Coca-Cola Amatil Ltd
Looking at the near-term prospects for Coca-Cola Amatil Ltd(ASX: CCL) could lead many investors to think that it’s a stock to avoid. That’s because, from an income perspective for instance, it is forecast to reduce dividends per share by 16.3% per annum over the next two years as it makes the necessary changes to improve its efficiency and invest in future growth.
Despite this, Coca-Cola Amatil still seems to work as an income play. For example, it has a partially franked yield of 4.9% and, over the last 10 years, has increased dividends per share at an annualised rate of 8.5%. This shows that, in the long run, it is likely to once again deliver impressive increases in shareholder payouts and could still prove to be a great dividend play for longer-term investors.
CCL Price at posting:
$9.90 Sentiment: Hold Disclosure: Held
