Enterprise Products Partners L.P. (NYSE:EPD) Plans Dividend Increase – $0.55 Per Share

Enterprise Products Partners L.P. (NYSE:EPD) announced a quarterly dividend on Thursday, January 8th. Shareholders of record on Friday, January 30th will be given a dividend of 0.55 per share by the oil and gas producer on Friday, February 13th. This represents a c) annualized dividend and a dividend yield of 6.9%. The ex-dividend date is Friday, January 30th. This is a 0.9% increase from Enterprise Products Partners’s previous quarterly dividend of $0.55.

Enterprise Products Partners has increased its dividend payment by an average of 0.0%annually over the last three years and has raised its dividend every year for the last 28 years. Enterprise Products Partners has a payout ratio of 72.4% indicating that its dividend is sufficiently covered by earnings. Research analysts expect Enterprise Products Partners to earn $3.05 per share next year, which means the company should continue to be able to cover its $2.18 annual dividend with an expected future payout ratio of 71.5%.

Enterprise Products Partners Stock Up 0.6%

Shares of Enterprise Products Partners stock opened at $31.88 on Friday. The firm’s 50 day moving average price is $31.93 and its 200-day moving average price is $31.59. The company has a quick ratio of 0.60, a current ratio of 0.88 and a debt-to-equity ratio of 1.04. Enterprise Products Partners has a 52-week low of $27.77 and a 52-week high of $34.53. The company has a market cap of $68.96 billion, a P/E ratio of 12.03, a PEG ratio of 2.23 and a beta of 0.59.

Enterprise Products Partners (NYSE:EPD) last announced its earnings results on Wednesday, October 29th. The oil and gas producer reported $0.61 earnings per share for the quarter, missing the consensus estimate of $0.68 by ($0.07). Enterprise Products Partners had a net margin of 10.92% and a return on equity of 19.40%. The firm had revenue of $12.02 billion during the quarter, compared to analyst estimates of $11.83 billion. During the same quarter last year, the business earned $0.65 earnings per share. Enterprise Products Partners’s revenue was down 12.7% on a year-over-year basis. On average, sell-side analysts predict that Enterprise Products Partners will post 2.9 EPS for the current fiscal year.

Enterprise Products Partners announced that its Board of Directors has authorized a share buyback program on Thursday, October 30th that allows the company to buyback $5.00 billion in outstanding shares. This buyback authorization allows the oil and gas producer to reacquire up to 7.4% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s board believes its shares are undervalued.

About Enterprise Products Partners

Enterprise Products Partners L.P. (NYSE: EPD) is a Houston-based master limited partnership that provides midstream energy services across North America. The company owns and operates an extensive network of pipelines, storage facilities, processing plants and export terminals that transport and handle natural gas, natural gas liquids (NGLs), crude oil and refined and petrochemical products. Its core activities include gathering and transportation, fractionation of NGLs, natural gas processing, crude oil and condensate pipelines, and marine and terminal services that enable domestic distribution and exports.

Enterprise serves a diverse set of customers including producers, refiners, petrochemical companies, marketers and end users.