LandBridge (NYSE:LB) Stock Price Up 13% After Dividend Announcement

LandBridge Company LLC (NYSE:LB)’s stock price shot up 13% during trading on Thursday following a dividend announcement from the company. The stock traded as high as $73.81 and last traded at $73.9560. 128,595 shares changed hands during trading, a decline of 76% from the average session volume of 529,035 shares. The stock had previously closed at $65.47.

The newly announced dividend which will be paid on Thursday, March 19th. Investors of record on Thursday, March 5th will be given a $0.12 dividend. The ex-dividend date is Thursday, March 5th. This represents a $0.48 dividend on an annualized basis and a yield of 0.6%. This is a boost from LandBridge’s previous quarterly dividend of $0.10. LandBridge’s payout ratio is currently 57.14%.

Wall Street Analysts Forecast Growth

A number of brokerages recently weighed in on LB. Weiss Ratings restated a “hold (c)” rating on shares of LandBridge in a report on Friday, January 9th. Piper Sandler upped their price target on shares of LandBridge from $55.00 to $65.00 and gave the company a “neutral” rating in a research report on Monday, November 24th. UBS Group reiterated a “neutral” rating and set a $65.00 price target on shares of LandBridge in a report on Monday, November 24th. Zacks Research downgraded LandBridge from a “strong-buy” rating to a “strong sell” rating in a research note on Friday, January 23rd. Finally, Raymond James Financial lowered LandBridge from a “moderate buy” rating to a “strong sell” rating in a research report on Friday, December 5th. Three research analysts have rated the stock with a Buy rating, five have issued a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Hold” and a consensus price target of $73.33.

LandBridge Stock Performance

The company has a current ratio of 4.15, a quick ratio of 4.15 and a debt-to-equity ratio of 0.52. The firm has a market capitalization of $5.81 billion, a PE ratio of 106.28 and a beta of 0.43. The firm’s fifty day moving average price is $56.54 and its 200 day moving average price is $56.59.

LandBridge declared that its Board of Directors has authorized a stock repurchase program on Wednesday, February 25th that permits the company to repurchase $50.00 million in outstanding shares. This repurchase authorization permits the company to repurchase up to 1% of its shares through open market purchases. Shares repurchase programs are often an indication that the company’s board of directors believes its stock is undervalued.

Insider Transactions at LandBridge

In other news, insider Jason Thomas Long acquired 2,143 shares of the company’s stock in a transaction that occurred on Monday, January 5th. The shares were purchased at an average price of $46.59 per share, for a total transaction of $99,842.37. Following the completion of the acquisition, the insider owned 223,546 shares of the company’s stock, valued at approximately $10,415,008.14. This represents a 0.97% increase in their position. The purchase was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider Harrison Fenner Bolling bought 850 shares of LandBridge stock in a transaction on Monday, January 5th. The stock was acquired at an average price of $46.84 per share, with a total value of $39,814.00. Following the completion of the purchase, the insider directly owned 66,874 shares of the company’s stock, valued at approximately $3,132,378.16. The trade was a 1.29% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders have bought a total of 3,542 shares of company stock valued at $164,630 over the last ninety days. Company insiders own 70.42% of the company’s stock.

Hedge Funds Weigh In On LandBridge

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Galaxy Group Investments LLC bought a new position in shares of LandBridge in the fourth quarter valued at approximately $36,000. Vident Advisory LLC acquired a new position in LandBridge in the 4th quarter valued at $220,000. XTX Topco Ltd acquired a new position in LandBridge in the 4th quarter valued at $896,000. Yaupon Capital Management LP raised its holdings in LandBridge by 15.4% in the 4th quarter. Yaupon Capital Management LP now owns 51,258 shares of the company’s stock worth $2,511,000 after acquiring an additional 6,834 shares during the period. Finally, one8zero8 LLC lifted its position in LandBridge by 10.4% during the 4th quarter. one8zero8 LLC now owns 72,903 shares of the company’s stock worth $3,572,000 after acquiring an additional 6,861 shares during the last quarter.

About LandBridge

LandBridge Company LLC owns and manages land and resources to support and enhance oil and natural gas development in the United States. It owns surface acres in and around the Delaware Basin in Texas and New Mexico. The company holds a portfolio of oil and gas royalties. It also sells brackish water and other surface composite materials. The company was founded in 2021 and is based in Houston, Texas. LandBridge Company LLC operates as a subsidiary of LandBridge Holdings LLC.