Pembina Pipeline Co. (NYSE:PBA) Raises Dividend to $0.51 Per Share

Pembina Pipeline Co. (NYSE:PBA) (TSE:PPL) declared a quarterly dividend on Friday, May 9th, Wall Street Journal reports. Shareholders of record on Monday, June 16th will be paid a dividend of 0.5109 per share by the pipeline company on Monday, June 30th. This represents a $2.04 annualized dividend and a yield of 5.46%. The ex-dividend date of this dividend is Monday, June 16th. This is a 6.8% increase from Pembina Pipeline’s previous quarterly dividend of $0.48.

Pembina Pipeline has increased its dividend payment by an average of 2.8% annually over the last three years and has increased its dividend every year for the last 3 years. Pembina Pipeline has a dividend payout ratio of 82.5% meaning its dividend is currently covered by earnings, but may not be in the future if the company’s earnings fall. Equities research analysts expect Pembina Pipeline to earn $2.23 per share next year, which means the company should continue to be able to cover its $1.93 annual dividend with an expected future payout ratio of 86.5%.

Pembina Pipeline Price Performance

Shares of NYSE:PBA opened at $37.41 on Friday. Pembina Pipeline has a one year low of $34.13 and a one year high of $43.44. The stock has a market capitalization of $21.73 billion, a price-to-earnings ratio of 15.46 and a beta of 0.81. The company has a 50-day simple moving average of $38.38 and a 200-day simple moving average of $38.45. The company has a debt-to-equity ratio of 0.79, a quick ratio of 0.51 and a current ratio of 0.65.

Pembina Pipeline (NYSE:PBA) (TSE:PPL) last posted its quarterly earnings data on Thursday, May 8th. The pipeline company reported $0.80 EPS for the quarter, beating the consensus estimate of $0.57 by $0.23. Pembina Pipeline had a return on equity of 13.62% and a net margin of 25.39%. The firm had revenue of $1.14 billion during the quarter, compared to the consensus estimate of $1.47 billion. During the same period in the prior year, the business earned $0.73 EPS. The firm’s revenue was up 48.2% compared to the same quarter last year. On average, analysts predict that Pembina Pipeline will post 2.15 EPS for the current year.

Wall Street Analyst Weigh In

A number of equities analysts recently weighed in on PBA shares. Citigroup upgraded shares of Pembina Pipeline from a “neutral” rating to a “buy” rating in a research report on Monday, March 10th. TD Securities began coverage on shares of Pembina Pipeline in a report on Wednesday, January 15th. They issued a “buy” rating on the stock. Four analysts have rated the stock with a hold rating and four have assigned a buy rating to the stock. According to data from MarketBeat.com, Pembina Pipeline presently has an average rating of “Moderate Buy” and a consensus target price of $56.00.

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.