06-01-2015, 02:27 PM
Here is an article I wrote that talked a bit on payout ratios.
I made up this table to show the payout ratios in a easier to digest form, although it could probably use a "10" value for PE on there now that I look at it again.
![[Image: 7404831-1425713091817295-Eric-Landis.png]](http://static.cdn-seekingalpha.com/uploads/2015/3/7/7404831-1425713091817295-Eric-Landis.png)
In my opinion payout ratio in itself doesn't tell much of a story without taking into account growth rates, valuation, business type, etc. It is a piece of the puzzle, but I have my doubts if it could be used as any sort of forecasting tool by itself.
I made up this table to show the payout ratios in a easier to digest form, although it could probably use a "10" value for PE on there now that I look at it again.
In my opinion payout ratio in itself doesn't tell much of a story without taking into account growth rates, valuation, business type, etc. It is a piece of the puzzle, but I have my doubts if it could be used as any sort of forecasting tool by itself.