HSBC Holdings plc (NYSE:HSBC) to Issue $0.50 Quarterly Dividend

HSBC Holdings plc (NYSE:HSBC) announced a quarterly dividend on Tuesday, August 4th. Shareholders of record on Friday, August 14th will be given a dividend of 0.50 per share by the financial services provider on Friday, September 25th. This represents a c) annualized dividend and a yield of 1.9%. The ex-dividend date is Friday, August 14th.

HSBC has increased its dividend by an average of 0.3%per year over the last three years. HSBC has a payout ratio of 28.7% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect HSBC to earn $9.52 per share next year, which means the company should continue to be able to cover its $1.98 annual dividend with an expected future payout ratio of 20.8%.

HSBC Stock Down 3.0%

NYSE:HSBC traded down $3.23 during trading hours on Wednesday, hitting $102.81. 2,139,409 shares of the company’s stock traded hands, compared to its average volume of 1,912,586. The company has a debt-to-equity ratio of 0.52, a quick ratio of 0.92 and a current ratio of 0.92. HSBC has a twelve month low of $62.43 and a twelve month high of $107.92. The stock’s fifty day moving average price is $97.18 and its two-hundred day moving average price is $90.68. The firm has a market cap of $353.32 billion, a P/E ratio of 16.85, a P/E/G ratio of 0.96 and a beta of 0.57.

HSBC (NYSE:HSBC) last posted its earnings results on Tuesday, August 4th. The financial services provider reported $2.25 EPS for the quarter, topping the consensus estimate of $2.24 by $0.01. The firm had revenue of $19.04 billion for the quarter, compared to the consensus estimate of $18.66 billion. HSBC had a net margin of 16.06% and a return on equity of 13.35%. On average, research analysts expect that HSBC will post 8.64 earnings per share for the current fiscal year.

Analysts Set New Price Targets

Several analysts have weighed in on the stock. Erste Group Bank cut shares of HSBC from a “buy” rating to a “hold” rating in a research note on Wednesday, July 15th. Zacks Research lowered HSBC from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, May 5th. Deutsche Bank Aktiengesellschaft reiterated a “hold” rating on shares of HSBC in a research note on Tuesday, June 23rd. Royal Bank Of Canada reissued a “sector perform” rating on shares of HSBC in a report on Thursday, May 14th. Finally, BNP Paribas Exane cut HSBC from an “outperform” rating to a “neutral” rating in a research report on Tuesday, April 14th. Four research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Hold”.

HSBC Company Profile

HSBC Holdings plc (NYSE: HSBC) is a multinational banking and financial services organization headquartered in London. It traces its origins to the Hongkong and Shanghai Banking Corporation, founded in 1865 to facilitate trade between Europe and Asia, and has since grown into one of the world’s largest banking groups. The company is publicly listed in multiple markets, including the London Stock Exchange, the Hong Kong Stock Exchange and as an American depositary receipt on the New York Stock Exchange.

HSBC operates a universal banking model, serving retail, commercial, corporate and institutional clients.