Snap-On Incorporated (NYSE:SNA) to Issue Quarterly Dividend of $2.75

Snap-On Incorporated (NYSE:SNA) declared a quarterly dividend on Friday, November 6th. Stockholders of record on Friday, November 20th will be paid a dividend of $2.75 per share on Thursday, December 10th. This represents a $11.00 annualized dividend and a dividend yield of 3.0%. The ex-dividend date is Friday, November 20th. This is a 12.7% increase from Snap-On’s previous quarterly dividend of $2.44.

Snap-On 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 15 consecutive years. Snap-On has a payout ratio of 48.8% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Snap-On to earn $20.63 per share next year, which means the company should continue to be able to cover its $9.76 annual dividend with an expected future payout ratio of 47.3%.

Snap-On Trading Up 0.2%

NYSE:SNA opened at $367.31 on Friday. The firm has a market capitalization of $18.95 billion, a price-to-earnings ratio of 19.10, a PEG ratio of 2.60 and a beta of 0.75. The company has a current ratio of 3.55, a quick ratio of 2.71 and a debt-to-equity ratio of 0.14. Snap-On has a 1-year low of $320.80 and a 1-year high of $423.02. The business’s 50-day moving average price is $368.76 and its two-hundred day moving average price is $380.25.

Snap-On (NYSE:SNA) last issued its earnings results on Thursday, October 22nd. The company reported $4.64 EPS for the quarter, missing analysts’ consensus estimates of $4.93 by ($0.29). The firm had revenue of $1.18 billion during the quarter, compared to the consensus estimate of $1.24 billion. Snap-On had a net margin of 20.82% and a return on equity of 16.77%. The business’s quarterly revenue was down .6% on a year-over-year basis. During the same period in the previous year, the firm earned $4.71 earnings per share. On average, equities analysts expect that Snap-On will post 19.24 earnings per share for the current year.

Wall Street Analyst Weigh In

SNA has been the topic of a number of research reports. Roth Capital restated a “buy” rating and set a $461.00 price target (up from $409.00) on shares of Snap-On in a research note on Friday, July 24th. Barclays dropped their price objective on Snap-On from $435.00 to $405.00 and set an “overweight” rating on the stock in a research note on Monday, October 26th. Weiss Ratings downgraded shares of Snap-On from a “buy (b)” rating to a “buy (b-)” rating in a report on Friday, October 30th. Tigress Financial raised their target price on shares of Snap-On from $445.00 to $485.00 and gave the company a “buy” rating in a research report on Friday, July 31st. Finally, Robert W. Baird set a $385.00 price objective on shares of Snap-On in a report on Friday, October 23rd. Four investment analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $434.00.

About Snap-On

Snap-on Incorporated is a manufacturer and distributor of professional tools, equipment, diagnostics, and related services. Its offerings include hand and power tools, tool storage, vehicle repair equipment, diagnostic systems, and repair information and management software. The company serves professional users who work in automotive repair, heavy-duty transportation, aviation, agriculture, construction, industrial production, government, and other technical fields.

Snap-on markets products under the Snap-on brand and other brands, including Blue-Point, Bahco, and Williams.