Interested in a high dividend stock that is increasing its dividend for the first time in 15 years?

Interested in a high dividend stock that is increasing its dividend for the first time in 15 years?

TSE: 4502/NYSE: TAK

Let's delve into the appeal of Takeda Pharmaceutical (TAK). The current stock price is attractively undervalued. Buying stocks during periods of suboptimal performance always requires careful analysis.

Global Business Expansion

Takeda operates in over 60 countries worldwide, delivering pharmaceuticals to patients globally. For the fiscal year ending March 2023, its revenue was 1.6443 trillion yen, with overseas sales exceeding 800 billion yen.

Robust Research and Development

Takeda boasts world-class research and development capabilities, with an annual R&D budget of approximately 300 billion yen. The company has a comprehensive system for drug discovery, development, manufacturing, and quality control.

Diverse Product Lineup

Takeda offers a wide range of pharmaceuticals across various fields, including oncology, cardiology, gastroenterology, central nervous system, immunology, respiratory, diabetes, and rare diseases, contributing to patients with diverse needs.

Strong Brand Presence

Takeda owns several globally recognized brands, such as "Takeda," "Aricept," and "Adempas," acquired from Novartis, earning high acclaim worldwide.

Stable Financial Foundation

Takeda maintains a stable financial situation, with an equity ratio of over 50% and minimal interest-bearing debt.

Social Contribution Activities

Takeda actively engages in social contribution activities, including medical and educational support and environmental protection, contributing to the sustainable development of society.

Future-Oriented Business Strategy

Takeda aims to achieve 2 trillion yen in sales and 100 billion yen in operating profit by 2025. The company is aggressively pursuing new drug development and mergers and acquisitions to reach these goals.

Talented Workforce

Takeda attracts top talent, producing numerous outstanding researchers and executives since its inception.

High Growth Potential

Takeda is a company with high growth potential. Its revenue for the fiscal year ending March 2023 increased by 4.2% compared to the previous period, and further growth is anticipated through new drug development and strategic mergers and acquisitions.

Shareholder Returns

Takeda is proactive in returning value to shareholders, with dividends showing an increasing trend. The company also implements share buybacks.

Innovation in Product Development

ENTYVIO, initially used intravenously, has been innovatively developed for subcutaneous injection, securing patent longevity even after the expiration of its IV patent. [ENTYVIO Summary of Product Characteristics (SmPC). Available at: ENTYVIO Product Information. Last updated: April 2023. Last accessed: August 2023.]

Takeda aims to enhance its manufacturing capacity by 2025.

While the acquisition of Shire was initially viewed negatively, it's important to focus on the positives such as ENTYVIO, the WHO-recommended dengue fever vaccine, and the therapeutic drug TAK-270.

First Dividend Increase in 15 Years Announced

From 2014 to March 2023, the dividend remained at 180 yen. Starting in 2024, it will increase to 188 yen. This news is greatly welcomed by individual investors who favor high dividend stocks, and the company's future performance is highly anticipated.

Considering these attributes, Takeda Pharmaceutical can be regarded as a suitable company for long-term investment.