Otter Tail Corporation (OTTR) to Issue Quarterly Dividend of $0.58 on June 10th

Otter Tail Corporation (NASDAQ:OTTR) announced a quarterly dividend on Monday, May 4th. Shareholders of record on Friday, May 15th will be given a dividend of 0.5775 per share by the utilities provider on Wednesday, June 10th. This represents a c) annualized dividend and a yield of 2.6%. The ex-dividend date is Friday, May 15th.

Otter Tail has raised its dividend payment by an average of 0.1%per year over the last three years and has increased its dividend every year for the last 12 years. Otter Tail has a dividend payout ratio of 42.2% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect Otter Tail to earn $4.86 per share next year, which means the company should continue to be able to cover its $2.31 annual dividend with an expected future payout ratio of 47.5%.

Otter Tail Trading Down 2.0%

Shares of OTTR opened at $88.74 on Wednesday. Otter Tail has a fifty-two week low of $73.74 and a fifty-two week high of $92.24. The company has a market capitalization of $3.72 billion, a PE ratio of 13.30 and a beta of 0.47. The stock has a fifty day moving average of $87.57 and a two-hundred day moving average of $84.96. The company has a debt-to-equity ratio of 0.52, a quick ratio of 1.83 and a current ratio of 2.28.

Otter Tail (NASDAQ:OTTR) last posted its quarterly earnings data on Monday, May 4th. The utilities provider reported $1.73 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.42 by $0.31. The business had revenue of $347.03 million for the quarter, compared to analysts’ expectations of $339.10 million. Otter Tail had a return on equity of 15.39% and a net margin of 21.34%.The business’s revenue was up 2.9% on a year-over-year basis. During the same quarter last year, the firm earned $1.62 earnings per share. Otter Tail has set its FY 2026 guidance at 5.220-5.620 EPS. As a group, analysts forecast that Otter Tail will post 5.48 EPS for the current year.

Analyst Upgrades and Downgrades

A number of brokerages have issued reports on OTTR. Zacks Research raised Otter Tail from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, April 28th. Weiss Ratings lowered shares of Otter Tail from a “buy (b)” rating to a “hold (c+)” rating in a report on Wednesday, February 25th. One research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Buy” and a consensus target price of $83.00.

Otter Tail Company Profile

Otter Tail Corporation, through its primary subsidiary Otter Tail Power Company, is a regulated electric utility engaged in the generation, transmission and distribution of electricity. The company operates a diversified portfolio of owned and contracted power generation facilities, including coal, natural gas, wind and hydroelectric units, supplemented by long-term power purchase agreements. In addition to utility operations, Otter Tail provides related engineering, construction and maintenance services to support grid reliability and efficiency.

The company’s service territory covers a predominantly rural footprint in the Upper Midwest, including communities in west-central Minnesota, eastern North Dakota, northwest Wisconsin and small portions of South Dakota.