However, Triton has a short but impressive dividend-paying track record, considering it usually doesn't generate positive free cash flow. The company started paying a dividend in 2016 and has raised it every year. Even more exciting is that in all years except 2018, the dividend was considered a return of capital. (In 2018, 28.5% of the dividend was return of capital.) A return of capital is different from a regular dividend. It is not taxed in the year it is received. Instead, it lowers the investor's cost basis. When they eventually sell the stock, they will have a larger capital gain. But while they are receiving the dividend, they'll pay no tax. So we have an interesting situation. Technically, the company cannot afford its dividend. Yet that has been the case for several years now, and Triton has not only paid the dividend but also raised it. You can't consider the dividend safe. But based on Triton's history, you also can't say a cut is a slam dunk. Should Triton return to positive free cash flow, the dividend will be rock-solid. Until then, there is a risk of a reduction. Dividend Safety Rating: C If you have a stock whose dividend you'd like me to analyze, leave the ticker symbol in the comments section. You can also check to see whether I've written about your favorite stock on Wealthy Retirement by typing the company name into the box below. If you're on the Wealthy Retirement homepage, you can click on the magnifying glass on the upper right part of the page and type in the company name. Good investing, Marc | 
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