Compass Diversified (NYSE:CODI) Announces Quarterly Dividend of $0.25

Compass Diversified (NYSE:CODI) announced a quarterly dividend on Thursday, April 4th, Wall Street Journal reports. Stockholders of record on Thursday, April 18th will be given a dividend of 0.25 per share by the financial services provider on Thursday, April 25th. This represents a $1.00 annualized dividend and a dividend yield of 4.36%. The ex-dividend date is Wednesday, April 17th.

Compass Diversified has decreased its dividend payment by an average of 11.5% per year over the last three years. Compass Diversified has a payout ratio of 44.2% indicating that its dividend is sufficiently covered by earnings. Analysts expect Compass Diversified to earn $2.03 per share next year, which means the company should continue to be able to cover its $1.00 annual dividend with an expected future payout ratio of 49.3%.

Compass Diversified Stock Down 2.4 %

CODI stock opened at $22.91 on Tuesday. The company’s 50 day simple moving average is $23.30 and its 200-day simple moving average is $21.39. The firm has a market capitalization of $1.73 billion, a PE ratio of 9.92 and a beta of 1.72. Compass Diversified has a 12 month low of $16.88 and a 12 month high of $25.07. The company has a debt-to-equity ratio of 1.37, a current ratio of 5.13 and a quick ratio of 2.76.

Compass Diversified (NYSE:CODI) last announced its quarterly earnings data on Wednesday, February 28th. The financial services provider reported $0.27 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.36 by ($0.09). The firm had revenue of $566.99 million for the quarter, compared to analysts’ expectations of $581.07 million. Compass Diversified had a net margin of 9.43% and a return on equity of 11.93%. Equities analysts expect that Compass Diversified will post 1.93 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

CODI has been the topic of several recent analyst reports. Bank of America upped their price objective on shares of Compass Diversified from $27.00 to $30.00 and gave the company a “buy” rating in a research note on Thursday, March 7th. Oppenheimer increased their price target on shares of Compass Diversified from $21.00 to $23.00 and gave the stock a “market perform” rating in a research note on Tuesday, March 5th. Finally, William Blair reaffirmed an “outperform” rating on shares of Compass Diversified in a research note on Wednesday, March 6th.

Insider Activity

In other Compass Diversified news, insider James Bottiglieri bought 5,123 shares of the business’s stock in a transaction dated Thursday, January 18th. The shares were acquired at an average price of $21.40 per share, with a total value of $109,632.20. Following the purchase, the insider now owns 88,217 shares in the company, valued at approximately $1,887,843.80. The purchase was disclosed in a document filed with the SEC, which is available through this link. In other news, insider James Bottiglieri purchased 5,123 shares of the stock in a transaction that occurred on Thursday, January 18th. The stock was acquired at an average cost of $21.40 per share, with a total value of $109,632.20. Following the acquisition, the insider now owns 88,217 shares in the company, valued at $1,887,843.80. The acquisition was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, major shareholder Cgi Magyar Holdings Llc sold 7,510 shares of the firm’s stock in a transaction on Friday, March 8th. The shares were sold at an average price of $24.92, for a total transaction of $187,149.20. Following the sale, the insider now directly owns 7,991,471 shares of the company’s stock, valued at $199,147,457.32. The disclosure for this sale can be found here. In the last 90 days, insiders have acquired 75,123 shares of company stock valued at $1,684,632. Company insiders own 2.40% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. Creative Planning lifted its position in shares of Compass Diversified by 3.3% in the 2nd quarter. Creative Planning now owns 16,182 shares of the financial services provider’s stock worth $347,000 after buying an additional 517 shares during the last quarter. Ameritas Investment Partners Inc. lifted its position in Compass Diversified by 14.9% in the 2nd quarter. Ameritas Investment Partners Inc. now owns 5,219 shares of the financial services provider’s stock valued at $113,000 after purchasing an additional 675 shares during the last quarter. Price T Rowe Associates Inc. MD lifted its position in Compass Diversified by 6.2% in the 1st quarter. Price T Rowe Associates Inc. MD now owns 11,676 shares of the financial services provider’s stock valued at $223,000 after purchasing an additional 680 shares during the last quarter. Envestnet Asset Management Inc. lifted its position in Compass Diversified by 4.1% in the 2nd quarter. Envestnet Asset Management Inc. now owns 20,382 shares of the financial services provider’s stock valued at $442,000 after purchasing an additional 794 shares during the last quarter. Finally, Stifel Financial Corp lifted its position in Compass Diversified by 2.4% in the 2nd quarter. Stifel Financial Corp now owns 39,435 shares of the financial services provider’s stock valued at $855,000 after purchasing an additional 913 shares during the last quarter. 72.73% of the stock is owned by institutional investors and hedge funds.

Compass Diversified Company Profile

Compass Diversified is a private equity firm specializing in add on acquisitions, buyouts, industry consolidation, recapitalization, late stage and middle market investments. It seeks to invest in niche industrial or branded consumer companies, manufacturing, distribution, consumer products, business services sector, healthcare, safety & security, electronic components, food and foodservice.