Ermenegildo Zegna N.V. (NYSE:ZGN) Announces Annual Dividend of $0.12

Key Points

• Ermenegildo Zegna announced an annual dividend of $0.12 per share payable July 29 to shareholders of record on July 6, implying a reported yield of 99.0%, and management says the dividend is well covered (24.5% payout ratio with analysts forecasting $0.60 EPS next year, a ~20% forward payout).
• The company missed on the most recent quarter with EPS of $0.15 vs. $0.26 expected and revenue of $577.8M vs. $1.17B expected, but the stock traded up about 2.6% to $12.43 amid mixed analyst coverage (average rating "Moderate Buy" and average price target $12.16).

Ermenegildo Zegna N.V. (NYSE:ZGN - Get Free Report) announced an annual dividend on Thursday, April 30th. Stockholders of record on Monday, July 6th will be paid a dividend of 0.12 per share on Wednesday, July 29th. This represents a dividend yield of 99.0%. The ex-dividend date of this dividend is Monday, July 6th.

Ermenegildo Zegna has a dividend payout ratio of 24.5% meaning its dividend is sufficiently covered by earnings. Research analysts expect Ermenegildo Zegna to earn $0.60 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 20.0%.

Ermenegildo Zegna Trading Up 2.6%

Shares of NYSE ZGN traded up $0.31 during trading on Friday, hitting $12.43. The company had a trading volume of 719,570 shares, compared to its average volume of 745,869. The stock has a fifty day simple moving average of $10.91 and a two-hundred day simple moving average of $10.48. Ermenegildo Zegna has a fifty-two week low of $7.61 and a fifty-two week high of $12.58. The company has a quick ratio of 0.91, a current ratio of 1.59 and a debt-to-equity ratio of 0.15.

Ermenegildo Zegna (NYSE:ZGN - Get Free Report) last announced its earnings results on Friday, March 20th. The company reported $0.15 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.26 by ($0.11). The firm had revenue of $577.83 million for the quarter, compared to analyst estimates of $1.17 billion. Analysts predict that Ermenegildo Zegna will post 0.46 EPS for the current fiscal year.

Analyst Ratings Changes

ZGN has been the subject of a number of research reports. TD Cowen reaffirmed a "hold" rating on shares of Ermenegildo Zegna in a report on Friday. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Ermenegildo Zegna in a report on Monday, April 20th. UBS Group reaffirmed a "buy" rating and set a $14.50 target price on shares of Ermenegildo Zegna in a report on Friday. Wall Street Zen lowered shares of Ermenegildo Zegna from a "buy" rating to a "hold" rating in a report on Sunday, April 26th. Finally, Morgan Stanley initiated coverage on shares of Ermenegildo Zegna in a report on Thursday, February 12th. They set an "equal weight" rating and a $11.00 target price for the company. Four equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $12.16.

Ermenegildo Zegna Company Profile

Ermenegildo Zegna is a global luxury fashion house specializing in men's tailored clothing, casualwear, accessories, footwear and fragrances. With a focus on high-quality fabrics and craftsmanship, the company manages the entire value chain from wool sourcing and textile production to garment design, manufacturing and retail distribution.

Founded in 1910 by Ermenegildo Zegna in Trivero, Italy, the company began as a textile mill dedicated to producing fine wool fabrics. Over the decades it expanded into ready-to-wear clothing and built a reputation for sartorial excellence.

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