Alright, buckle up, buttercups, because Lena Ledger, your resident Wall Street seer, is about to drop some truth bombs on you about MS INTERNATIONAL (LON:MSI). They’re dangling a shiny new dividend of £0.18 in front of our noses, and honey, that’s got my crystal ball spinning faster than a roulette wheel in Monte Carlo. We’re talking about a company that’s been playing the dividend game, a little ups and downs in the past, but generally trending upwards like a rocket ship headed straight for the moon (or at least a comfy beach somewhere, am I right?). So, let’s dive in, shall we? We’ll examine this dividend doozy, the financial health that’s holding it all together, and whether this stock is a diamond, or just fool’s gold.
First things first, let’s talk about this juicy dividend. MS INTERNATIONAL has been showering its shareholders with a regular dose of payouts, showing a clear preference for rewarding the folks who have skin in the game. This £0.18 is the latest headline, but, darling, it’s not a one-off. This company’s got a history of growth, and they’re clearly committed to the payout party. We’re talking a compound annual growth rate (CAGR) of roughly 1.5% to 10% depending on which magnifying glass you pick up. From a lowly £0.08 back in 2012, to a projected £0.22 annually. That’s a whole lotta lovely. The most recent £0.18 increase (effective August 22nd, mark your calendars, people!) is a 9.1% jump, which isn’t too shabby, is it? The industry has noted a previous increase to £0.165, yielding 1.8%, which aligns with all the other players. But here’s the catch, and, honey, there’s *always* a catch. There have been some hiccups along the way, past dividend cuts that we’ve got to keep an eye on. You can’t predict the future, unless you’re me, but you can learn from the past. MS INTERNATIONAL has shown itself to be, well, a bit more cautious than a casino owner on a losing streak, but what does this mean? It means they’re playing it smart, not being reckless, and that’s music to my ears!
Now, let’s take a peek behind the curtain and see what’s really propping this dividend up. It’s all well and good to promise payouts, but if the underlying finances aren’t healthy, baby, it’s all smoke and mirrors. This is where the payout ratio struts into the room, darling. The payout ratio, which measures how much of the earnings they are willing to share with us, is a sweet 36.1%. What a delicious number! That says they aren’t just handing out cash like it’s going out of style. They’re also reinvesting in themselves, leaving room for growth. Which, I’m here to tell ya, is a very good thing! That’s good! They’re also offering up a dividend yield of roughly 1.9% to 2.4%. It’s not setting the world on fire, but it’s a nice little return for those of you who are looking for a steady stream of income, a good return for the risk you take. Remember, no free lunches here, folks. This growth is supported by earnings per share (EPS), which hit UK£0.90 in the full year 2025, compared to UK£0.71 in FY 2024. Profits are up, and the dividend’s growing – it’s a beautiful relationship. The Simply Wall St. folks (and honey, they’ve got good taste!) say their financial performance is “decent,” which is good news, baby. That’s a great sign that things are ticking along nicely behind the scenes.
Okay, so the dividend looks good, the finances are decent, but what about the big picture? What’s MS INTERNATIONAL doing to make sure this isn’t a one-hit wonder? They’re in the aerospace and defense game, which is a pretty stable industry. I mean, you can bet that there are always going to be planes in the sky and soldiers on the ground. It’s not exactly a volatile sector, and that’s what we want. Plus, I got to say, they are being good to the investors by investing with increasing efficiency, which is a sign of future profitability. Let’s not forget, darling, there’s a boatload of insider ownership (54%!), which is a good thing, because it means their interests are aligned with ours! They’re invested right alongside you. The share price has also been moving up with a 34% increase over the past year. While this is separate from the dividend, of course, it doesn’t hurt the overall feeling. The upcoming release of the first-half 2025 results on August 4th is something that we have to mark on the calendar to watch for. And get this, the ex-dividend date is just before the results are released. The ex-dividend date tells you when you need to buy the stock to be eligible for that dividend. It will be something to watch.
So, what’s the verdict, you ask? Lena Ledger, in all her fortune-telling glory, says… MS INTERNATIONAL looks pretty solid, darling. Their dividend history’s on the up-and-up, the finances are decent, and the industry they’re in is stable. Sure, past dividend cuts are a reminder to tread cautiously, but overall, the trend is positive. The upcoming financial results and payment schedule provide some great opportunities to assess their continued growth. Is this the stock that’s going to make you rich overnight? No, honey. But is it a worthy addition to a diversified dividend portfolio? I’d say yes, y’all! Now, if you’ll excuse me, I have an appointment with a cosmic algorithm… and a vacation to plan. Fate’s sealed, baby!
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