Hess Midstream LP (NYSE:HESM) Announces Dividend Increase - $0.71 Per Share

Hess Midstream LP (NYSE:HESM - Get Free Report) declared a quarterly dividend on Tuesday, April 29th, Wall Street Journal reports. Stockholders of record on Thursday, May 8th will be paid a dividend of 0.7098 per share on Wednesday, May 14th. This represents a $2.84 dividend on an annualized basis and a dividend yield of 7.40%. The ex-dividend date is Thursday, May 8th. This is a 1.2% increase from Hess Midstream's previous quarterly dividend of $0.70.

Hess Midstream has increased its dividend by an average of 11.3% annually over the last three years. Hess Midstream has a payout ratio of 83.6% indicating that its dividend is currently covered by earnings, but may not be in the future if the company's earnings tumble. Equities analysts expect Hess Midstream to earn $2.93 per share next year, which means the company should continue to be able to cover its $2.80 annual dividend with an expected future payout ratio of 95.6%.

Hess Midstream Stock Performance

HESM traded down $0.51 during trading hours on Tuesday, hitting $38.39. The stock had a trading volume of 713,710 shares, compared to its average volume of 1,218,343. The stock has a market cap of $8.37 billion, a PE ratio of 15.42 and a beta of 1.14. Hess Midstream has a 1 year low of $32.75 and a 1 year high of $44.05. The company has a quick ratio of 0.70, a current ratio of 0.70 and a debt-to-equity ratio of 7.85. The company's fifty day simple moving average is $39.87 and its 200 day simple moving average is $38.36.

Hess Midstream (NYSE:HESM - Get Free Report) last posted its quarterly earnings results on Wednesday, January 29th. The company reported $0.68 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.65 by $0.03. Hess Midstream had a net margin of 14.92% and a return on equity of 54.59%. Equities analysts anticipate that Hess Midstream will post 2.5 earnings per share for the current year.

Analyst Upgrades and Downgrades

A number of research firms have weighed in on HESM. Citigroup lifted their target price on Hess Midstream from $41.00 to $44.00 and gave the company a "buy" rating in a report on Tuesday, February 18th. Raymond James increased their target price on shares of Hess Midstream from $42.00 to $45.00 and gave the stock an "outperform" rating in a research note on Tuesday, January 28th. Wells Fargo & Company upped their price target on shares of Hess Midstream from $40.00 to $42.00 and gave the stock an "equal weight" rating in a report on Tuesday, February 4th. Finally, JPMorgan Chase & Co. boosted their target price on Hess Midstream from $39.00 to $44.00 and gave the stock a "neutral" rating in a research report on Thursday, March 27th. Two investment analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. Based on data from MarketBeat.com, Hess Midstream presently has an average rating of "Moderate Buy" and a consensus target price of $43.00.

Insider Activity at Hess Midstream

In other news, major shareholder Blackrock Portfolio Management sold 11,000,000 shares of Hess Midstream stock in a transaction dated Wednesday, February 12th. The stock was sold at an average price of $39.11, for a total value of $430,210,000.00. The transaction was disclosed in a filing with the SEC, which is available at this link.

Hess Midstream Company Profile

Hess Midstream LP owns, develops, operates, and acquires midstream assets and provide fee-based services to Hess and third-party customers in the United States. It operates through three segments: Gathering; Processing and Storage; and Terminaling and Export. The Gathering segment owns natural gas gathering and compression systems; crude oil gathering systems; and produced water gathering and disposal facilities.

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