Plains All American Pipeline, L.P. (NYSE:PAA) to Issue Quarterly Dividend of $0.38

Plains All American Pipeline, L.P. (NYSE:PAA) announced a quarterly dividend on Wednesday, January 8th,Wall Street Journal reports. Shareholders of record on Friday, January 31st will be given a dividend of 0.38 per share by the pipeline company on Friday, February 14th. This represents a $1.52 dividend on an annualized basis and a yield of 8.12%. The ex-dividend date is Friday, January 31st. This is a boost from Plains All American Pipeline’s previous quarterly dividend of $0.32.

Plains All American Pipeline has raised its dividend by an average of 20.8% annually over the last three years. Plains All American Pipeline has a dividend payout ratio of 86.4% meaning its dividend is currently covered by earnings, but may not be in the future if the company’s earnings fall. Research analysts expect Plains All American Pipeline to earn $1.39 per share next year, which means the company should continue to be able to cover its $1.27 annual dividend with an expected future payout ratio of 91.4%.

Plains All American Pipeline Price Performance

Shares of NYSE PAA traded up $1.08 during midday trading on Wednesday, hitting $18.71. The company had a trading volume of 7,520,277 shares, compared to its average volume of 4,725,882. The firm has a market capitalization of $13.17 billion, a price-to-earnings ratio of 16.71 and a beta of 1.64. Plains All American Pipeline has a twelve month low of $15.02 and a twelve month high of $19.17. The business has a 50-day simple moving average of $17.44 and a two-hundred day simple moving average of $17.66. The company has a quick ratio of 0.92, a current ratio of 1.01 and a debt-to-equity ratio of 0.64.

Plains All American Pipeline (NYSE:PAA) last released its quarterly earnings results on Friday, November 8th. The pipeline company reported $0.37 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.31 by $0.06. Plains All American Pipeline had a return on equity of 11.63% and a net margin of 2.08%. The business had revenue of $12.74 billion during the quarter, compared to the consensus estimate of $13.09 billion. During the same quarter in the previous year, the company posted $0.35 EPS. The business’s revenue was up 5.6% on a year-over-year basis. Equities research analysts anticipate that Plains All American Pipeline will post 1.24 earnings per share for the current year.

Analysts Set New Price Targets

A number of analysts recently commented on PAA shares. Royal Bank of Canada reiterated a “sector perform” rating and set a $19.00 price objective on shares of Plains All American Pipeline in a research report on Friday, November 15th. Wells Fargo & Company downgraded shares of Plains All American Pipeline from an “overweight” rating to an “equal weight” rating and lowered their price target for the stock from $22.00 to $20.00 in a report on Wednesday, December 18th. Bank of America started coverage on shares of Plains All American Pipeline in a research note on Thursday, October 17th. They set a “neutral” rating and a $18.00 price objective on the stock. Finally, Morgan Stanley cut shares of Plains All American Pipeline from an “overweight” rating to an “equal weight” rating and lowered their target price for the stock from $22.00 to $19.00 in a research note on Friday, October 25th. One investment analyst has rated the stock with a sell rating, six have issued a hold rating and five have given a buy rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $19.82.

Plains All American Pipeline Company Profile

Plains All American Pipeline, L.P., through its subsidiaries, engages in the pipeline transportation, terminaling, storage, and gathering of crude oil and natural gas liquids (NGL) in the United States and Canada. The company operates through two segments, Crude Oil and NGL. The Crude Oil segment offers gathering and transporting crude oil through pipelines, gathering systems, trucks, and on barges or railcars.