Payout

Dividend payout ratio

One of the 61 measures in Stock Scorer, under Resilience — Can the balance sheet absorb a bad year?

How it is worked out

Dividends paid ÷ net income × 100

The share of profit already promised to the dividend. A low figure leaves room to absorb a bad year without cutting it; a company paying nothing reads zero, which makes this a measure of flexibility rather than of income.

How to read it

low is good, read as committed cash rather than as generosity: a company paying nothing has nothing to cut in a bad year and scores at the top. That makes it a poor measure of income and a fair one of flexibility

Which figures it needs

Computed from 2 figures taken from the filing:

• dividends_paid
• net_income

The XBRL tags behind it

These are the element names looked for in a filing, in order. The first one a company reports is the one used, and the company page names which it was — so any figure here can be checked against the filing it came from.

• PaymentsOfDividendsCommonStock
• PaymentsOfDividends
• PaymentsOfDividendsMinorityInterest
• DividendsPaidClassifiedAsFinancingActivities
• NetIncomeLoss
• ProfitLoss
• NetIncomeLossAvailableToCommonStockholdersBasic

Whether it counts

This measure is not counted by default. It can be added to Resilience on the dashboard, and it then takes its share of that dimension.