Allete (NYSE:ALE) Hits New 52-Week Low - Here's What Happened

Key Points

• Allete, Inc. reached a new 52-week low, trading down to $63.05 before closing at $63.36, with a trading volume of 440,057 shares.
• The company reported a loss of $0.24 per share against analysts' expectations, with quarterly revenues of $360.30 million falling short of estimates by $65 million.
• Allete also declared a quarterly dividend of $0.73, representing an annualized yield of 4.6% despite a high payout ratio of 92.11%.

Allete, Inc. (NYSE:ALE - Get Free Report)'s share price reached a new 52-week low on Tuesday . The stock traded as low as $63.05 and last traded at $63.36, with a volume of 440057 shares. The stock had previously closed at $63.65.

Allete Stock Down 0.5%

The firm has a market cap of $3.68 billion, a P/E ratio of 20.02 and a beta of 0.84. The company has a debt-to-equity ratio of 0.57, a quick ratio of 0.81 and a current ratio of 1.34. The firm's fifty day moving average is $65.09 and its 200 day moving average is $65.09.

Allete (NYSE:ALE - Get Free Report) last announced its earnings results on Thursday, August 7th. The utilities provider reported $0.61 EPS for the quarter, missing the consensus estimate of $0.85 by ($0.24). The company had revenue of $360.30 million for the quarter, compared to the consensus estimate of $425.30 million. Allete had a return on equity of 5.71% and a net margin of 11.98%.The business's quarterly revenue was up 1.6% on a year-over-year basis. During the same period in the previous year, the firm posted $0.82 EPS.

Allete Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Monday, September 1st. Shareholders of record on Friday, August 15th were issued a $0.73 dividend. The ex-dividend date of this dividend was Friday, August 15th. This represents a $2.92 dividend on an annualized basis and a yield of 4.6%. Allete's payout ratio is currently 92.11%.

Institutional Trading of Allete

A number of institutional investors and hedge funds have recently made changes to their positions in ALE. Lazard Asset Management LLC increased its position in Allete by 13.6% during the 4th quarter. Lazard Asset Management LLC now owns 1,371 shares of the utilities provider's stock worth $88,000 after purchasing an additional 164 shares in the last quarter. Hexagon Capital Partners LLC increased its position in Allete by 44.5% during the 1st quarter. Hexagon Capital Partners LLC now owns 591 shares of the utilities provider's stock worth $39,000 after purchasing an additional 182 shares in the last quarter. State of Alaska Department of Revenue increased its position in Allete by 2.8% during the 1st quarter. State of Alaska Department of Revenue now owns 6,781 shares of the utilities provider's stock worth $445,000 after purchasing an additional 185 shares in the last quarter. American Century Companies Inc. increased its position in Allete by 1.2% in the 2nd quarter. American Century Companies Inc. now owns 16,642 shares of the utilities provider's stock valued at $1,066,000 after acquiring an additional 194 shares during the period. Finally, State of Michigan Retirement System increased its position in Allete by 1.5% in the 1st quarter. State of Michigan Retirement System now owns 13,846 shares of the utilities provider's stock valued at $910,000 after acquiring an additional 200 shares during the period. Institutional investors own 76.55% of the company's stock.

About Allete

ALLETE, Inc operates as an energy company. The company operates through Regulated Operations, ALLETE Clean Energy, and Corporate and Other segments. It generates electricity from coal-fired, biomass co-fired / natural gas, hydroelectric, wind, and solar. In addition, the company provides regulated utility electric services in northwestern Wisconsin to approximately 15,000 electric customers, 13,000 natural gas customers, and 10,000 water customers, as well as regulated utility electric services in northeastern Minnesota to approximately 150,000 retail customers and 14 non-affiliated municipal customers.