NetEase, Inc. (NASDAQ:NTES) to Issue Quarterly Dividend of $0.68

Key Points

• NetEase, Inc. announced a quarterly dividend of $0.68 per share, with an ex-dividend date on August 28th, and payment scheduled for September 11th, resulting in a yield of 2.1%.
• The company has a dividend payout ratio of 30.8%, indicating strong earnings coverage for the projected $2.70 annual dividend.
• Recent analyst activities include a downgrade by JPMorgan Chase, a price target increase from Barclays, and an upgrade to "strong-buy" by Wall Street Zen, reflecting diverse perspectives on the stock's future performance.

NetEase, Inc. (NASDAQ:NTES - Get Free Report) announced a quarterly dividend on Friday, August 15th, Wall Street Journal reports. Investors of record on Thursday, August 28th will be paid a dividend of 0.675 per share by the technology company on Thursday, September 11th. This represents a c) dividend on an annualized basis and a yield of 2.1%. The ex-dividend date is Thursday, August 28th.

NetEase has a dividend payout ratio of 30.8% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect NetEase to earn $7.32 per share next year, which means the company should continue to be able to cover its $2.70 annual dividend with an expected future payout ratio of 36.9%.

NetEase Price Performance

NASDAQ:NTES traded down $0.45 during midday trading on Friday, reaching $129.22. The stock had a trading volume of 937,965 shares, compared to its average volume of 1,242,616. NetEase has a 1-year low of $75.85 and a 1-year high of $141.45. The stock has a market capitalization of $81.87 billion, a P/E ratio of 18.59, a PEG ratio of 4.68 and a beta of 0.67. The firm's fifty day simple moving average is $131.96 and its 200-day simple moving average is $114.70.

Wall Street Analysts Forecast Growth

Several brokerages have recently commented on NTES. JPMorgan Chase & Co. downgraded shares of NetEase from an "overweight" rating to a "neutral" rating and boosted their target price for the company from $135.00 to $140.00 in a research note on Monday, July 28th. Barclays raised their price target on NetEase from $104.00 to $118.00 and gave the stock an "equal weight" rating in a research report on Friday, May 16th. Deutsche Bank Aktiengesellschaft began coverage on shares of NetEase in a report on Monday, May 12th. They issued a "buy" rating and a $130.00 price objective on the stock. Finally, Wall Street Zen upgraded shares of NetEase from a "buy" rating to a "strong-buy" rating in a research note on Thursday, May 22nd. Two research analysts have rated the stock with a hold rating, six have issued a buy rating and one has given a strong buy rating to the company's stock. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $120.00.

About NetEase

NetEase, Inc engages in online games, music streaming, online intelligent learning services, and internet content services businesses in China and internationally . The company operates through Games and Related Value-Added Services, Youdao, Cloud Music, and Innovative Businesses and Others segments.

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