From the financial statements of Sagicor provided, calculate: The dividend yield for both years. ...

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Accounting

From the financial statements of Sagicor provided, calculate:

The dividend yield for both years.

Dividend Yield = Cash Dividend per share x 100

Market Price per share

2021 2020

1.11 x 100 0.85 x100

58.25 49.95

= 0.019 or 1.91% =0.017 or 1.7%

The PE ratios for both years

P/E Ratio= Market value per share

Earnings per share

2021 2020

58.25 49.95

4.46 3.53

=13.00 =14.15

The dividend payout ratio for both years

Dividend pay-out ratio = Dividend per share

Earnings per share

2021 2020

1.11 x100 0.85

4.46 3.53

=24.89% =24.08%

B. Write a report to the CEO of the company you have chosen and provide an

analysis of the results in Part A for the two years? (30 marks)

C. Make recommendations to the CEO about actions to be taken to improve

the dividend yield, PE ratios and dividend payout ratios?

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