BD dividend: payout, cash coverage and yield
BD paid $4.15 dividends per share in FY2025. Its $1.196 billion dividend was covered by about $2.670 billion of free cash flow after capital spending.
How much does BD pay in dividends per share?
FY2025 revenue rose 10.2%, but operating margin was 10.5%; growth has yet to become stronger reported profitability. Diluted EPS was $3.81 against $4.15 dividends paid per share, while the average diluted share count fell 0.9% after rising 0.9% in FY2024. Net debt was $18,604 million. Valuation is 50.5x trailing P/E and 14.5x next-twelve-month P/E; shareholder yields are 2.2% from dividends and 1.9% from buybacks.
Dividends begin from the indicated $4.20 annual rate. The base case reaches $4.24 in 2027 and $4.32 in 2029 through one-cent quarterly increases. The bear case pauses at $4.20 before reaching $4.24, while the bull case reaches $4.52 through faster increases. The 54-year increase record supports continued growth, but debt and remediation argue for caution.
| October 2027 | October 2028 | October 2029 | |
|---|---|---|---|
| Earnings | 3,744 (3,453 / 3,940) | 3,999 (3,406 / 4,452) | 4,241 (3,454 / 4,995) |
| Shares (millions) | 270 (273 / 268) | 267 (274 / 263) | 265 (275 / 259) |
| Dividends per share | 4.24 (4.20 / 4.28) | 4.28 (4.20 / 4.40) | 4.32 (4.24 / 4.52) |
| Price to earnings | 16.50 (14.00 / 18.00) | 17.00 (14.00 / 19.00) | 17.50 (13.50 / 20.00) |
Does BD’s cash cover its dividend?
BD generated $3.430 billion from continuing operating activities in fiscal 2025, down from $3.844 billion in fiscal 2024. It spent $760 million on capital expenditures in fiscal 2025, mainly on manufacturing capacity, leaving simple free cash flow of about $2.670 billion before acquisitions, dividends, debt repayment and buybacks. The dividend was $1.196 billion in fiscal 2025, so operating cash after capital spending covered it.
| Sep 2025 | Sep 2024 | Sep 2023 | Sep 2022 | Sep 2021 | |
|---|---|---|---|---|---|
| − Dividends paid | 1,196 | 1,100 | 1,046 | 992 | 958 |
| − Share buybacks | 1,000 | 500 | 0 | 500 | 1,750 |
| − Acquisitions | 0 | 3,924 | 0 | ||
| + Debt issued | 455 | 4,917 | 1,662 | 727 | 4,869 |
| Paid to shareholders | 2,196 | 1,600 | 1,046 | 1,492 | 2,708 |
What this means. Blank cells mean the report could not find the number, not that the amount was zero.
What could change BD’s dividend?
The view would move toward the bear case if Alaris remediation extends through 2027 or quality actions raise costs and slow adoption. Price pressure or weak vaccine demand through 2029 would further reduce growth and margins.
What is BD’s dividend yield against its share price?
| Today (Oct 18, 2026) | |
|---|---|
| Share price | 191.75 |
| Market value (calculated) | 52,230.17 |
| P/E, last 12 months (calculated) | 50.5x |
| Dividend yield (calculated) | 2.2% |
What this means. The much lower price-to-earnings number for the next 12 months uses analysts’ expected profits, not profits the company has already earned.