Icahn Enterprises L.P. (NASDAQ:IEP) Shares Set to Pay Quarterly Dividend of $0.50

Key Points

• Icahn Enterprises declared a quarterly dividend of $0.50 per share, payable December 23 to shareholders of record November 16; the annualized dividend is $2.00, representing a stated yield of 37.4%.
• The dividend may be difficult to sustain: the company’s payout ratio is 253.2%, meaning earnings alone do not cover payments, and it has relied on its balance sheet. Its dividend has also declined by an average of 0.2% annually over the past three years.
• Icahn Enterprises reported a quarterly loss of $0.52 per share, missing analyst expectations of $0.11 in earnings, and its consensus analyst rating is “Sell.”

Icahn Enterprises L.P. (NASDAQ:IEP - Get Free Report) declared a quarterly dividend on Monday, November 2nd. Shareholders of record on Monday, November 16th will be given a dividend of $0.50 per share by the conglomerate on Wednesday, December 23rd. This represents a $2.00 annualized dividend and a dividend yield of 37.4%. The ex-dividend date is Monday, November 16th.

Icahn Enterprises has decreased its dividend by an average of 0.2% per year over the last three years. Icahn Enterprises has a dividend payout ratio of 253.2% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments.

Icahn Enterprises Stock Up 3.7%

Shares of Icahn Enterprises stock traded up $0.19 on Tuesday, reaching $5.35. 3,618,627 shares of the company were exchanged, compared to its average volume of 1,011,992. The company has a market capitalization of $3.80 billion, a price-to-earnings ratio of -7.23 and a beta of 0.75. The company has a current ratio of 2.87, a quick ratio of 2.87 and a debt-to-equity ratio of 2.98. Icahn Enterprises has a one year low of $4.97 and a one year high of $9.32. The company has a 50-day moving average of $6.58 and a 200 day moving average of $7.40.

Icahn Enterprises (NASDAQ:IEP - Get Free Report) last released its earnings results on Wednesday, August 5th. The conglomerate reported ($0.52) earnings per share for the quarter, missing the consensus estimate of $0.11 by ($0.63). Icahn Enterprises had a negative net margin of 4.81% and a negative return on equity of 17.99%. The firm had revenue of $2.98 billion during the quarter, compared to the consensus estimate of $2.04 billion.

Analyst Ratings Changes

Separately, Weiss Ratings downgraded shares of Icahn Enterprises from a "sell (d-)" rating to a "sell (e+)" rating in a research report on Friday, October 16th. One analyst has rated the stock with a Sell rating. According to MarketBeat, the stock presently has a consensus rating of "Sell".

Icahn Enterprises Company Profile

Icahn Enterprises L.P. NASDAQ: IEP is a diversified holding company managed by Icahn Capital LP. Its activities include making investments in public and private companies, pursuing activist investment strategies, and owning and operating businesses across several industries. The company is controlled by investor Carl C. Icahn, who serves as its chairman.

Its operating businesses have included petroleum refining and the production of nitrogen fertilizers through CVR Energy and CVR Partners, automotive parts distribution and repair services through Icahn Automotive, food packaging through Viskase Companies, and metal recycling through PSC Metals.

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