Global Partners LP (NYSE:GLP) Raises Dividend to $0.77 Per Share

Key Points

• Global Partners raised its quarterly dividend to $0.765 per share (record date May 11, payable May 15), a 0.7% increase that implies a roughly 6.4% annual yield.
• The company currently has a dividend payout ratio of 100.3%, indicating it cannot fully cover the dividend with current earnings, though analysts forecast higher EPS next year that would lower the payout to about 93.8%.
• Recent results showed a quarterly EPS miss ($0.54 vs. $0.60) and weak revenue, while the stock traded up about 1% to $47.95; the firm carries elevated leverage (debt-to-equity ~2.74) and a market cap near $1.63 billion.

Global Partners LP (NYSE:GLP - Get Free Report) announced a quarterly dividend on Thursday, April 30th. Investors of record on Monday, May 11th will be paid a dividend of 0.765 per share by the energy company on Friday, May 15th. This represents a c) dividend on an annualized basis and a yield of 6.4%. The ex-dividend date is Monday, May 11th. This is a 0.7% increase from Global Partners's previous quarterly dividend of $0.76.

Global Partners has increased its dividend by an average of 0.1%annually over the last three years and has raised its dividend every year for the last 5 years. Global Partners has a dividend payout ratio of 100.3% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Equities analysts expect Global Partners to earn $3.24 per share next year, which means the company should continue to be able to cover its $3.04 annual dividend with an expected future payout ratio of 93.8%.

Global Partners Trading Up 1.0%

Shares of Global Partners stock traded up $0.46 during mid-day trading on Thursday, hitting $47.95. 44,547 shares of the stock were exchanged, compared to its average volume of 44,613. Global Partners has a twelve month low of $39.58 and a twelve month high of $56.51. The stock has a market capitalization of $1.63 billion, a price-to-earnings ratio of 22.73 and a beta of 1.04. The company has a 50-day simple moving average of $46.60 and a 200 day simple moving average of $45.15. The company has a current ratio of 1.14, a quick ratio of 0.63 and a debt-to-equity ratio of 2.74.

Global Partners (NYSE:GLP - Get Free Report) last released its quarterly earnings results on Friday, February 27th. The energy company reported $0.54 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.60 by ($0.06). Global Partners had a return on equity of 15.99% and a net margin of 0.53%.The firm had revenue of $4.65 billion for the quarter, compared to analyst estimates of $6.94 billion. Research analysts forecast that Global Partners will post 3.19 EPS for the current year.

Global Partners Company Profile

Global Partners LP is a publicly traded master limited partnership engaged in the wholesale distribution and retail marketing of petroleum products. The company sources refined petroleum products from major refineries and suppliers and transports them through an integrated network of pipelines, terminals and storage facilities. Global Partners focuses on delivering fuel and related services to commercial, industrial and residential customers, positioning itself as a key midstream and downstream energy operator in its core markets.

Through its extensive terminal network in the northeastern United States and eastern Canada, Global Partners supplies gasoline, diesel, home heating oil, kerosene, propane and biofuels to a broad customer base.

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