The average dividend yield to be paid next year by the companies in Romania’s blue chip BET index, out of 2018 profit, may be 8.83% if the state continues to demand the companies in its portfolio pay 90% of their profits as dividends, local brokerage company Tradeville said in a comment emailed to bne IntelliNews.
If the dividend payout ratio for BET companies where the state is a majority shareholder is lowered to 50%, the average dividend yield is estimated at 7.67%, close to the one distributed in 2017 (7.6%) according to Tradeville's analysts, who used the closing prices of the trading session on August 21, 2018 to calculate the dividend yield.
For companies where the state does not have a majority shareholding, about 75% of the blue chip index, Tradeville assumed that the same profit distribution rate of 2018 (for 2017 profits) will be maintained in 2019 (for 2018 profits).