Peabody Energy Announces $0.30 Annual Dividend with May 15 Ex-Date

Peabody Energy Corp declares an annualized dividend of $0.30 per share with an ex-dividend date of May 15, 2024. The company's quarterly dividend of $0.075 per share yields 1.37%, with a healthy payout ratio of 8.36%.

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Aqsa Younas Rana
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Peabody Energy Announces $0.30 Annual Dividend with May 15 Ex-Date

Peabody Energy Announces $0.30 Annual Dividend with May 15 Ex-Date

Peabody Energy Corp, a leading coal mining company and component of the S&P Metals and Mining Select Industry Index, has declared an annualized dividend of $0.30 per share. The upcoming ex-dividend date for this payout is set for May 15, 2024.

The St. Louis-based company, founded in 1883, is engaged in the mining, preparation, and sale of both thermal and metallurgical coal through its Seaborne Thermal, Seaborne Metallurgical, Powder River Basin, Other U.S. Thermal, and Corporate and Other segments. On May 2nd, Peabody announced a quarterly dividend of $0.075 per share, equating to a 1.37% dividend yield. The payout ratio of 8.36% is considered healthy and sustainable.

Why this matters: This dividend announcement has implications for investors seeking stable income streams in the energy sector. As the global energy landscape continues to evolve, Peabody Energy's dividend payout could influence investor sentiment and market trends.

Looking ahead, Peabody Energy's earnings are projected to grow by 5.41% in the coming year, rising from $2.22 to $2.34 per share. The company's P/E ratio of 6.09 is significantly lower than the market average of 132.78 and the Oils Energy sector average of 13.59. Additionally, Peabody's P/B Ratio of 0.79 suggests the company could be undervalued relative to its assets and liabilities.

In recent months, insider activity at Peabody Energy has favored sales over purchases, with $167.715 million in stock sold and no stock bought by insiders in the past three months. Institutional investors hold a strong 87.44% of the company's shares, while insiders own just 0.09%, reflecting robust market confidence in Peabody.

Wall Street analysts maintain a consensus "Moderate Buy" rating on Peabody Energy, with 3 buy ratings and 1 hold rating. The average one-year price target for the company's stock is $28.25, indicating a potential upside of 29.1% from the current price. Investors will be closely watching Peabody's next quarterly earnings report, scheduled for release on Thursday, July 25th, 2024.

Key Takeaways

  • Peabody Energy declares annualized dividend of $0.30 per share.
  • Ex-dividend date set for May 15, 2024, with a 1.37% dividend yield.
  • Earnings projected to grow 5.41% in the coming year to $2.34 per share.
  • Institutional investors hold 87.44% of shares, with a "Moderate Buy" rating.
  • Average one-year price target is $28.25, indicating a 29.1% potential upside.