Otter Tail Corporation Announces Quarterly Dividend of $0.58 (NASDAQ:OTTR)

Otter Tail Corporation (NASDAQ:OTTR) declared a quarterly dividend on Monday, August 3rd. Shareholders of record on Friday, August 14th will be given a dividend of 0.5775 per share by the utilities provider on Thursday, September 10th. This represents a c) dividend on an annualized basis and a yield of 2.6%. The ex-dividend date of this dividend is Friday, August 14th.

Otter Tail has raised its dividend payment by an average of 0.1%per year over the last three years and has raised its dividend every year for the last 12 years. Otter Tail has a dividend payout ratio of 42.2% indicating that its dividend is sufficiently covered by earnings. Research analysts expect Otter Tail to earn $4.72 per share next year, which means the company should continue to be able to cover its $2.31 annual dividend with an expected future payout ratio of 48.9%.

Otter Tail Price Performance

Shares of NASDAQ:OTTR opened at $90.16 on Tuesday. Otter Tail has a one year low of $74.15 and a one year high of $95.00. The company has a debt-to-equity ratio of 0.56, a current ratio of 2.04 and a quick ratio of 1.64. The company has a market cap of $3.79 billion, a price-to-earnings ratio of 13.52 and a beta of 0.45. The firm has a 50 day simple moving average of $89.34 and a 200 day simple moving average of $88.21.

Otter Tail (NASDAQ:OTTR) last posted its earnings results on Monday, August 3rd. The utilities provider reported $1.66 earnings per share for the quarter, topping analysts’ consensus estimates of $1.51 by $0.15. The firm had revenue of $334.38 million for the quarter, compared to analysts’ expectations of $326.13 million. Otter Tail had a net margin of 21.34% and a return on equity of 15.21%. The company’s revenue was up .4% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.85 earnings per share. Otter Tail has set its FY 2026 guidance at 5.680-6.080 EPS. Research analysts predict that Otter Tail will post 5.54 earnings per share for the current fiscal year.

Institutional Trading of Otter Tail

A number of institutional investors have recently bought and sold shares of the company. LSV Asset Management grew its position in Otter Tail by 217.6% in the 4th quarter. LSV Asset Management now owns 536,941 shares of the utilities provider’s stock valued at $43,390,000 after purchasing an additional 367,869 shares during the period. Universal Beteiligungs und Servicegesellschaft mbH increased its position in shares of Otter Tail by 786.4% during the fourth quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 56,235 shares of the utilities provider’s stock worth $4,550,000 after acquiring an additional 49,891 shares in the last quarter. SG Americas Securities LLC raised its holdings in shares of Otter Tail by 86.8% in the 1st quarter. SG Americas Securities LLC now owns 25,504 shares of the utilities provider’s stock worth $2,238,000 after acquiring an additional 11,850 shares during the last quarter. MUFG Securities EMEA plc bought a new position in Otter Tail in the 4th quarter valued at about $3,556,000. Finally, Thrivent Financial for Lutherans lifted its position in Otter Tail by 26.6% in the 4th quarter. Thrivent Financial for Lutherans now owns 41,187 shares of the utilities provider’s stock valued at $3,328,000 after acquiring an additional 8,663 shares in the last quarter. Institutional investors own 61.32% of the company’s stock.

About Otter Tail

Otter Tail Corporation, through its primary subsidiary Otter Tail Power Company, is a regulated electric utility engaged in the generation, transmission and distribution of electricity. The company operates a diversified portfolio of owned and contracted power generation facilities, including coal, natural gas, wind and hydroelectric units, supplemented by long-term power purchase agreements. In addition to utility operations, Otter Tail provides related engineering, construction and maintenance services to support grid reliability and efficiency.

The company’s service territory covers a predominantly rural footprint in the Upper Midwest, including communities in west-central Minnesota, eastern North Dakota, northwest Wisconsin and small portions of South Dakota.