Sonoco Products (NYSE:SON) Company is approaching its ex-dividend date, after which any purchases of the company's shares won't be eligible for the forthcoming dividend. The upcoming dividend, set at $0.51 per share, is due to be paid out on December 8th.
The significance of this ex-dividend date is underscored by its influence on shareholders' eligibility for dividends. Over the past year, Sonoco has distributed a total of $2.04 per share in dividends. This payout has contributed to a trailing yield of 3.7% at the current stock price of $55.11, highlighting the dividend's impact on the company's stock price.
The sustainability of Sonoco's dividend is supported by a conservative payout ratio of 40% from the company's profits and a 43% distribution from its free cash flow. This indicates that the company has been able to maintain its dividend payouts without overextending its financial resources.
InvestingPro Insights
InvestingPro's real-time data reveals Sonoco Products Company's market capitalization is at 5400M USD with an adjusted P/E ratio of 10.01 as of Q3 2023. The company has also shown a significant return over the last week, which aligns with a 8.85% 1 week price total return. The InvestingPro data also highlights a 3.7% dividend yield, which is consistent with the trailing yield mentioned in the article.
InvestingPro Tips further illuminate Sonoco's financial health. The company has consistently increased its earnings per share and has maintained a commendable track record of raising its dividend for 41 consecutive years. This supports the article's emphasis on the sustainability of Sonoco's dividends.
For readers interested in a deeper financial analysis, InvestingPro provides several additional tips and metrics related to Sonoco. This includes details on the company's valuation, earnings growth, and more.
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