Olin Corporation Plans Quarterly Dividend of $0.20 (NYSE:OLN)

Key Points

• Olin Corporation has declared a quarterly dividend of $0.20 per share, payable to investors of record on August 28th, with an ex-dividend date also on August 28th.
• The company has a dividend payout ratio of 41.5%, and earnings are expected to sufficiently cover the $0.80 annual dividend based on anticipated future profitability.
• Olin's recent earnings report showed a loss of $0.04 per share compared to estimates, but revenue rose by 7% year-over-year, indicating some growth despite the earnings shortfall.

Olin Corporation (NYSE:OLN - Get Free Report) declared a quarterly dividend on Friday, August 15th, Wall Street Journal reports. Stockholders of record on Thursday, August 28th will be given a dividend of 0.20 per share by the specialty chemicals company on Friday, September 12th. This represents a c) annualized dividend and a dividend yield of 3.8%. The ex-dividend date is Thursday, August 28th.

Olin has a payout ratio of 41.5% indicating that its dividend is sufficiently covered by earnings. Analysts expect Olin to earn $3.02 per share next year, which means the company should continue to be able to cover its $0.80 annual dividend with an expected future payout ratio of 26.5%.

Olin Price Performance

Shares of NYSE:OLN traded down $0.0040 during trading on Wednesday, reaching $21.2860. The stock had a trading volume of 1,406,242 shares, compared to its average volume of 3,057,617. The company has a debt-to-equity ratio of 1.50, a quick ratio of 0.88 and a current ratio of 1.48. Olin has a 1-year low of $17.66 and a 1-year high of $49.60. The stock has a market cap of $2.44 billion, a PE ratio of -177.38 and a beta of 1.55. The business has a fifty day moving average price of $20.55 and a 200-day moving average price of $22.19.

Olin (NYSE:OLN - Get Free Report) last posted its quarterly earnings data on Monday, July 28th. The specialty chemicals company reported $0.05 EPS for the quarter, missing the consensus estimate of $0.09 by ($0.04). The firm had revenue of $1.76 billion during the quarter, compared to analyst estimates of $1.68 billion. Olin had a negative net margin of 0.21% and a negative return on equity of 0.13%. The firm's revenue for the quarter was up 7.0% compared to the same quarter last year. During the same period in the prior year, the company posted $0.62 earnings per share. On average, equities analysts forecast that Olin will post 1.38 earnings per share for the current fiscal year.

Analyst Ratings Changes

OLN has been the subject of a number of recent research reports. The Goldman Sachs Group reduced their target price on shares of Olin from $33.00 to $25.00 and set a "neutral" rating for the company in a research report on Tuesday, May 6th. UBS Group cut their price objective on shares of Olin from $23.00 to $22.00 and set a "neutral" rating for the company in a report on Tuesday, July 29th. Morgan Stanley decreased their target price on shares of Olin from $28.00 to $20.00 and set an "underweight" rating on the stock in a research note on Monday, May 12th. Mizuho dropped their price target on Olin from $24.00 to $23.00 and set a "neutral" rating for the company in a research report on Tuesday, July 29th. Finally, JPMorgan Chase & Co. reduced their price objective on Olin from $28.00 to $20.00 and set a "neutral" rating on the stock in a research report on Tuesday, May 6th. Three research analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, Olin currently has an average rating of "Hold" and an average target price of $25.57.

Olin Company Profile

Olin Corporation manufactures and distributes chemical products in the United States, Europe, Asia Pacific, Latin America, and Canada. It operates through three segments: Chlor Alkali Products and Vinyls; Epoxy; and Winchester. The Chlor Alkali Products and Vinyls segment offers chlorine and caustic soda, ethylene dichloride and vinyl chloride monomers, methyl chloride, methylene chloride, chloroform, carbon tetrachloride, perchloroethylene, hydrochloric acid, hydrogen, bleach products, potassium hydroxide, and chlorinated organics intermediates and solvents.