Gerdau S.A. (NYSE:GGB) Declares Quarterly Dividend of $0.05

Gerdau S.A. (NYSE:GGB) declared a quarterly dividend on Friday, October 31st. Stockholders of record on Wednesday, November 12th will be paid a dividend of 0.0521 per share by the basic materials company on Thursday, December 18th. This represents a c) dividend on an annualized basis and a dividend yield of 5.8%. The ex-dividend date of this dividend is Wednesday, November 12th. This is a 141.1% increase from Gerdau’s previous quarterly dividend of $0.02.

Gerdau has increased its dividend payment by an average of 0.0%annually over the last three years. Gerdau has a dividend payout ratio of 50.0% indicating that its dividend is sufficiently covered by earnings. Equities research analysts expect Gerdau to earn $0.47 per share next year, which means the company should continue to be able to cover its $0.19 annual dividend with an expected future payout ratio of 40.4%.

Gerdau Stock Performance

Gerdau stock opened at $3.57 on Monday. The business has a 50 day moving average of $3.25 and a 200-day moving average of $3.02. The company has a market capitalization of $7.12 billion, a P/E ratio of 12.29, a P/E/G ratio of 3.09 and a beta of 1.46. Gerdau has a 1 year low of $2.27 and a 1 year high of $3.63. The company has a debt-to-equity ratio of 0.30, a current ratio of 2.89 and a quick ratio of 1.50.

Gerdau (NYSE:GGB) last posted its quarterly earnings data on Thursday, October 30th. The basic materials company reported $0.10 earnings per share for the quarter, missing analysts’ consensus estimates of $0.11 by ($0.01). The company had revenue of $3.35 billion during the quarter, compared to analyst estimates of $17.81 billion. Gerdau had a net margin of 4.81% and a return on equity of 6.51%. On average, equities research analysts predict that Gerdau will post 0.46 earnings per share for the current year.

Hedge Funds Weigh In On Gerdau

Large investors have recently modified their holdings of the company. Encompass Capital Advisors LLC bought a new position in shares of Gerdau in the first quarter valued at approximately $30,134,000. Bank of America Corp DE raised its position in Gerdau by 162.6% in the 2nd quarter. Bank of America Corp DE now owns 12,984,389 shares of the basic materials company’s stock valued at $37,914,000 after buying an additional 8,039,814 shares during the last quarter. Carrhae Capital LLP bought a new position in Gerdau during the 1st quarter valued at $18,655,000. Donald Smith & CO. Inc. bought a new position in Gerdau during the 2nd quarter valued at $17,440,000. Finally, Kawa Capital Management Inc purchased a new position in Gerdau during the 1st quarter worth $6,011,000. 1.49% of the stock is currently owned by institutional investors.

Gerdau Company Profile

Gerdau SA, together with its subsidiaries, operates as a steel producer company. The company operates through Brazil Business, North America Business, South America Business, and Special Steel Business segments. It also provides semi-finished products, including billets, blooms, and slabs; common long rolled products, such as rebars, wire rods, merchant bars, light shapes, and profiles to the construction and manufacturing industries; drawn products comprising barbed and barbless fence wires, galvanized wires, fences, concrete reinforcing wire mesh, nails, and clamps for manufacturing, construction, and agricultural industries; and special steel products used in auto parts, light and heavy vehicles, and agricultural machinery, as well as in the oil and gas, wind energy, machinery and equipment, mining and rail, and other markets.