South Bow Corporation (NYSE:SOBO) to Issue Quarterly Dividend of $0.50

South Bow Corporation (NYSE:SOBO) declared a quarterly dividend on Thursday, May 7th. Stockholders of record on Tuesday, June 30th will be given a dividend of 0.50 per share on Wednesday, July 15th. This represents a c) annualized dividend and a dividend yield of 5.7%. The ex-dividend date is Tuesday, June 30th.

South Bow has a payout ratio of 109.9% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Equities analysts expect South Bow to earn $2.12 per share next year, which means the company should continue to be able to cover its $2.00 annual dividend with an expected future payout ratio of 94.3%.

South Bow Trading Down 0.3%

Shares of South Bow stock traded down $0.11 during trading on Friday, hitting $35.00. The stock had a trading volume of 489,897 shares, compared to its average volume of 1,012,174. The stock has a 50 day simple moving average of $33.18 and a 200 day simple moving average of $29.53. The company has a market capitalization of $7.30 billion, a PE ratio of 16.81 and a beta of 0.11. The company has a quick ratio of 1.43, a current ratio of 1.50 and a debt-to-equity ratio of 2.13. South Bow has a 1 year low of $24.51 and a 1 year high of $35.56.

South Bow (NYSE:SOBO) last released its earnings results on Thursday, March 5th. The company reported $0.61 earnings per share for the quarter, topping the consensus estimate of $0.40 by $0.21. The business had revenue of $503.00 million for the quarter, compared to the consensus estimate of $500.57 million. South Bow had a net margin of 21.80% and a return on equity of 15.55%. The firm’s quarterly revenue was up 3.1% compared to the same quarter last year. During the same period last year, the firm posted $0.54 earnings per share. On average, research analysts expect that South Bow will post 1.88 EPS for the current fiscal year.

Analyst Upgrades and Downgrades

A number of brokerages recently commented on SOBO. Barclays boosted their price objective on shares of South Bow from $27.00 to $33.00 and gave the company an “equal weight” rating in a research report on Monday, March 9th. The Goldman Sachs Group began coverage on shares of South Bow in a research report on Monday, April 20th. They set a “sell” rating and a $29.00 price objective on the stock. Wolfe Research downgraded shares of South Bow from a “peer perform” rating to an “underperform” rating and set a $24.00 price objective on the stock. in a research report on Wednesday, January 14th. BMO Capital Markets reaffirmed a “market perform” rating on shares of South Bow in a research report on Monday, April 27th. Finally, Scotiabank reaffirmed a “sector perform” rating on shares of South Bow in a research report on Friday. Three research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and four have given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Reduce” and an average price target of $30.38.

South Bow Company Profile

South Bow Corp is a strategic liquids pipeline company. It is a new liquids-focused midstream infrastructure company. South Bow Corp is based in Canada.