Burford Capital Limited (NYSE:BUR) to Issue $0.06 Dividend

Key Points

• Burford Capital Limited has declared a dividend of $0.06 per share, set to be paid on December 4th to stockholders recorded by October 31st, representing a high dividend yield of 103.0%.
• The company's earnings report showed Burford Capital beat expectations with earnings of $0.39 per share and revenues of $191.29 million, leading to an optimistic forecast for future earnings.
• Equities analysts have generally rated Burford Capital as a "Buy," with an average price target of $18.00, although one analyst downgraded the stock from "buy" to "hold."

Burford Capital Limited (NYSE:BUR - Get Free Report) declared a dividend on Monday, September 29th. Stockholders of record on Friday, October 31st will be paid a dividend of 0.0625 per share on Thursday, December 4th. This represents a dividend yield of 103.0%. The ex-dividend date of this dividend is Friday, October 31st.

Burford Capital has a dividend payout ratio of 13.7% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect Burford Capital to earn $1.71 per share next year, which means the company should continue to be able to cover its $0.25 annual dividend with an expected future payout ratio of 14.6%.

Burford Capital Stock Performance

BUR stock traded up $0.04 during trading on Monday, hitting $12.11. 1,326,630 shares of the company traded hands, compared to its average volume of 1,380,932. The stock's 50-day simple moving average is $13.24 and its 200 day simple moving average is $13.27. The company has a debt-to-equity ratio of 0.55, a current ratio of 10.09 and a quick ratio of 10.09. The company has a market cap of $2.65 billion, a PE ratio of 11.21 and a beta of 0.66. Burford Capital has a 1 year low of $10.70 and a 1 year high of $15.73.

Burford Capital (NYSE:BUR - Get Free Report) last announced its quarterly earnings results on Thursday, August 7th. The company reported $0.39 earnings per share for the quarter, beating the consensus estimate of $0.33 by $0.06. Burford Capital had a return on equity of 7.48% and a net margin of 37.08%.The company had revenue of $191.29 million during the quarter, compared to analysts' expectations of $159.02 million. On average, equities analysts expect that Burford Capital will post 1.28 earnings per share for the current fiscal year.

Analysts Set New Price Targets

A number of analysts have recently issued reports on the company. Wedbush reaffirmed an "outperform" rating and issued a $18.00 price target on shares of Burford Capital in a research note on Thursday, August 14th. Wall Street Zen lowered Burford Capital from a "buy" rating to a "hold" rating in a research note on Sunday, August 10th. One analyst has rated the stock with a Buy rating, According to MarketBeat.com, the company has a consensus rating of "Buy" and an average price target of $18.00.

About Burford Capital

Burford Capital Limited provides legal finance products and services worldwide. The company operates through two segments, Capital Provision, and Asset Management and Other Provision. The Capital Provision segment provides capital to the legal industry or in connection with legal matters directly and through investment in private funds; legal risk management services; lower risk legal finance business focusing on pre-settlement litigation matters with lower risk and lower expected returns; post-settlement finance; and complex strategies in which it acts as a principal and acquires assets that are mispriced.

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