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BAE Systems plc (BA.L) logo

BAE Systems plc

EURO STOXX 600
BA.L|Industrials|Aerospace & Defense|£19.35|P/E 29.0|MCap 567.8M|LSE

Last update: May 9, 2026 at 09:32

Dividend Safety Rating

75/ 100Safe

BA.L's dividend appears safe and well-supported. Strengths include a 50.1% earnings payout ratio & 44.1% fcf payout ratio. Areas of concern: 1.0x current ratio. The dividend has been growing at a 8.01% 5-year CAGR.

Based on 15 of 15 metrics

Strengths

  • Gross Margin: 65.5%High gross margin signals strong pricing power.
  • Dividend Streak: 11+ yrsLong, uninterrupted dividend track record.
  • Dividend Cut: NoneNo dividend cut in recent history.

Risks

  • Current Ratio: 1.0xLimited short-term liquidity to meet obligations.

Payout & Coverage

Safe
Earnings Payout Ratio
50.1%Safe
FCF Payout Ratio
44.1%Safe
CFO Payout Ratio
56.9%Caution
Interest Coverage
6.1xSafe

Balance Sheet

Caution
Net Debt / Total Assets
14.9%Safe
Current Ratio
1.0xWarning
Debt-to-Equity
76.7Safe

Profitability

Safe
Return on Equity
18.1%Safe
Operating Margin
10.2%Caution
Gross Margin
65.5%Very Safe
Profit Margin Stability
StableSafe

Dividend Track Record

Very Safe
Dividend Streak
11+ yrsVery Safe
Dividend Cut
NoneVery Safe
5-Year Dividend CAGR
8.0%Safe
Earnings Stability
GrowingVery Safe

About BAE Systems plc

BAE Systems plc is a British multinational defence, aerospace, and security company headquartered in London, United Kingdom. Incorporated in 1979, it delivers advanced technology-led solutions across electronic systems, platforms and services, air, maritime, and cyber & intelligence segments. The Electronic Systems segment provides electronic warfare, navigation, electro-optical sensors, precision guidance, communication systems, surveillance, and propulsion technologies. Platforms & Services focuses on combat vehicles, weapons, munitions, naval ship repair, and ammunition plant operations. The Air segment develops combat air systems, including contributions to fighter aircraft programs. Maritime handles submarine and ship construction alongside land services. Cyber & Intelligence offers cybersecurity for national security and government enterprises. Operating primarily in the United States, United Kingdom, Middle East, Australia, Japan, and Europe, BAE Systems plc supports military aircraft production, naval projects like submarines and frigates, armoured vehicles, and intelligence capabilities, serving as a key supplier to defence establishments worldwide.

Dividend Overview

Dividend Yield

1.87%

Annual Dividend

£0.36

Frequency

Semi-Annual

Payout Ratio

50.15%

FCF Payout Ratio

44.10%

Stock Price

£19.35

52-Week Range

£15.88 £23.60

Dividend History (2016–2025)

BA.L annual dividend per share and yield history

Earnings & Profitability

BA.L earnings per share and net profit margin

Key Dates

Last Ex-Dividend Date

April 23, 2026

Next Payment Date

Dividend Growth

3-Year Dividend CAGR

10.03%

5-Year Dividend CAGR

8.01%

10-Year Dividend CAGR

15.04%

3-Year Total Growth

33.20%

5-Year Total Growth

46.98%

10-Year Total Growth

305.95%

Income Calculator

BA.L Dividend Calculator

Total Investment

£1,934.80

Annual Income

£36.30

Quarterly Income

£9.08

Monthly Income

£3.02

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Frequently Asked Questions

What is BA.L's current dividend yield?
BAE Systems plc (BA.L) currently has a dividend yield of 1.87%, based on a stock price of £19.35 and an annual dividend of £0.36.
When is BA.L's next dividend payment date?
BA.L's next ex-dividend date is 2026-04-23 and the next payment date is —. You must own the stock before the ex-dividend date to receive the upcoming payment.
How much does BA.L pay in dividends per year?
BAE Systems plc paid £0.34 per share in annual dividends in 2025. The dividends are paid semi-annual.
Has BA.L been increasing its dividend?
BAE Systems plc has grown its dividend at a 5-year CAGR of 8.01% and a 10-year CAGR of 15.04%.
Is BA.L's dividend safe?
BAE Systems plc has a payout ratio of 50.15%. A payout ratio below 60% is generally considered sustainable.
How is BA.L's Dividend Safety Rating calculated?
The Dividend Safety Rating evaluates BAE Systems plc's dividend sustainability across four categories: Payout & Coverage (30%), Balance Sheet (20%), Profitability (20%), and Dividend Track Record (30%). Each metric is rated from "Very Safe" to "Danger" based on industry-standard thresholds, with sector-specific adjustments for industrials companies. The overall score ranges from 0 to 100.

Want to understand how we rate dividend safety? Read our full methodology

Track BA.L Dividends with OnlyDividends

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This page is not investment advice. The content is for informational purposes only and should not be construed as a recommendation to buy, sell, or hold any security. Always do your own research and consult a qualified financial advisor before making investment decisions.

Financial data, including dividend history, earnings, balance sheet metrics, and the Dividend Safety Rating, is provided for informational purposes only. Data may be delayed or differ from official filings. Past performance does not guarantee future results. Always verify with official sources before making investment decisions.

Market data provided by Twelve Data.