Exploring the Upcoming Dividend and Historical Performance of SITE Centers Corp
SITE Centers Corp (SITC, Financial) recently announced a dividend of $0.13 per share, payable on 2024-01-05, with the ex-dividend date set for 2023-12-08. As investors look forward to this upcoming payment, the spotlight also shines on the company's dividend history, yield, and growth rates. Using the data from GuruFocus, let's look into SITE Centers Corp's dividend performance and assess its sustainability.
Understanding SITE Centers Corp's Business
SITE Centers Corp is a United States-based self-administered and self-managed REIT that operates as a fully integrated real estate company. The company is the owner and manager of open-air shopping centers that provide a compelling shopping experience and merchandise mix for retail partners and consumers.
A Look at SITE Centers Corp's Dividend Consistency
SITE Centers Corp has maintained a consistent dividend payment record since 1993. Dividends are currently distributed on a quarterly basis. Below is a chart showing annual Dividends Per Share for tracking historical trends.
Analyzing SITE Centers Corp's Dividend Yield and Growth
As of today, SITE Centers Corp currently has a 12-month trailing dividend yield of 3.88% and a 12-month forward dividend yield of 3.88%. This suggests an expectation of same dividend payments over the next 12 months.
Over the past three years, SITE Centers Corp's annual dividend growth rate was -13.40%. Extended to a five-year horizon, this rate decreased to -23.20% per year. And over the past decade, SITE Centers Corp's annual dividends per share growth rate stands at -10.80%.
Based on SITE Centers Corp's dividend yield and five-year growth rate, the 5-year yield on cost of SITE Centers Corp stock as of today is approximately 1.04%.
Examining the Dividend Payout Ratio and Profitability
To assess the sustainability of the dividend, one needs to evaluate the company's payout ratio. The dividend payout ratio provides insights into the portion of earnings the company distributes as dividends. A lower ratio suggests that the company retains a significant part of its earnings, thereby ensuring the availability of funds for future growth and unexpected downturns. As of 2023-09-30, SITE Centers Corp's dividend payout ratio is 1.30, which may suggest that the company's dividend may not be sustainable.
SITE Centers Corp's profitability rank, offers an understanding of the company's earnings prowess relative to its peers. GuruFocus ranks SITE Centers Corp's profitability 6 out of 10 as of 2023-09-30, suggesting fair profitability. The company has reported net profit in 7 years out of the past 10 years.
Growth Metrics and Future Outlook for SITE Centers Corp
To ensure the sustainability of dividends, a company must have robust growth metrics. SITE Centers Corp's growth rank of 6 out of 10 suggests that the company has a fair growth outlook.
Revenue is the lifeblood of any company, and SITE Centers Corp's revenue per share, combined with the 3-year revenue growth rate, indicates a strong revenue model. SITE Centers Corp's revenue has increased by approximately -2.30% per year on average, a rate that underperforms approximately 65.92% of global competitors.
The company's 3-year EPS growth rate showcases its capability to grow its earnings, a critical component for sustaining dividends in the long run. During the past three years, SITE Centers Corp's earnings increased by approximately 21.60% per year on average, a rate that underperforms approximately 22.65% of global competitors.
Concluding Thoughts on SITE Centers Corp's Dividend Prospects
In conclusion, while SITE Centers Corp has displayed a commitment to returning value to shareholders through dividends, the negative growth rates and current payout ratio raise questions about the long-term sustainability of its dividend. However, the company's fair profitability and growth ranks indicate a potential for financial stability. Investors should consider these factors in conjunction with their own investment objectives and risk tolerance. GuruFocus Premium users can screen for high-dividend yield stocks using the High Dividend Yield Screener to find opportunities that align with their strategies.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
