One thing that could hurt GTE's prospects is its lack of financial flexibility, analysts said, citing the company's high dividend payout ratio.
12.
The company has the industry's lowest dividend payout ratio, or the percentage of earnings that a company pays to shareholders in the form of dividends.
13.
The move will increase earnings and cash flow at the phone unit, U S West Communications Group, and reduce its dividend payout ratio, U S West said.
14.
Coke also said it will continue to lower its dividend payout ratio to 30 percent, which will free up cash to invest in its business, or to repurchase stock.
15.
The transaction will increase profit and cash flow and reduce the dividend payout ratio at U S West Communications, which consists of telecommunications services in the West and Midwest.
16.
"The idea ( for the Baby Bells ) is to ramp up earnings to decrease the dividend payout ratio over time, " said George Stenitzer, a spokesman for Ameritech Corp.
17.
For the overall stock market between 1871 and 2001, corporate profits grew fastest in the 10 years following the calendar years in which companies had the highest average dividend payout ratio.
18.
If you accept that stocks are always the best investment, then there is no point in looking at such traditional indicators as the dividend payout ratio, now at its lowest point ever.
19.
The rating also takes into consideration the dominant market position of Amcorp's core business units and its moderately low dividend payout ratios of its operating units and the diversity of the company's dividend sources.
20.
Wells CEO Paul Hazen explained in his recent report to stockholders, " we believe that repurchasing shares is a more efficient way to return capital to you than significantly increasing the dividend payout ratio ."
