Ilji Technology (KOSDAQ:019540) Has Announced A Dividend Of ₩100.00

Ilji Technology Co., Ltd.'s (KOSDAQ:019540) investors are due to receive a payment of ₩100.00 per share on 10th of April. This means the annual payment is 2.6% of the current stock price, which is above the average for the industry.

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Ilji Technology's Future Dividend Projections Appear Well Covered By Earnings

While it is great to have a strong dividend yield, we should also consider whether the payment is sustainable. Before making this announcement, Ilji Technology was easily earning enough to cover the dividend. This means that most of what the business earns is being used to help it grow.

Looking forward, earnings per share could rise by 65.2% over the next year if the trend from the last few years continues. Assuming the dividend continues along recent trends, we think the payout ratio could be 4.5% by next year, which is in a pretty sustainable range.

View our latest analysis for Ilji Technology

Ilji Technology Is Still Building Its Track Record

The dividend has been pretty stable looking back, but the company hasn't been paying one for very long. This makes it tough to judge how it would fare through a full economic cycle. The payments haven't really changed that much since 2 years ago. Ilji Technology hasn't been paying a dividend for very long, so we wouldn't get to excited about its record of growth just yet.

The Dividend Looks Likely To Grow

Investors who have held shares in the company for the past few years will be happy with the dividend income they have received. Ilji Technology has seen EPS rising for the last five years, at 65% per annum. Rapid earnings growth and a low payout ratio suggest this company has been effectively reinvesting in its business. Should that continue, this company could have a bright future.

Ilji Technology Looks Like A Great Dividend Stock

In summary, it is good to see that the dividend is staying consistent, and we don't think there is any reason to suspect this might change over the medium term. Distributions are quite easily covered by earnings, which are also being converted to cash flows. All in all, this checks a lot of the boxes we look for when choosing an income stock.

It's important to note that companies having a consistent dividend policy will generate greater investor confidence than those having an erratic one. However, there are other things to consider for investors when analysing stock performance. To that end, Ilji Technology has 3 warning signs (and 1 which is a bit concerning) we think you should know about. Is Ilji Technology not quite the opportunity you were looking for? Why not check out our selection of top dividend stocks.

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