Otter Tail Corporation (OTTR) to Distribute Quarterly Dividend of $0.58 on December 10th

Otter Tail Corporation (NASDAQ:OTTR) declared a quarterly dividend on Monday, November 2nd. Stockholders of record on Friday, November 13th will be given a dividend of $0.5775 per share by the utilities provider on Thursday, December 10th. This represents a $2.31 dividend on an annualized basis and a dividend yield of 2.8%. The ex-dividend date is Friday, November 13th.

Otter Tail has increased its dividend by an average of 0.1% per year over the last three years and has increased its dividend annually for the last 12 consecutive years. Otter Tail has a payout ratio of 42.2% indicating that its dividend is sufficiently covered by earnings. Research analysts expect Otter Tail to earn $4.38 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 52.7%.

Otter Tail Stock Performance

Shares of OTTR opened at $83.41 on Wednesday. The company has a debt-to-equity ratio of 0.60, a quick ratio of 1.36 and a current ratio of 1.71. The company has a market capitalization of $3.50 billion, a price-to-earnings ratio of 19.91 and a beta of 0.42. The company’s 50 day simple moving average is $89.25 and its 200 day simple moving average is $88.80. Otter Tail has a 1 year low of $74.15 and a 1 year high of $95.09.

Otter Tail (NASDAQ:OTTR) last released its earnings results on Monday, November 2nd. The utilities provider reported $1.41 EPS for the quarter, missing the consensus estimate of $1.55 by ($0.14). The firm had revenue of $320.51 million during the quarter, compared to analysts’ expectations of $327.87 million. Otter Tail had a return on equity of 13.47% and a net margin of 13.45%. The firm’s revenue was down 1.6% on a year-over-year basis. During the same period in the previous year, the firm posted $1.86 earnings per share. On average, sell-side analysts predict that Otter Tail will post 5.96 EPS for the current year.

Analyst Ratings Changes

Separately, Weiss Ratings cut Otter Tail from a “hold (c+)” rating to a “hold (c)” rating in a report on Tuesday. Four analysts have rated the stock with a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Reduce” and a consensus price target of $86.00.

About Otter Tail

Otter Tail Corporation is a diversified company headquartered in Fergus Falls, Minnesota. Through its electric utility subsidiary, Otter Tail Power Company, it generates, transmits and distributes electricity to residential, commercial, industrial and agricultural customers.

Otter Tail Power Company serves customers across portions of western Minnesota, eastern North Dakota and northeastern South Dakota. Its generation portfolio includes coal, natural gas, wind and other energy resources, supporting the company’s role as a regional provider of electric power and related utility services.

Beyond its utility operations, Otter Tail Corporation owns manufacturing businesses that produce fabricated metal components, plastic products and other specialized goods.