Three Days Left To Buy INFOvine.co.,Ltd. (KOSDAQ:115310) Before The Ex-Dividend Date

Some investors rely on dividends for growing their wealth, and if you're one of those dividend sleuths, you might be intrigued to know that INFOvine.co.,Ltd. (KOSDAQ:115310) is about to go ex-dividend in just three days. The ex-dividend date is usually set to be one business day before the record date which is the cut-off date on which you must be present on the company's books as a shareholder in order to receive the dividend. The ex-dividend date is of consequence because whenever a stock is bought or sold, the trade takes at least two business day to settle. Meaning, you will need to purchase INFOvine.co.Ltd's shares before the 27th of December to receive the dividend, which will be paid on the 2nd of April.

The company's next dividend payment will be ₩900.00 per share, on the back of last year when the company paid a total of ₩900 to shareholders. Based on the last year's worth of payments, INFOvine.co.Ltd stock has a trailing yield of around 4.2% on the current share price of ₩21250.00. We love seeing companies pay a dividend, but it's also important to be sure that laying the golden eggs isn't going to kill our golden goose! That's why we should always check whether the dividend payments appear sustainable, and if the company is growing.

See our latest analysis for INFOvine.co.Ltd

If a company pays out more in dividends than it earned, then the dividend might become unsustainable - hardly an ideal situation. INFOvine.co.Ltd has a low and conservative payout ratio of just 24% of its income after tax. Yet cash flow is typically more important than profit for assessing dividend sustainability, so we should always check if the company generated enough cash to afford its dividend. Fortunately, it paid out only 28% of its free cash flow in the past year.

It's positive to see that INFOvine.co.Ltd's dividend is covered by both profits and cash flow, since this is generally a sign that the dividend is sustainable, and a lower payout ratio usually suggests a greater margin of safety before the dividend gets cut.

Click here to see how much of its profit INFOvine.co.Ltd paid out over the last 12 months.

Have Earnings And Dividends Been Growing?

When earnings decline, dividend companies become much harder to analyse and own safely. If earnings fall far enough, the company could be forced to cut its dividend. So we're not too excited that INFOvine.co.Ltd's earnings are down 3.6% a year over the past five years.

The main way most investors will assess a company's dividend prospects is by checking the historical rate of dividend growth. INFOvine.co.Ltd's dividend payments per share have declined at 1.1% per year on average over the past five years, which is uninspiring.

Final Takeaway

Is INFOvine.co.Ltd an attractive dividend stock, or better left on the shelf? INFOvine.co.Ltd has comfortably low cash and profit payout ratios, which may mean the dividend is sustainable even in the face of a sharp decline in earnings per share. Still, we consider declining earnings to be a warning sign. In summary, it's hard to get excited about INFOvine.co.Ltd from a dividend perspective.

So while INFOvine.co.Ltd looks good from a dividend perspective, it's always worthwhile being up to date with the risks involved in this stock. For instance, we've identified 2 warning signs for INFOvine.co.Ltd (1 doesn't sit too well with us) you should be aware of.

If you're in the market for strong dividend payers, we recommend checking our selection of top 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.