Three Days Left Until Atreyu Capital Markets Ltd (TLV:ATRY) Trades Ex-Dividend

Regular readers will know that we love our dividends at Simply Wall St, which is why it's exciting to see Atreyu Capital Markets Ltd (TLV:ATRY) is about to trade ex-dividend in the next 3 days. The ex-dividend date is one business day before the record date, which is the cut-off date for shareholders to be present on the company's books to be eligible for a dividend payment. It is important to be aware of the ex-dividend date because any trade on the stock needs to have been settled on or before the record date. Meaning, you will need to purchase Atreyu Capital Markets' shares before the 8th of September to receive the dividend, which will be paid on the 25th of September.

The company's next dividend payment will be ₪0.6112669 per share. Last year, in total, the company distributed ₪4.11 to shareholders. Looking at the last 12 months of distributions, Atreyu Capital Markets has a trailing yield of approximately 6.9% on its current stock price of ₪59.65. If you buy this business for its dividend, you should have an idea of whether Atreyu Capital Markets's dividend is reliable and sustainable. That's why we should always check whether the dividend payments appear sustainable, and if the company is growing.

View our latest analysis for Atreyu Capital Markets

If a company pays out more in dividends than it earned, then the dividend might become unsustainable - hardly an ideal situation. Atreyu Capital Markets paid out 74% of its earnings to investors last year, a normal payout level for most businesses.

Generally speaking, the lower a company's payout ratios, the more resilient its dividend usually is.

Click here to see how much of its profit Atreyu Capital Markets paid out over the last 12 months.

Have Earnings And Dividends Been Growing?

Companies that aren't growing their earnings can still be valuable, but it is even more important to assess the sustainability of the dividend if it looks like the company will struggle to grow. Investors love dividends, so if earnings fall and the dividend is reduced, expect a stock to be sold off heavily at the same time. That explains why we're not overly excited about Atreyu Capital Markets's flat earnings over the past five years. We'd take that over an earnings decline any day, but in the long run, the best dividend stocks all grow their earnings per share.

Many investors will assess a company's dividend performance by evaluating how much the dividend payments have changed over time. Atreyu Capital Markets has delivered 4.5% dividend growth per year on average over the past 10 years.

Final Takeaway

Is Atreyu Capital Markets an attractive dividend stock, or better left on the shelf? Atreyu Capital Markets has been struggling to generate growth while also paying out more than half of its earnings to shareholders as dividends. It might be worth researching if the company is reinvesting in growth projects that could grow earnings and dividends in the future, but for now we're on the fence about its dividend prospects.

If you want to look further into Atreyu Capital Markets, it's worth knowing the risks this business faces. To help with this, we've discovered 2 warning signs for Atreyu Capital Markets (1 shouldn't be ignored!) that you ought to be aware of before buying the shares.

A common investing mistake is buying the first interesting stock you see. Here you can find a full list of high-yield dividend stocks.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.