Compare the dividend policies of Novartis AG (ticker: S:NOVN), Astrazeneca PLC (AZN), Aventis SA (F:RPP), and Merck and Company Inc. (U:MRK) over the last five years.
Determine the annual dividend payout ratios and the dividend yield for the four firms in each year.
What do the dividend payout ratios tell you about investment opportunities available to each company?
Do the payout ratios change significantly over time?
Which of these firms, if any, follows a constant payout ratio policy or a constant nominal payment policy?
Did any of these firms pay out an extra or special dividend over the last five years? Was it paid in a year with higher than normal earnings?