SANOFI-ADR (NASDAQ:SNY) – A Reliable Dividend Stock with Strong Fundamentals

SANOFI-ADR (NASDAQ:SNY) stands out as a compelling choice for dividend investors, according to our Best Dividend Stocks screen. The company combines an attractive yield with solid profitability and reasonable financial health, making it a well-rounded candidate for income-focused portfolios.

Dividend Strength

• High Yield: SNY offers a dividend yield of 4.27%, outperforming both the industry average (4.19%) and the S&P 500 (2.40%).
• Sustainable Payout: Only 39.72% of earnings are allocated to dividends, indicating room for future growth and stability.
• Track Record: The company has paid dividends for at least 10 years, reinforcing its reliability, though recent decreases warrant attention.

Profitability & Growth

• Strong Margins: SNY’s 22.04% operating margin and 70.04% gross margin rank well above most industry peers.
• Earnings Recovery: While past earnings dipped, future EPS growth is projected at 8.23%, signaling improvement.
• Revenue Expansion: Sales grew 30.30% in the last year, with steady long-term growth expected.

Financial Health

• Manageable Debt: A low debt-to-equity ratio (0.17) and strong free cash flow coverage suggest financial stability.
• Liquidity Concerns: The current and quick ratios are below industry averages, requiring monitoring.

For a deeper analysis, review the full fundamental report on SNY.

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Disclaimer

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