The Medibank Private (ASX:MPL) share price has gained just 4.5 per cent over the past 12 months, slightly ahead of the 3.1 per cent gain in the ASX 200 index over the same period.
Medibank shares currently trade at $2.89, below its 52-week high of $3.39.
In February, Medibank reported profits increased 6 per cent to $246 million, with Chief Executive Officer Craig Drummond saying the company is now positioning for growth which will allow it to leverage its scale to build the core business and transform into a broader health services company.
The Medibank interim fully franked dividend was 5.5 cents, an increase of 4.8 per cent over the previous year.
Last month analysts at Goldman Sachs retained their sell rating on Medibank shares and a $2.70 share price target. The broker said it remains negative on the private health insurance industry due largely to affordability headwinds and political uncertainty.
The Medibank dividend has been growing steadily since the company floated on the ASX.
On a trailing basis, Medibank Private shares trade on a fully franked dividend yield of 4.2 per cent, or 6.1 per cent when grossed up for franking credits.
The Medibank dividend yield is relatively attractive, especially given interest rates are likely to remain at these current low levels well into 2019.
By comparison, the NIB Holdings (ASX:NHF) share price trades on a fully franked dividend yield of 3.6 per cent. NIB shares are currently trading at $5.44, up a modest 3.4 per cent in the last 12 months.