48% of the companies in the same industry.
• With an excellent Operating Margin value of 19.47%, MDT belongs to the best of the industry, outperforming 92.59% of the companies in the same industry.
• Looking at the Gross Margin, with a value of 65.59%, MDT is in the better half of the industry, outperforming 67.20% of the companies in the same industry.

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

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

Disclaimer

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.