The stock markets are running cautious right now ahead of the release of U.S. economic data. Interest rates continue to be on hold with producer price data and consumer price data scheduled for release in next two days. Both being critical to the outlook for US interest rates.
While China is taking measures to boost spending and stimulate its economy, Australia is ready with its budget for release tonight. The budget is expected to be surplus, though lower than estimates by independent analysts.
Bendigo and Adelaide Bank Limited (ASX: BEN)
Bendigo and Adelaide Bank Limited recently finalized the Bookbuild for its Bendigo and Adelaide Bank Capital Notes 2 (CN2) offer. The Margin for CN2 stands at 3.20% per annum, and BEN has allocated A$300 million worth of CN2 under the Offer. These actions demonstrate the company's proactive steps to bolster its capital resources and support its strategic initiatives.
In the first half of 2024, Bendigo and Adelaide Bank Limited demonstrated robust financial performance. Cash earnings after tax also exhibited a healthy increase, totalling $268.2 million. Notably, the bank's net interest margin stood at a commendable 1.83%, while the cash return on equity registered a solid figure of 7.82%.
In the first half of 2024, Bendigo and Adelaide Bank Limited declared a dividend of 30 cents per share, marking a 3.4% increase from the dividend of 29 cents per share in the same period of the previous year (1H23). Bendigo and Adelaide Bank Limited (BEN), is one of the Best Long Term Dividend Stocks. It foresees a promising path for its dividend cash flows, with expectations of gradual increments in the upcoming years.
Eagers Automotive Limited (ASX: APE)
Eagers Automotive Limited, an Australian automotive retail company, operates through three core segments: Car Retail, Truck Retail, and Property.
In the fiscal year ending on December 31, 2023, Eagers Automotive demonstrated strong financial performance. The company achieved a full-year revenue of $9.9 billion, marking a significant increase of 15.2% compared to the previous comparable period. Additionally, the underlying operating profit before tax for FY23 grew to $433.3 million, a notable 6.9% increase from FY22.
Moreover, the underlying earnings per share (EPS) reached 112.4 cents, displaying a compound annual growth rate (CAGR) of 12.8% between FY13 and FY23. Eagers Automotive maintained a solid underlying return on sales at 4.4%, indicating efficient operational performance.
Financially, the company's position remained robust with $222.2 million in cash at the bank, an available liquidity of $620.3 million, and a low gearing ratio of 0.48 times, highlighting prudent financial management.
Eagers Automotive Limited (APE), counted among the consistent Dividend Paying Companies, has a strong track record of providing reliable returns to shareholders through consistent dividends. With Dividends Per Share (DPS) experiencing a remarkable Compound Annual Growth Rate (CAGR) of 12.4% over the long term, APE is positioned as a reliable choice for investors seeking both income and long-term value appreciation.
BSP Financial Group Limited (ASX: BFL)
BSP Financial Group Limited has maintained a solid track record of growth and performance over the years. From December 2014 to December 2023, the company has achieved remarkable milestones across various key metrics.
During this period, gross loans surged by an impressive 134%, indicating robust lending activity and expansion of the loan portfolio. Additionally, capital adequacy increased by 40 basis points (bps), showcasing proactive measures to uphold a healthy capital position and comply with regulatory standards. Net profit after tax (NPAT) experienced significant growth, rising by 75% between fiscal years 2014 and 2023, highlighting effective cost management and increasing profitability.
Total assets witnessed remarkable expansion, soaring by 133%, reflecting the company's overall growth and expanding scale of operations. BFL has maintained a reliable practice of distributing profits to shareholders through dividends, offering a consistent and dependable return. In 2023, dividends amounted to K831.813 million, up from K788.906 million in 2022, demonstrating a commitment to enhancing shareholder value. This continued focus on dividend payments underscores the company's unwavering dedication to its shareholders.
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