April 29, 2026 a 03:31 am
IR: Dividend Analysis - Ingersoll Rand Inc.
Ingersoll Rand Inc. presents a compelling opportunity for investors focused on dividends, demonstrating resilience and stability in its financial structure. Despite a low dividend yield, the company's solid market capitalization and consistent dividend history reinforce its position as a reliable dividend stock. The absence of recent dividend cuts underscores its commitment to delivering shareholder value. Potential investors should consider the moderate growth and diversified portfolio that Ingersoll Rand offers.
📊 Overview
Ingersoll Rand Inc., operating in the Industrial sector, boasts a market cap indicative of its robust industry positioning. Despite a modest dividend yield of 0.10%, its steadfast dividend has been consistently distributed over a lengthy history of 10 years. The current dividend stands at $0.08 per share, untouched by any recent suspensions or reductions.
| Key Metric | Value |
|---|---|
| Sector | Industrial |
| Dividend yield | 0.10% |
| Current dividend per share | $0.08 |
| Dividend history | 10 years |
| Last cut or suspension | None |
🗓️ Dividend History
The dividend history of Ingersoll Rand highlights a stable payout approach, reflecting reliability in its returns to shareholders. This track record is instrumental for long-term investors who prize consistent income.
| Year | Dividend Per Share |
|---|---|
| 2026 | $0.04 |
| 2025 | $0.08 |
| 2024 | $0.08 |
| 2023 | $0.08 |
| 2022 | $0.08 |
📈 Dividend Growth
Although Ingersoll Rand has faced challenges in its dividend growth, with zero growth over the past 3 years and a decline of 0.40% over 5 years, it has maintained a steady distribution, emphasizing its focus on shareholder value preservation.
| Time | Growth |
|---|---|
| 3 years | 0% |
| 5 years | -0.40% |
The average dividend growth is -0.40% over 5 years. This shows moderate but steady dividend growth.
✅ Payout Ratio
Understanding the payout ratios of Ingersoll Rand is crucial for assessing dividend sustainability. The EPS-based payout ratio of 5.42% and the FCF-based ratio of 2.69% indicate a conservative dividend policy, allowing ample room for re-investment and growth.
| Key Figure | Ratio |
|---|---|
| EPS-based | 5.42% |
| Free cash flow-based | 2.69% |
The low payout ratios confirm Ingersoll Rand's strong capacity to maintain and grow its dividend.
💰 Cashflow & Capital Efficiency
The analysis of Ingersoll Rand's cash flow metrics highlights its operational efficiency and capital stewardship. These metrics are vital for ensuring that the company can sustain its dividend payments while funding growth initiatives.
| Year | 2023 | 2024 | 2025 |
|---|---|---|---|
| Free Cash Flow Yield | 4.06% | 3.42% | 3.87% |
| Earnings Yield | 2.49% | 2.30% | 1.84% |
| CAPEX to Operating Cash Flow | 7.65% | 10.68% | 10.02% |
| Stock-based Compensation to Revenue | 0.75% | 0.81% | 0.70% |
| Free Cash Flow / Operating Cash Flow Ratio | 92.35% | 89.32% | 89.99% |
Ingersoll Rand's cash flow metrics exhibit a stable foundation for dividend sustainability and potential reinvestment.
📉 Balance Sheet & Leverage Analysis
Evaluating Ingersoll Rand's balance sheet metrics gives investors insights into the financial health and risk levels related to leverage and financial obligations.
| Year | 2023 | 2024 | 2025 |
|---|---|---|---|
| Debt-to-Equity | 0.28 | 0.49 | 0.47 |
| Debt-to-Assets | 0.18 | 0.28 | 0.26 |
| Debt-to-Capital | 0.22 | 0.33 | 0.32 |
| Net Debt to EBITDA | -0.71 | 1.88 | 1.84 |
| Current Ratio | 2.22 | 2.29 | 2.05 |
| Quick Ratio | 1.67 | 1.71 | 1.49 |
| Financial Leverage | 1.59 | 1.77 | 1.81 |
With balanced leverage ratios, Ingersoll Rand's financial structure remains solid, supporting sustainable dividend payouts.
🌟 Fundamental Strength & Profitability
Ingersoll Rand's profitability metrics showcase the company's ability to generate returns from its equity and assets, which can translate into consistent dividend payments.
| Year | 2023 | 2024 | 2025 |
|---|---|---|---|
| Return on Equity | 7.96% | 8.24% | 5.76% |
| Return on Assets | 5.00% | 4.66% | 3.18% |
| Margins: Net | 11.32% | 11.59% | 7.60% |
| EBIT | 17.27% | 18.60% | 18.53% |
| EBITDA | 23.95% | 25.27% | 25.14% |
| Gross | 41.92% | 43.81% | 38.54% |
| Research & Development to Revenue | 0% | 0% | 0% |
Ingersoll Rand sustains robust profitability margins, reinforcing its ability to fund dividends alongside operational expenses.
📈 Price Development
📊 Dividend Scoring System
| Category | Score (1-5) | Score Bar |
|---|---|---|
| Dividend yield | 1 | |
| Dividend Stability | 4 | |
| Dividend growth | 2 | |
| Payout ratio | 4 | |
| Financial stability | 5 | |
| Dividend continuity | 5 | |
| Cashflow Coverage | 5 | |
| Balance Sheet Quality | 4 |
Total Score: 30/40
🗣️ Rating
Ingersoll Rand Inc. exhibits a commendable blend of financial stability and operational efficiency, making it a prudent choice for dividend-oriented investors. Its consistent dividend history, backed by robust cash flows and balance sheet resilience, advocate for its continued reliability in yielding shareholder returns. Despite modest growth prospects, it holds promise within a diversified investment strategy.