Confluence Investment Management LLC Has $136.22 Million Stock Position in Diageo plc $DEO

Key Points

• Confluence Investment Management LLC increased its stake in Diageo plc by 14.0% in the second quarter, now holding over 1.35 million shares worth approximately $136 million.
• The Goldman Sachs Group upgraded Diageo's stock rating from "sell" to "neutral," with three analysts recommending a buy and a consensus price target of $129.00.
• Diageo recently announced an increase in its semi-annual dividend, raising it from $1.62 to $2.5192 per share, reflecting a significant dividend yield increase of 370.0%.

Confluence Investment Management LLC raised its holdings in shares of Diageo plc (NYSE:DEO - Free Report) by 14.0% during the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 1,350,826 shares of the company's stock after purchasing an additional 165,839 shares during the period. Diageo accounts for approximately 1.9% of Confluence Investment Management LLC's holdings, making the stock its 14th biggest holding. Confluence Investment Management LLC owned about 0.24% of Diageo worth $136,217,000 at the end of the most recent quarter.

Several other institutional investors also recently modified their holdings of DEO. Royal Bank of Canada boosted its stake in Diageo by 0.3% in the fourth quarter. Royal Bank of Canada now owns 1,540,800 shares of the company's stock valued at $195,883,000 after acquiring an additional 3,876 shares during the last quarter. Envestnet Asset Management Inc. boosted its position in shares of Diageo by 3.1% in the 1st quarter. Envestnet Asset Management Inc. now owns 1,441,300 shares of the company's stock worth $151,034,000 after purchasing an additional 42,740 shares during the last quarter. Raymond James Financial Inc. grew its stake in shares of Diageo by 9.8% during the first quarter. Raymond James Financial Inc. now owns 1,069,567 shares of the company's stock worth $112,080,000 after purchasing an additional 95,037 shares during the period. LPL Financial LLC increased its holdings in Diageo by 2.2% in the first quarter. LPL Financial LLC now owns 434,735 shares of the company's stock valued at $45,556,000 after purchasing an additional 9,306 shares during the last quarter. Finally, BNP Paribas Financial Markets lifted its stake in Diageo by 1,544.5% in the first quarter. BNP Paribas Financial Markets now owns 396,676 shares of the company's stock valued at $41,568,000 after buying an additional 372,555 shares during the period. Institutional investors and hedge funds own 8.97% of the company's stock.

Wall Street Analysts Forecast Growth

Separately, The Goldman Sachs Group upgraded shares of Diageo from a "sell" rating to a "neutral" rating in a report on Thursday, August 7th. Three equities research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Hold" and an average price target of $129.00.

Diageo Trading Down 0.4%

NYSE DEO traded down $0.44 on Tuesday, reaching $100.02. The company had a trading volume of 2,090,414 shares, compared to its average volume of 964,236. The company's fifty day moving average is $107.02 and its 200-day moving average is $107.73. Diageo plc has a 1-year low of $96.45 and a 1-year high of $142.73. The company has a debt-to-equity ratio of 1.64, a current ratio of 1.63 and a quick ratio of 0.64.

Diageo Increases Dividend

The company also recently announced a semi-annual dividend, which will be paid on Thursday, December 4th. Shareholders of record on Friday, October 17th will be paid a $2.5192 dividend. This represents a yield of 370.0%. The ex-dividend date is Friday, October 17th. This is a positive change from Diageo's previous semi-annual dividend of $1.62. Diageo's dividend payout ratio (DPR) is presently 46.42%.

Diageo Profile

Diageo plc, together with its subsidiaries, engages in the production, marketing, and sale of alcoholic beverages. The company offers scotch, gin, vodka, rum, raki, liqueur, wine, tequila, Chinese white spirits, cachaça, and brandy, as well as beer, including cider and flavored malt beverages. It also provides Chinese, Canadian, Irish, American, and Indian-Made Foreign Liquor whiskies, as well as flavored malt beverages, ready to drink, and non-alcoholic products.