Independent Advisor Alliance Invests $340,000 in Otter Tail Corporation $OTTR

Key Points

• Independent Advisor Alliance has invested approximately $340,000 in Otter Tail Corporation by acquiring 4,235 shares during the first quarter.
• Analysts have raised Otter Tail's stock rating from "hold" to "buy," increasing the price target from $82.00 to $83.00.
• Otter Tail is set to pay a quarterly dividend of $0.525 on September 10, with an annualized yield of 2.6%.

Independent Advisor Alliance purchased a new stake in Otter Tail Corporation (NASDAQ:OTTR - Free Report) in the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund purchased 4,235 shares of the utilities provider's stock, valued at approximately $340,000.

A number of other hedge funds and other institutional investors have also bought and sold shares of the stock. Byrne Asset Management LLC raised its stake in Otter Tail by 54.8% in the first quarter. Byrne Asset Management LLC now owns 387 shares of the utilities provider's stock valued at $31,000 after purchasing an additional 137 shares in the last quarter. Quantinno Capital Management LP raised its stake in Otter Tail by 5.6% in the fourth quarter. Quantinno Capital Management LP now owns 2,760 shares of the utilities provider's stock valued at $204,000 after purchasing an additional 146 shares in the last quarter. Xponance Inc. raised its stake in Otter Tail by 5.1% in the first quarter. Xponance Inc. now owns 3,097 shares of the utilities provider's stock valued at $249,000 after purchasing an additional 151 shares in the last quarter. Summit Investment Advisors Inc. raised its stake in Otter Tail by 5.0% in the fourth quarter. Summit Investment Advisors Inc. now owns 4,328 shares of the utilities provider's stock valued at $320,000 after purchasing an additional 207 shares in the last quarter. Finally, Avantax Advisory Services Inc. raised its stake in Otter Tail by 3.4% in the first quarter. Avantax Advisory Services Inc. now owns 6,964 shares of the utilities provider's stock valued at $560,000 after purchasing an additional 228 shares in the last quarter. Institutional investors and hedge funds own 61.32% of the company's stock.

Otter Tail Trading Up 1.9%

Shares of NASDAQ:OTTR traded up $1.61 during midday trading on Tuesday, hitting $84.42. 142,765 shares of the stock were exchanged, compared to its average volume of 236,341. The stock has a market capitalization of $3.54 billion, a price-to-earnings ratio of 12.41 and a beta of 0.56. The company has a debt-to-equity ratio of 0.59, a quick ratio of 2.57 and a current ratio of 3.31. The business's 50-day moving average price is $78.59 and its 200 day moving average price is $78.92. Otter Tail Corporation has a 12 month low of $71.66 and a 12 month high of $92.51.

Otter Tail (NASDAQ:OTTR - Get Free Report) last released its quarterly earnings results on Monday, August 4th. The utilities provider reported $1.85 earnings per share for the quarter, topping the consensus estimate of $1.74 by $0.11. The company had revenue of $333.04 million for the quarter, compared to analysts' expectations of $329.60 million. Otter Tail had a return on equity of 16.85% and a net margin of 21.82%.The business's quarterly revenue was down 2.7% compared to the same quarter last year. During the same period in the previous year, the business posted $2.07 earnings per share. Otter Tail has set its FY 2025 guidance at 6.060-6.46 EPS. Analysts predict that Otter Tail Corporation will post 5.88 earnings per share for the current year.

Otter Tail Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, September 10th. Stockholders of record on Friday, August 15th will be given a dividend of $0.525 per share. This represents a $2.10 dividend on an annualized basis and a dividend yield of 2.5%. The ex-dividend date of this dividend is Friday, August 15th. Otter Tail's dividend payout ratio is presently 30.88%.

Wall Street Analysts Forecast Growth

Separately, Siebert Williams Shank raised Otter Tail from a "hold" rating to a "buy" rating and boosted their price target for the company from $82.00 to $83.00 in a research note on Wednesday, May 7th. One analyst has rated the stock with a Buy rating, According to MarketBeat, the company currently has an average rating of "Buy" and a consensus price target of $83.00.

About Otter Tail

Otter Tail Corporation, together with its subsidiaries, engages in electric utility, manufacturing, and plastic pipe businesses in the United States. It operates through three segments: Electric, Manufacturing, and Plastics. The Electric segment produces, transmits, distributes, and sells electric energy in Minnesota, North Dakota, and South Dakota; and operates as a participant in the Midcontinent Independent System Operator markets.