Icahn Enterprises L.P. (NASDAQ:IEP) Plans Quarterly Dividend of $0.50

Key Points

• Icahn Enterprises L.P. declared a quarterly dividend of $0.50 per share, which corresponds to an annualized yield of 22.0%, indicating a high return for investors.
• The company has a dividend payout ratio of 253.2%, suggesting it cannot fully cover its dividend payments with current earnings and is relying on its balance sheet.
• In its latest earnings report, Icahn Enterprises reported an EPS of ($0.30), missing analyst estimates, and showed a negative return on equity of 17.64%.

Icahn Enterprises L.P. (NASDAQ:IEP - Get Free Report) declared a quarterly dividend on Friday, August 1st, Wall Street Journal reports. Investors of record on Monday, August 18th will be paid a dividend of 0.50 per share by the conglomerate on Wednesday, September 24th. This represents a c) annualized dividend and a yield of 21.8%. The ex-dividend date of this dividend is Monday, August 18th.

Icahn Enterprises has a dividend payout ratio of 253.2% meaning 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 Icahn Enterprises to earn $0.80 per share next year, which means the company may not be able to cover its $2.00 annual dividend with an expected future payout ratio of 250.0%.

Icahn Enterprises Stock Down 0.8%

Shares of IEP traded down $0.08 during mid-day trading on Thursday, hitting $9.17. 529,054 shares of the company traded hands, compared to its average volume of 754,500. The company has a market capitalization of $5.26 billion, a PE ratio of -7.46 and a beta of 0.78. The company has a quick ratio of 3.04, a current ratio of 3.40 and a debt-to-equity ratio of 1.96. The business has a 50 day moving average of $8.74 and a 200 day moving average of $9.06. Icahn Enterprises has a 1-year low of $7.27 and a 1-year high of $17.12.

Icahn Enterprises (NASDAQ:IEP - Get Free Report) last announced its quarterly earnings results on Monday, August 4th. The conglomerate reported ($0.30) earnings per share for the quarter, missing the consensus estimate of $0.14 by ($0.44). Icahn Enterprises had a negative return on equity of 15.65% and a negative net margin of 6.78%. The company had revenue of $2.14 billion for the quarter, compared to analyst estimates of $2.39 billion. Equities research analysts anticipate that Icahn Enterprises will post -0.55 EPS for the current year.

About Icahn Enterprises

Icahn Enterprises L.P., through its subsidiaries, engages in the investment, energy, automotive, food packaging, real estate, home fashion, and pharma businesses in the United States and Internationally. The Investment segment invests its proprietary capital through various private investment funds. This segment provides investment advisory and other related services.