Exploring the Dividend Performance and Sustainability of Shurgard Self-Storage SA (SSSAF, Financial)
Shurgard Self-Storage SA (SSSAF) recently announced a dividend of $0.59 per share, payable on 2024-05-29, with the ex-dividend date set for 2024-05-28. 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 Shurgard Self-Storage SA's dividend performance and assess its sustainability.
What Does Shurgard Self-Storage SA Do?
Shurgard Self-Storage SA, formerly known as Shurgard Self Storage Ltd, is a leading owner and operator of self-storage centers. The company operates through two primary segments: Same Stores and Non-Same Stores, with the majority of its revenue derived from the Same Stores segment. Geographically, Shurgard Self-Storage SA is predominantly active in France, but also maintains a significant presence in the Netherlands, UK, Sweden, Belgium, Germany, and Denmark among other countries.
A Glimpse at Shurgard Self-Storage SA's Dividend History
Shurgard Self-Storage SA has a solid track record of consistent dividend payments since 2020, with distributions occurring bi-annually. The chart below illustrates the annual Dividends Per Share to track historical trends.
Breaking Down Shurgard Self-Storage SA's Dividend Yield and Growth
Currently, Shurgard Self-Storage SA boasts a 12-month trailing dividend yield of 2.77% and a 12-month forward dividend yield of 2.84%, indicating an anticipated increase in dividend payments over the next year. Over the past three years, the annual dividend growth rate was 5.70%. As of today, the 5-year yield on cost is approximately 2.77%.
The Sustainability Question: Payout Ratio and Profitability
To evaluate the sustainability of its dividends, it's crucial to consider Shurgard Self-Storage SA's dividend payout ratio, which currently stands at 0.67. This indicates that the company retains a substantial portion of its earnings, which supports future growth and financial stability. Additionally, the company's profitability rank of 7 out of 10, as of the end of 2023, reflects strong earnings potential relative to its peers.
Growth Metrics: The Future Outlook
Shurgard Self-Storage SA's growth rank of 7 out of 10 suggests robust growth prospects. Key indicators such as revenue per share and a 3-year revenue growth rate of approximately 9.10% annually demonstrate a strong revenue model. Furthermore, the company's 3-year EPS growth rate of about 9.90% per year and a 5-year EBITDA growth rate of 5.80% further underscore its ability to sustain dividends.
Conclusion: Evaluating Shurgard Self-Storage SA's Dividend Sustainability
Considering Shurgard Self-Storage SA's consistent dividend payments, growth in dividend rates, prudent payout ratio, and robust profitability and growth metrics, the company appears well-positioned to maintain its dividend distributions in the foreseeable future. Investors seeking to diversify their portfolios with a reliable dividend-paying stock should consider Shurgard Self-Storage SA as a potential candidate. For further exploration of high-dividend yield opportunities, GuruFocus Premium users can utilize the High Dividend Yield Screener.
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.
