Plains GP Holdings LP (PAGP) Declares $0.30 Quarterly Dividend

Plains GP Holdings LP (NYSE:PAGP) announced a quarterly dividend on Monday, October 8th, Wall Street Journal reports. Stockholders of record on Wednesday, October 31st will be paid a dividend of 0.30 per share by the pipeline company on Wednesday, November 14th. This represents a $1.20 dividend on an annualized basis and a dividend yield of 4.84%. The ex-dividend date is Tuesday, October 30th.

Plains GP has increased its dividend payment by an average of 3.0% per year over the last three years and has increased its dividend annually for the last 3 consecutive years. Plains GP has a dividend payout ratio of 109.1% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Equities research analysts expect Plains GP to earn $1.93 per share next year, which means the company should continue to be able to cover its $1.20 annual dividend with an expected future payout ratio of 62.2%.

PAGP stock opened at $24.77 on Tuesday. The company has a current ratio of 0.75, a quick ratio of 0.63 and a debt-to-equity ratio of 0.73. The company has a market capitalization of $3.87 billion, a P/E ratio of 38.11 and a beta of 1.26. Plains GP has a 1-year low of $18.98 and a 1-year high of $27.00.

Plains GP (NYSE:PAGP) last posted its quarterly earnings data on Tuesday, August 7th. The pipeline company reported $0.05 earnings per share for the quarter, missing the Thomson Reuters’ consensus estimate of $0.22 by ($0.17). The company had revenue of $8.08 billion during the quarter, compared to the consensus estimate of $7.71 billion. Plains GP had a positive return on equity of 0.57% and a negative net margin of 2.51%. As a group, sell-side analysts predict that Plains GP will post 1.1 earnings per share for the current year.

PAGP has been the topic of several research analyst reports. Zacks Investment Research upgraded shares of Plains GP from a “hold” rating to a “buy” rating and set a $27.00 price objective on the stock in a research report on Wednesday, September 19th. SunTrust Banks set a $29.00 price objective on shares of Plains GP and gave the stock a “buy” rating in a research report on Wednesday, August 8th. Bank of America upgraded shares of Plains GP from a “neutral” rating to a “buy” rating and upped their price objective for the stock from $26.00 to $30.00 in a research report on Tuesday, September 11th. BMO Capital Markets restated a “buy” rating and issued a $27.00 price objective on shares of Plains GP in a research report on Friday, July 13th. Finally, US Capital Advisors upgraded shares of Plains GP from a “hold” rating to an “overweight” rating and set a $30.00 price objective on the stock in a research report on Friday, August 24th. One research analyst has rated the stock with a sell rating, seven have given a hold rating and twelve have assigned a buy rating to the company’s stock. The company has a consensus rating of “Buy” and an average price target of $28.13.

In other Plains GP news, Director John T. Raymond purchased 25,000 shares of Plains GP stock in a transaction on Tuesday, September 25th. The shares were acquired at an average cost of $23.40 per share, for a total transaction of $585,000.00. Following the completion of the transaction, the director now directly owns 245,531 shares of the company’s stock, valued at $5,745,425.40. The purchase was disclosed in a filing with the SEC, which is available at this link. 16.80% of the stock is owned by company insiders.

Plains GP Company Profile

Plains GP Holdings, L.P. owns and operates midstream energy infrastructure in the United States and Canada. It operates through three segments: Transportation, Facilities, and Supply and Logistics. The Transportation segment engages in the transportation of crude oil and natural gas liquids (NGLs) on pipelines, gathering systems, trucks, and barges.

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Dividend History for Plains GP (NYSE:PAGP)

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