ARKO Corp. (NASDAQ:ARKO) Plans $0.03 Quarterly Dividend

Key Points

• ARKO Corp. has announced a quarterly dividend of $0.03 per share, with an ex-dividend date of August 18th, leading to an annualized yield of 2.6%.
• The company has a current payout ratio of 300%, indicating it is relying on its balance sheet to fund the dividend, though future earnings are expected to improve.
• ARKO stock saw a significant increase of 13.5%, closing at $4.70, and has a market capitalization of $539 million with a price-to-earnings ratio of 156.67.

ARKO Corp. (NASDAQ:ARKO - Get Free Report) declared a quarterly dividend on Monday, July 7th, Wall Street Journal reports. Stockholders of record on Monday, August 18th will be given a dividend of 0.03 per share on Friday, August 29th. This represents a c) dividend on an annualized basis and a dividend yield of 2.5%. The ex-dividend date is Monday, August 18th.

ARKO has a dividend payout ratio of 300.0% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Research analysts expect ARKO to earn $0.38 per share next year, which means the company should continue to be able to cover its $0.12 annual dividend with an expected future payout ratio of 31.6%.

ARKO Price Performance

Shares of NASDAQ:ARKO traded up $0.17 during trading on Friday, reaching $4.87. The stock had a trading volume of 501,653 shares, compared to its average volume of 349,175. ARKO has a 52 week low of $3.51 and a 52 week high of $7.84. The business's 50-day moving average price is $4.43 and its 200 day moving average price is $4.81. The company has a debt-to-equity ratio of 4.07, a current ratio of 1.55 and a quick ratio of 1.11. The stock has a market capitalization of $549.05 million, a PE ratio of 60.88 and a beta of 0.74.

ARKO (NASDAQ:ARKO - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The company reported $0.16 earnings per share for the quarter, beating analysts' consensus estimates of $0.12 by $0.04. The business had revenue of $2 billion during the quarter, compared to analyst estimates of $2.04 billion. ARKO had a net margin of 0.18% and a return on equity of 5.50%. As a group, equities analysts predict that ARKO will post 0.2 earnings per share for the current year.

Institutional Trading of ARKO

Institutional investors have recently bought and sold shares of the business. Corton Capital Inc. acquired a new stake in ARKO during the 1st quarter worth $45,000. Hsbc Holdings PLC acquired a new stake in ARKO during the 1st quarter worth $45,000. PEAK6 LLC acquired a new stake in ARKO during the 1st quarter worth $50,000. Public Employees Retirement System of Ohio acquired a new stake in ARKO during the 4th quarter worth $53,000. Finally, Tower Research Capital LLC TRC grew its holdings in ARKO by 90.9% during the 4th quarter. Tower Research Capital LLC TRC now owns 9,742 shares of the company's stock worth $64,000 after acquiring an additional 4,639 shares during the period. Institutional investors and hedge funds own 78.29% of the company's stock.

About ARKO

Arko Corp. operates convenience stores in the United States. It operates through Retail, Wholesale, Fleet Fueling, and GPMP segments. The Retail segment engages in the sale of fuel and merchandise to retail consumers. Its Wholesale segment supplies fuel to third-party dealers and consignment agents. The Fleet Fueling segment supplies fuel to proprietary and third-party cardlock, and issuance of proprietary fuel cards.