Current Report: Vinci

Mark, Marker, Hand, Write, Glass, Glass Pane

Image Source: Pixabay

Vinci (VCISY) is one of the world’s largest investors in transport infrastructure.

Significant concession assets include 4,400 kilometers of toll roads in France and 72 airports across 14 countries, making Vinci the world’s largest airport operator in terms of managed passenger numbers.

The concession’s business contributes less than one-fifth of group revenue but the majority of operating profit. Vinci’s contracting business provides a broad variety of engineering and construction services.

Vinci SA was founded in 1899 and is headquartered in Nanterre, France.

Three key data points gauge Vinci or any dividend-paying firm.

The key three are:

(1) Price

(2) Dividends

(3) Returns

Those three keys also best tell whether any company has made, is making, and will make money.

VCISY Price

Over the past year, Vinci’s share price rose about 18.4% from $28.06 to $29.70 as of Thursday’s market close. In the past ten years, the company’s share price has never been less than $13.00 or more than $32.82.

If Vinci shares trade in the range of $20.00 to $32.00 this next year, their recent $29.70 share price might rise by $1.30 to $31.00 in a year. Of course, VCISY's price could also drop about the same $1.30 estimated amount or more.

My $1.30 upside estimate is $0.05 under the average annual gain over the past ten years.

VCISY Dividend

Vinci shows semi-annual variable dividends paid since December 2005, except for 2009 & 10. The most recent $0.92 SA dividend was declared April 10th for shareholders of record April 19th and paid May 10th. A forward-looking $1.21 annual dividend yields 4.07% at Thursday’s closing price.

VCISY Returns

To put it all together, a $2.51 estimated one-year gross gain per share shows up when adding VCISY’s  $1.21 estimated annual dividend to the estimated price upside of $1.30, equalling that $2.51 gross gain per share.

A little over $1000 buys us 34 shares at the $29.70 share price.

A $10 broker fee (if charged), paid half at purchase and half at sale, might take about $0.285 per share out of the $2.51 annual estimated gross gain to give us a net gain of $2.225 X 34 shares = $75.65 for about a 7.5% estimated net gain for the year.

Furthermore, the $40.70 annual dividend income from $1K invested is about 1.37 times more than VCISY’’s $29.70 single share price. By these numbers, Vincy may be an ideal dividend dog.

You might choose to pounce on Vinci SA It is a 125-year-old dividend-paying Paris-based construction and management firm with almost a 20-year record paying semi-annual dividends.

The exact track of VCISY's future price and dividend will entirely be determined by market action.                                                                                                                                                         
Remember the true value of any stock is best realized through personal ownership of shares.


More By This Author:

Current Analysis: Smith & Wesson
Current Analysis: Mitsubishi
Current Analysis: Bouygues (BOUYY)

Disclaimer:  This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a ...

more
How did you like this article? Let us know so we can better customize your reading experience.

Comments