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Stock impact report

Ternium (NYSE:TX) Has Announced That It Will Be Increasing Its Dividend To $2.20 [Yahoo! Finance]

Ternium S.A. Ternium S.A. American Depositary Shares (each representing ten shares, USD1.00 par value) (TX) 
Last ternium s.a. ternium s.a. american depositary shares (each representing ten shares, usd1.00 par value) earnings: 4/28 04:15 pm Check Earnings Report
Company Research Source: Yahoo! Finance
This will take the dividend yield to an attractive 6.8%, providing a nice boost to shareholder returns. Check out our latest analysis for Ternium Ternium's Earnings Easily Cover The Distributions While it is great to have a strong dividend yield, we should also consider whether the payment is sustainable. Before making this announcement, Ternium's dividend was higher than its profits, but the free cash flows quite comfortably covered it. Given that the dividend is a cash outflow, we think that cash is more important than accounting measures of profit when assessing the dividend, so this is a mitigating factor. According to analysts, EPS should be several times higher next year. If the dividend continues along recent trends, we estimate the payout ratio will be 70%, which would make us comfortable with the dividend's sustainability, despite the levels currently being elevated. Dividend Volatility The company's dividend history has been marked by instability, with at least o Show less Read more
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