The annual report of A-share listed companies in 2021 is coming to an end. According to the disclosed annual report, more than 70% of listed companies plan to pay cash dividends, including a scale of 10 billion yuan.
According to the data, as of April 27, 3528 A-share listed companies have disclosed their annual reports for 2021. As many as 2618 companies intend to pay cash dividends, accounting for 74%, with a total cash dividend of 1.48 trillion yuan. Among them, 22 companies such as Industrial And Commercial Bank Of China Limited(601398) and others intend to pay cash dividends of more than 10 billion yuan.
The interviewed experts believe that in recent years, with the support and encouragement of regulators, the enthusiasm of listed companies for cash dividends has increased significantly. Listed companies are not only willing to release the signal of sound operation of enterprises through dividends and give back to investors with real gold and silver, but also attract more medium and long-term funds, so as to maintain the stability of stock prices and facilitate enterprise financing.
“A-share dividend depends on banks”. Banks with stable performance and abundant cash flow have been the wind vane of cash dividend over the years.
From the ranking of the proposed cash dividend scale alone, five of the top 10 are banks, and the four major banks of industrial construction and agricultural middle school rank in the top four. According to the data, Industrial And Commercial Bank Of China Limited(601398) ranks first with 104.5 billion yuan in cash dividends, followed by China Construction Bank Corporation(601939) with 91 billion yuan, Agricultural Bank Of China Limited(601288) , Bank Of China Limited(601988) with 72.4 billion yuan and 65.1 billion yuan respectively, followed by China Shenhua Energy Company Limited(601088) with 50.5 billion yuan.
In terms of the scale of cash dividends in the industry, the banking industry has become the main force of cash dividends. 25 banks plan to pay 509.9 billion yuan of dividends, accounting for 34% of the total cash dividends planned by 2618 listed companies, far ahead of other industries. In addition, the non bank financial industry plans to pay a cash dividend of 127.2 billion yuan and the coal industry plans to pay a cash dividend of 76.7 billion yuan.
“The banking industry has large assets, high overall profitability, relatively stable operating performance and abundant cash flow, which has a good dividend basis. Therefore, the scale of bank cash dividend is large.” A person in charge of equity proprietary business of small and medium-sized securities companies told the reporter of Securities Daily.
In addition, high dividend yield has also become a significant feature of bank stocks, even surpassing most bank financial management. According to the data, based on the closing price on April 27, Bank Of Communications Co.Ltd(601328) and other 12 banks’ dividend yield is higher than 5%.
“The dividend rate of high-quality banks is relatively high, and the dividend rates of large banks such as Bank Of Communications Co.Ltd(601328) , Agricultural Bank Of China Limited(601288) , Industrial And Commercial Bank Of China Limited(601398) are in the forefront of the industry.” Dong zhongyun, chief economist of AVIC securities, told the reporter of Securities Daily that the reason why banks have high dividend rate is that firstly, affected by real estate, some bank stocks had a low performance and low valuation; Second, the quality of bank assets improved and the performance increased significantly in 2021; Third, banks continue to maintain a high level of dividends and dividends.
Dong zhongyun further said that the dividend yield is a more important indicator for long-term investors and value investors. The continuous and stable high dividend distribution of enterprises will help investors form long-term and stable return expectations and cultivate the long-term investment concept of the market.
From the perspective of cash dividends, there are many companies with large dividends and many companies with large proportion of dividends.
The data show that among the 2618 companies that plan to pay cash dividends, 506 companies pay cash dividends (the proportion of cash dividends in the net profit of the same period) more than 50%. In terms of industry distribution, the number of Companies in mechanical equipment, medicine, biology and basic chemical industry ranks first.
Wang Weijia, general manager of Beijing Sunshine Tianhong asset management company, told the reporter of Securities Daily that the three major manufacturing industries such as machinery and equipment have a large number of companies and a large base. Last year, the manufacturing industry represented by machinery and equipment, medicine and biology and basic chemical industry achieved rapid growth in business performance, steadily improved its profitability and considerable distributable profits.
