Pembina Pipeline Co. (NYSE:PBA) Raises Dividend to $0.69 Per Share

Pembina Pipeline Co. (NYSE:PBA) (TSE:PPL) declared a quarterly dividend on Tuesday, November 5th, RTT News reports. Investors of record on Monday, December 16th will be paid a dividend of 0.69 per share by the pipeline company on Tuesday, December 31st. This represents a $2.76 annualized dividend and a dividend yield of 6.88%. This is an increase from Pembina Pipeline’s previous quarterly dividend of $0.50.

Pembina Pipeline has increased its dividend payment by an average of 1.8% per year over the last three years. Pembina Pipeline has a payout ratio of 85.8% indicating that its dividend is currently covered by earnings, but may not be in the future if the company’s earnings decline. Analysts expect Pembina Pipeline to earn $2.45 per share next year, which means the company should continue to be able to cover its $2.05 annual dividend with an expected future payout ratio of 83.7%.

Pembina Pipeline Trading Down 5.0 %

Pembina Pipeline stock traded down $2.12 during mid-day trading on Wednesday, reaching $40.13. 259,612 shares of the company traded hands, compared to its average volume of 1,109,489. The company has a debt-to-equity ratio of 0.77, a current ratio of 0.68 and a quick ratio of 0.55. The firm’s 50 day moving average price is $41.58 and its 200 day moving average price is $38.78. The firm has a market capitalization of $23.29 billion, a price-to-earnings ratio of 17.67 and a beta of 1.25. Pembina Pipeline has a 52-week low of $31.51 and a 52-week high of $43.44.

Pembina Pipeline (NYSE:PBA) (TSE:PPL) last released its earnings results on Thursday, August 8th. The pipeline company reported $0.75 earnings per share for the quarter, topping analysts’ consensus estimates of $0.54 by $0.21. The firm had revenue of $1.36 billion for the quarter, compared to the consensus estimate of $1.44 billion. Pembina Pipeline had a net margin of 23.50% and a return on equity of 13.68%. The company’s revenue was up 30.5% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.45 EPS. On average, analysts anticipate that Pembina Pipeline will post 2.38 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on PBA. Raymond James began coverage on shares of Pembina Pipeline in a research note on Friday, October 11th. They issued an “outperform” rating on the stock. Citigroup upped their price target on shares of Pembina Pipeline from $53.00 to $56.00 and gave the stock a “neutral” rating in a research note on Wednesday, August 28th. Finally, UBS Group assumed coverage on shares of Pembina Pipeline in a research note on Wednesday, September 11th. They issued a “neutral” rating on the stock. Four analysts have rated the stock with a hold rating and one has assigned a buy rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus price target of $56.50.

Pembina Pipeline Company Profile

Pembina Pipeline Corporation provides energy transportation and midstream services. It operates through three segments: Pipelines, Facilities, and Marketing & New Ventures. The Pipelines segment operates conventional, oil sands and heavy oil, and transmission assets with a transportation capacity of 2.9 millions of barrels of oil equivalent per day, the ground storage capacity of 10 millions of barrels, and rail terminalling capacity of approximately 105 thousands of barrels of oil equivalent per day serving markets and basins across North America.