Company that offers wireless multimedia. AMPAK Technology employs experienced managers, sales and marketing staffs, researchers and developers, and dedicated engineers and technicians. We provide outstanding products and services to customers by adhering to the customer satisfaction principle. Our company’s goals are to share the profits and benefits among shareholders, employees, customers and customers.
It is the most committed optical communication company.
AMPAK Technology has two business units and one office: Wireless Multi-media and Optical Communication. We also have a Shenzhen Office. The Wireless Multimedia business unit is a leader in Taiwan in RF, logical and packaging design, testing, and packaging. This business unit offers wireless multimedia products like SiP (Systems in Package), and Wireless HDMI.
SiP products combine Wi-Fi and Bluetooth systems in small modules. The modules are compact enough to meet the requirements of handheld devices that follow a streamlined trend. It transmits voice and image signals wirelessly from devices (ex. From DVD players to digital TV sets or monitors wirelessly. This new transmission technology will replace traditional transmission via cables. The optical communication business unit is responsible for providing the Tocan packaging services and testing services for optoelectronics parts. Our team includes the most advanced machines and devices worldwide, as well as unique tooling developed in-house. We are capable of offering high-quality packaging and testing services in large quantities. We offer more than just packaging and testing TO products. We provide the complete solution for the optoelectronics sector. AMPAK Technology is committed to implementing an environmental protection management system. We provide training and education to increase the awareness of our employees about environment protection. This includes promoting energy-saving and waste-reducing and recycling. In 2006,
AMPAK Technology introduced the Hazardous Substance Management system to manage hazardous substances. This included RoHS, WEEE and REACH as well as Halogens Free and SONY SS00259. We promote green design and manufacturing for our products and work closely to meet the environmental protection goals of our customers.
AMPAK Technology Inc, a Taiwan-based company, specializes in the development, production, and sale of wireless communication modules. The Company is primarily involved in the development, production and sale of wireless communication products. The wireless communication modules are used mainly in consumer electronics such as set-top boxes and smart connected TVs. They also include network modules that can be used to transmit audio and video from projection equipment within the living room and audio-visual room. The Company also engages in the trading of raw materials and special interface wireless modules.
Is AMPAK Technology Inc. (GTSM-6546) a good fit for your Dividend Portfolio?
Today, we will take a closer look into AMPAK Technology Inc.(GTSM:6546), from a dividend investor’s point of view. It is a great way to grow your wealth by owning a business that is strong and then reinvesting dividends. You should be more careful with your investments if you want to live off the dividends.
Investors may think AMPAK Technology is a reliable dividend stock because of its 2.9% yield and five-year history. Low yields are generally negative, but investors may be pleased with the long-term prospects for earnings growth if they are. In the last year, the company has also paid out stock buybacks to shareholders for 7.7% of its market capitalisation. To ensure that the dividend is sustainable, it is important to always check the following checks before buying stocks.
Dividends are usually paid out of company earnings. A company that pays out more dividends than it earns can make the dividend unsustainable. This is not a good situation. It is easy to determine if a dividend is sustainable by comparing dividend payments with a company’s net profits after tax. AMPAK Technology distributed 80% of its profits as dividends over the twelve-month period. It is paying most of its earnings out, which limits the amount that could be reinvested in business. This could indicate a limited need for additional capital or a commitment to pay a dividend.
AMPAK Technology investors don’t have much to worry over in the short term, if you look at it from a dividend perspective.
Before we buy a stock to earn income, it is important that we check whether the dividends are stable and if the company has a history of maintaining its dividend. We can see that AMPAK Technology paid a dividend over the past five year. The first annual payment in the last five years was NT$1.0, compared with NT$2.0 the year before. This is a compound annual rate of growth (CAGR) approximately 15% per year.
Even though the dividend history has been relatively short, it is growing quickly. Additional research might be necessary.
Dividend Growth Potential
Although dividend payments have been reliable, it would be great if earnings per share were growing. This is vital to maintain the dividend’s purchasing power for the long-term. Over the last five years, earnings have increased at 2.5% per year. This is much better than having them shrink. The company is not seeing any growth in earnings and pays out the majority of its profits as dividends. Companies will often pay a higher dividend if the rate of return on investment opportunities falls below a minimum level. Many mature companies have higher dividend yields because of this.
We need to make a judgment about a dividend stock to determine if it will grow, whether the company can maintain it in an array of economic conditions, and if the dividend payouts are sustainable. AMPAK Technology’s payout rate is in the average range of market participants. We are not happy with the company’s earnings growth and believe it has not been paying out dividends for long enough to be resilient across economic cycles. We aren’t overly bearish, but overall we believe there are better dividend stocks out there than AMPAK Technology.
