Medtronic plc (NYSE:MDT) Announces Dividend Increase – $0.70 Per Share

Medtronic plc (NYSE:MDT) declared a quarterly dividend on Wednesday, May 22nd, RTT News reports. Shareholders of record on Friday, June 28th will be given a dividend of 0.70 per share by the medical technology company on Friday, July 12th. This represents a $2.80 annualized dividend and a dividend yield of 3.44%. The ex-dividend date is Friday, June 28th. This is an increase from Medtronic’s previous quarterly dividend of $0.69.

Medtronic has raised its dividend by an average of 6.5% annually over the last three years and has increased its dividend every year for the last 47 years. Medtronic has a dividend payout ratio of 47.3% meaning its dividend is sufficiently covered by earnings. Equities analysts expect Medtronic to earn $5.46 per share next year, which means the company should continue to be able to cover its $2.76 annual dividend with an expected future payout ratio of 50.5%.

Medtronic Price Performance

NYSE:MDT opened at $81.38 on Friday. The stock has a market capitalization of $108.06 billion, a PE ratio of 25.92, a P/E/G ratio of 2.79 and a beta of 0.78. Medtronic has a 1-year low of $68.84 and a 1-year high of $91.00. The firm has a fifty day simple moving average of $82.84 and a 200 day simple moving average of $82.62. The company has a current ratio of 2.30, a quick ratio of 1.71 and a debt-to-equity ratio of 0.46.

Medtronic (NYSE:MDT) last announced its quarterly earnings data on Thursday, May 23rd. The medical technology company reported $1.46 EPS for the quarter, beating analysts’ consensus estimates of $1.45 by $0.01. Medtronic had a net margin of 13.00% and a return on equity of 13.71%. The company had revenue of $8.59 billion during the quarter, compared to the consensus estimate of $8.44 billion. During the same quarter last year, the firm posted $1.57 EPS. The company’s quarterly revenue was up .5% on a year-over-year basis. On average, research analysts expect that Medtronic will post 5.2 EPS for the current fiscal year.

Insider Activity

In related news, EVP Michael Marinaro sold 854 shares of the company’s stock in a transaction that occurred on Monday, April 8th. The stock was sold at an average price of $83.14, for a total value of $71,001.56. Following the sale, the executive vice president now directly owns 27,925 shares in the company, valued at $2,321,684.50. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders own 0.30% of the company’s stock.

Analyst Upgrades and Downgrades

MDT has been the topic of several research analyst reports. Mizuho increased their price objective on shares of Medtronic from $95.00 to $98.00 and gave the company a “buy” rating in a research report on Wednesday, February 21st. Truist Financial lifted their price objective on shares of Medtronic from $87.00 to $90.00 and gave the stock a “hold” rating in a research note on Wednesday, February 21st. Needham & Company LLC reiterated a “hold” rating on shares of Medtronic in a research note on Friday. Royal Bank of Canada restated a “sector perform” rating and set a $92.00 price objective on shares of Medtronic in a research note on Wednesday, February 21st. Finally, Oppenheimer boosted their price target on Medtronic from $89.00 to $92.00 and gave the company a “market perform” rating in a research note on Wednesday, February 21st. One equities research analyst has rated the stock with a sell rating, five have issued a hold rating and six have issued a buy rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $94.91.

About Medtronic

Medtronic plc develops, manufactures, and sells device-based medical therapies to healthcare systems, physicians, clinicians, and patients worldwide. Its Cardiovascular Portfolio segment offers implantable cardiac pacemakers, cardioverter defibrillators, and cardiac resynchronization therapy devices; cardiac ablation products; insertable cardiac monitor systems; TYRX products; and remote monitoring and patient-centered software.