The Timken Company (NYSE:TKR) Announces Dividend Increase – $0.29 Per Share

The Timken Company (NYSE:TKR) announced a quarterly dividend on Friday, November 13th, Fidelity reports. Investors of record on Tuesday, November 24th will be given a dividend of 0.29 per share by the industrial products company on Thursday, December 3rd. This represents a $1.16 annualized dividend and a yield of 1.61%. The ex-dividend date is Monday, November 23rd. This is a positive change from The Timken’s previous quarterly dividend of $0.25.

The Timken has raised its dividend payment by 7.7% over the last three years and has raised its dividend every year for the last 1 years. The Timken has a payout ratio of 28.0% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect The Timken to earn $4.35 per share next year, which means the company should continue to be able to cover its $1.16 annual dividend with an expected future payout ratio of 26.7%.

NYSE TKR opened at $71.94 on Friday. The company has a fifty day simple moving average of $62.19 and a 200 day simple moving average of $51.45. The Timken has a 12-month low of $22.25 and a 12-month high of $73.92. The company has a current ratio of 3.02, a quick ratio of 1.84 and a debt-to-equity ratio of 0.88. The company has a market cap of $5.42 billion, a P/E ratio of 17.13, a PEG ratio of 6.14 and a beta of 1.80.

The Timken (NYSE:TKR) last posted its quarterly earnings results on Thursday, October 29th. The industrial products company reported $1.13 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.90 by $0.23. The business had revenue of $894.60 million during the quarter, compared to the consensus estimate of $817.21 million. The Timken had a net margin of 9.06% and a return on equity of 16.41%. The Timken’s revenue was down 2.1% compared to the same quarter last year. During the same quarter last year, the firm posted $1.14 EPS. Sell-side analysts predict that The Timken will post 3.71 EPS for the current year.

In other The Timken news, CFO Philip D. Fracassa sold 15,514 shares of The Timken stock in a transaction on Monday, November 16th. The stock was sold at an average price of $72.99, for a total transaction of $1,132,366.86. Following the completion of the transaction, the chief financial officer now owns 80,681 shares in the company, valued at $5,888,906.19. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Ronald J. Myers sold 7,760 shares of The Timken stock in a transaction on Wednesday, November 4th. The shares were sold at an average price of $61.83, for a total value of $479,800.80. Following the transaction, the executive vice president now owns 32,758 shares of the company’s stock, valued at approximately $2,025,427.14. The disclosure for this sale can be found here. Insiders sold 71,554 shares of company stock valued at $5,141,436 over the last three months. 11.62% of the stock is currently owned by insiders.

TKR has been the topic of a number of analyst reports. Morgan Stanley lifted their price objective on shares of The Timken from $60.00 to $64.00 and gave the stock an “equal weight” rating in a report on Friday, October 30th. Citigroup Inc. 3% Minimum Coupon Principal Protected Based Upon Russell initiated coverage on shares of The Timken in a report on Monday, November 2nd. They set a “buy” rating and a $75.00 price objective on the stock. Smith Barney Citigroup initiated coverage on shares of The Timken in a report on Monday, November 2nd. They set a “buy” rating and a $75.00 price objective on the stock. KeyCorp lifted their price objective on shares of The Timken from $68.00 to $85.00 and gave the stock an “overweight” rating in a report on Friday, November 13th. Finally, Zacks Investment Research downgraded shares of The Timken from a “strong-buy” rating to a “hold” rating and set a $63.00 price objective on the stock. in a report on Monday, October 19th. Three investment analysts have rated the stock with a hold rating and five have given a buy rating to the company’s stock. The company has an average rating of “Buy” and an average price target of $70.57.

About The Timken

The Timken Company designs, manufactures, and manages engineered bearings and power transmission products and services worldwide. It operates in two segments, Mobile Industries and Process Industries. The Mobile Industries segment offers a portfolio of bearings, seals, and lubrication devices and systems, as well as power transmission components, engineered chains, augers, belts, couplings, clutches, brakes, and related products and maintenance services to original equipment manufacturers (OEMs) and end users of off-highway equipment for the agricultural, construction, mining, outdoor power equipment, and power sports markets; and on-highway vehicles, including passenger cars, light trucks, and medium- and heavy-duty trucks, as well as rail cars and locomotives.

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Dividend History for The Timken (NYSE:TKR)

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