On January 16, 2021, the merger between two automotive titans - Fiat Chrysler Automobiles and PSA Group - was completed to form Stellantis (NYSE: STLA). Three days later, shares of Stellantis IPO'd on the New York Stock Exchange. Since then, the company has increased its dividend every year, with its current dividend of just over $1.65 equating to a yield of 8.4%. (Interestingly, it pays just one annual dividend rather than making four quarterly payouts.) The big question, though, is whether its dividend is sustainable or at risk of being slashed in the future. Let's crunch some numbers to see where it stands... and to provide an answer for Wealthy Retirement reader Yariv, who left us a Facebook comment last week asking us to review Stellantis' dividend. As always, let's take a look at the company's free cash flow. |
No comments:
Post a Comment