dividend-analysis

Assess dividend-stock sustainability and detect yield-trap risk across sectors.

Updated Apr 14, 2026
One-click install
npx skills add https://github.com/loanntc/Paave --skill dividend-analysis-loanntc
Or copy as Structured Prompt for Agent
Please help me install this Agent Skill.
Skill: dividend-analysis
Source: https://github.com/loanntc/Paave/tree/main/skills/dividend-analysis
Command: npx skills add https://github.com/loanntc/Paave --skill dividend-analysis-loanntc

SYSTEM DOCUMENTATION & REQUIREMENTS

What problem does it solve?

This Skill helps you evaluate whether a dividend-stock’s payout is genuinely sustainable rather than a misleading high-yield “yield trap,” by checking cash earnings, cash-flow coverage, and balance-sheet resilience.

Core Features & Use Cases

  • Dividend yield vs. valuation context: Compares dividend yield to peer/own history and connects income to expected total return.
  • Payout sustainability checks: Evaluates coverage using earnings, operating cash flow, and free cash flow, with explicit formulas and warning thresholds.
  • Dividend growth quality and balance-sheet flexibility: Assesses dividend CAGR quality against EPS/FCF growth and tests whether leverage and debt maturity risk could break the payout.
  • Ex-dividend mechanics and dividend capture cautions: Flags why dividend capture is usually offset by price adjustment, taxes, spreads, and slippage.
  • Sector-aware adaptation: Recommends adapting payout metrics for REITs, utilities, banks, MLPs, and insurers.

Quick Start

Ask: “Run a dividend sustainability analysis for TICKER, including yield quality, payout coverage (earnings, CFO, FCF), dividend growth quality, and a yield-trap checklist.”

Frequently Asked Questions about dividend-analysis

High-intent search queries and answers about installing and using this skill.

FAQPage Schema
How do I check if a stock's dividend payout is sustainable?

To check dividend payout sustainability, analyze earnings, operating cash flow, and free cash flow coverage ratios against explicit warning thresholds. This evaluates whether cash earnings genuinely support the payout.

What is a dividend yield trap and how do I avoid it?

A dividend yield trap occurs when a high dividend yield masks underlying financial weakness. Avoid yield traps by testing balance-sheet flexibility, leverage, and debt maturity risk that could break the payout.

How do I evaluate REITs, utilities, and MLPs for dividend growth quality?

To evaluate dividend growth quality for REITs, utilities, and MLPs, adapt payout metrics to sector-specific standards and assess dividend CAGR against EPS and FCF growth.

Does the ex-dividend date strategy work for dividend capture?

The ex-dividend date dividend capture strategy usually fails because the stock price adjusts downward, offsetting the dividend by taxes, spreads, and slippage.

Can I compare a stock's dividend yield to its historical valuation context?

Yes, you can compare dividend yield to peer and own historical valuation context to connect expected income with total return and identify misleading high-yield scenarios.