Southwest Gas Corporation (NYSE:SWX) Announces Quarterly Dividend of $0.65

Key Points

• Southwest Gas declared a quarterly dividend of $0.645 per share, payable December 1 to shareholders of record on November 16. The annualized dividend is $2.58 per share, representing a 3.0% yield.
• The dividend appears well covered, with a current payout ratio of 62.8%; analysts expect next year’s earnings of $5.00 per share, implying a projected payout ratio of 51.6%.
• Southwest Gas’s latest quarterly revenue fell 9.6% year over year to $358.15 million, though EPS of $0.45 matched estimates. The stock opened at $85.17, down 0.9%.

Southwest Gas Corporation (NYSE:SWX - Get Free Report) declared a quarterly dividend on Wednesday, October 14th. Investors of record on Monday, November 16th will be given a dividend of $0.6450 per share by the utilities provider on Tuesday, December 1st. This represents a $2.58 dividend on an annualized basis and a yield of 3.0%. The ex-dividend date is Monday, November 16th.

Southwest Gas has a dividend payout ratio of 62.8% meaning its dividend is sufficiently covered by earnings. Research analysts expect Southwest Gas to earn $5.00 per share next year, which means the company should continue to be able to cover its $2.58 annual dividend with an expected future payout ratio of 51.6%.

Southwest Gas Trading Down 0.9%

NYSE:SWX opened at $85.17 on Thursday. The company has a quick ratio of 0.99, a current ratio of 1.12 and a debt-to-equity ratio of 0.83. The business's 50 day moving average is $87.14 and its two-hundred day moving average is $88.86. Southwest Gas has a 52 week low of $76.99 and a 52 week high of $94.46. The company has a market cap of $6.17 billion, a PE ratio of 11.12, a P/E/G ratio of 1.80 and a beta of 0.57.

Southwest Gas (NYSE:SWX - Get Free Report) last posted its quarterly earnings results on Wednesday, August 5th. The utilities provider reported $0.45 earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of $0.45. Southwest Gas had a net margin of 31.85% and a return on equity of 6.79%. The company had revenue of $358.15 million for the quarter, compared to the consensus estimate of $416.20 million. During the same period last year, the firm posted ($0.18) EPS. The company's revenue for the quarter was down 9.6% on a year-over-year basis. Southwest Gas has set its FY 2026 guidance at 4.170-4.320 EPS. On average, analysts predict that Southwest Gas will post 4.27 EPS for the current year.

Insiders Place Their Bets

In related news, SVP Julie Williams sold 2,500 shares of the stock in a transaction dated Monday, September 28th. The shares were sold at an average price of $81.81, for a total value of $204,525.00. Following the completion of the transaction, the senior vice president owned 26,450 shares in the company, valued at $2,163,874.50. This represents a 8.64% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. 0.63% of the stock is owned by insiders.

Institutional Trading of Southwest Gas

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. GAMMA Investing LLC increased its holdings in shares of Southwest Gas by 8.5% in the second quarter. GAMMA Investing LLC now owns 1,960 shares of the utilities provider's stock valued at $174,000 after buying an additional 153 shares in the last quarter. First Citizens Bank & Trust Co. lifted its position in shares of Southwest Gas by 1.7% during the 1st quarter. First Citizens Bank & Trust Co. now owns 11,116 shares of the utilities provider's stock valued at $966,000 after acquiring an additional 182 shares during the last quarter. State of Michigan Retirement System lifted its position in shares of Southwest Gas by 1.3% during the 1st quarter. State of Michigan Retirement System now owns 15,429 shares of the utilities provider's stock valued at $1,341,000 after acquiring an additional 200 shares during the last quarter. Bessemer Group Inc. boosted its stake in shares of Southwest Gas by 0.5% during the 1st quarter. Bessemer Group Inc. now owns 41,205 shares of the utilities provider's stock worth $3,581,000 after acquiring an additional 202 shares in the last quarter. Finally, Corient Private Wealth LP boosted its stake in shares of Southwest Gas by 1.1% during the 2nd quarter. Corient Private Wealth LP now owns 26,514 shares of the utilities provider's stock worth $2,351,000 after acquiring an additional 282 shares in the last quarter. 92.77% of the stock is currently owned by institutional investors.

About Southwest Gas

Southwest Gas Holdings, Inc NYSE: SWX is an energy company whose principal business is the regulated distribution of natural gas through its Southwest Gas Corporation subsidiary. The utility delivers natural gas to residential, commercial, industrial and other customers, providing an essential energy service for heating, cooking and business operations.

Southwest Gas serves customers across portions of Arizona, Nevada and California through an extensive network of pipelines and related infrastructure.

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