SBA dividend: payment, coverage and yield
MyStockButler's October 2026 analysis: SBA paid $4.44 per share in 2025, and its dividend was covered by operating cash and AFFO, although the cushion narrowed. SBA's cash record shows operating cash covered dividends from 2021–2025, while AFFO payout rose to 34.6% in 2025.
How much does SBA pay per share?
Operating contribution barely advanced from 2024 to 2025 while leverage rose. AFFO per share fell to $12.85 in 2025 after reaching $13.37 in 2024. The dividend reached $4.44 per share in 2025, and the payout ratio rose to 34.6%. Buybacks reduced diluted shares, but their value depends on cash flow retained per share.
| 2025 | 2024 | 2023 | 2022 | 2021 | |
|---|---|---|---|---|---|
| FFO per share | 14.17 | 10.36 | 12.64 | 11.02 | 8.70 |
| AFFO per share (company's measure) | 12.85 | 13.37 | 13.08 | 12.25 | 10.74 |
| Dividend per share | 4.44 | 3.92 | 3.40 | 2.84 | 2.32 |
| AFFO payout ratio | 34.6% | 29.3% | 26.0% | 23.2% | 21.6% |
| Diluted shares (average of the year), change | -0.5% | -0.8% | -0.4% | -1.6% | -2.0% |
What this means. The company’s adjusted funds from operations is its own profit measure, so it may not match another analyst’s adjusted profit calculation.
Is SBA's dividend covered by its cash?
Operating cash covered SBA’s dividends throughout 2021–2025, but expansion and shareholder returns required other sources of capital. Over that period, cash from operations totalled about $6.6 billion and dividends about $1.8 billion. The dividend was covered each year, although the cash left after dividends narrowed.
AFFO per share rose from $10.74 in 2021 to $13.37 in 2024, then fell to $12.85 in 2025. Dividends paid increased to $479.0 million, lifting the payout ratio to 34.6%. The remaining AFFO still competes with acquisitions, construction, land purchases, debt repayment and buybacks.
| 2025 | 2024 | 2023 | 2022 | 2021 | |
|---|---|---|---|---|---|
| Cash from operations | 1,291,328 | 1,334,866 | 1,544,393 | 1,285,700 | 1,189,896 |
| − Dividends paid | 479,012 | 424,191 | 369,960 | 306,766 | 253,580 |
| = Operating cash after dividends | 812,316 | 910,675 | 1,174,433 | 978,934 | 936,316 |
| − Acquisitions | 1,058,828 | 299,811 | 129,961 | 1,176,092 | 1,257,704 |
| − Development and capital spending | 224,819 | 228,149 | 236,698 | 214,443 | 133,694 |
| − Shares bought back | 497,805 | 200,019 | 100,010 | 431,666 | 582,578 |
What this means. The company still has cash left after paying dividends from its daily business, but buying properties and other businesses can use more cash than remains.
What could change SBA's dividend?
The current annualized rate is $5.00, with a payout near 40%–42% on 2026 guidance. That coverage supports measured increases, but AFFO per share fell from $13.37 in 2024 to $12.85 in 2025. A freeze is therefore credible, while the bull path requires churn to ease quickly.
| October 2027 | October 2028 | October 2029 | |
|---|---|---|---|
| AFFO | 1,291 (1,253 / 1,336) | 1,323 (1,229 / 1,407) | 1,372 (1,225 / 1,495) |
| Shares (millions) | 105 (106 / 104) | 104 (106 / 103) | 104 (107 / 102) |
| Dividends per share | 5.25 (5.00 / 5.50) | 5.50 (5.00 / 6.00) | 5.75 (5.00 / 6.50) |
| Price to AFFO | 14.50 (13.00 / 16.00) | 14.80 (12.50 / 17.00) | 15.10 (12.20 / 17.70) |
What is SBA's dividend yield today?
AFFO is the better starting point than ordinary profit because it aims to show recurring property cash generation after necessary spending. Depreciation reduces accounting earnings without requiring an equal annual cheque. In the second quarter of 2026, SBA reported AFFO of $3.05 per share and net income of $1.85 per share. P/E therefore needs care, while price to book is especially weak when accounting equity is negative.