With the departure of the coronavirus pandemic, Spanish listed companies have sought formulas to maintain or recover their traditional dividend distribution philosophy.
In 2021, the remuneration to shareholders of the Spanish stock market improved 4.8 percent, according to BME data until November.
In addition, the remuneration with shares (scrip) contracted 30 percent, which is always well received by investors and analysts, more prone to cash dividends.
More than half of the 85 listed companies that make up the IBEX family yielded a dividend yield higher than that of ten-year bonds, which reached a daily average of 0.44 percent.
Given these trends, the strategy of betting on the dividend is once again one of the most sensible alternatives to strengthen portfolios. And these are the best ideas for 2022 according to the sources consulted by finance.com.
Telefónica squeezes the dividend
The expected dividend yield for Telefónica in 2022 exceeds 8 percent, with which the group leads the IBEX 35 in generosity with its shareholders. And it also reigns among the big European telecos.
Although the operator finally recorded an advance in the year of 18 percent, it has not shone on the stock market like other ‘blue chips’, partly due to the doubts generated by the pressure of competition in the Spanish market.
Virtually all dividend rankings on the Spanish stock market include Telefónica, although in the market there are reasonable doubts about the sustainability of payments, precisely because of the strong competition in the local market.
In addition, the company needs to accelerate the sale of its non-strategic assets in Latin America. Strengthening the box seems a priority, especially now that the group intends to retake the dividend in cash.
In Bankinter Y Rent 4 Bank believe that the dividend will be sustainable, but in Bloomberg Intelligence have doubts about it. The group has made the most of its possibilities with the dividend, considered at home practically as a matter of state.
Faes Farma, with rebound potential of 24 percent
Outside the focus of the IBEX 35, one of the bets of Rent 4 Bank for your dividend focused portfolio is Farma Field. The company projects a profitability for this year around 6 percent, according to the broker’s estimates.
The pandemic took its toll on the fundamentals of the business, as it happened with almost all pharmaceutical companies. But in the third quarter of 2021, ebitda already grew 30 percent, with a “slight recovery in margins,” they added in Bankinter.
On the contrary, the company closed 2021 with a fall in the stock market of 0.3 percent, a circumstance that justifies the bet of Rent 4 Bank by the pharmacist. “The return to growth will end up being reflected in the price,” they argue in the broker.
In fact, the finance.com analyst consensus estimates that the group has a rebound potential of 24 percent.
The combination of dividend, rebound potential and high cash generation justifies the opportunity at Faes Farma.
Due to technical factors, the short term will have to be watched. The stock has the first relevant resistance at 3.56 euros, 2.5 percent away from the current price, according to the analysis by Josep Codina on Finanzas.com.
But in his recent comeback, he has regained a key long-term level, the 200 session average.
Logista, at the height of the giants
In the case of Logista, the expected dividend yield in 2022 scales to 7.7 percent, numbers that allow the group to rub shoulders with Telefónica and leave behind other giants, such as BBVA, Santander Bank Y Repsol.
The company has a payout of 90 percent, which means that practically everything it earns goes to remunerating its shareholders.
Again, the advantage is that the stock has almost everything to do on the floor, as the consensus of experts estimates a potential upside of more than 40 percent. And it’s on the mend, rising nearly 10 percent from December lows.
“We believe it is right to be positioned in a company with a more than likely improvement in prospects throughout the year, while guaranteeing us an attractive dividend yield of more than 7 percent,” they argued in Renta 4 Banco.
With the last upward momentum, Josep Codina marks the level of 17.79 euros as the next resistance. The average of 200 sessions passes practically through this area, the recovery of which could accelerate the climbs.
Finally, Logista is a listed company that always appears in analysts’ forecasts to be part of the IBEX 35, so a possible inclusion in the selective in 2022 could accelerate the rises in the stock market.