Plains All American Pipeline Lp (NASDAQ:PAA) Announces Quarterly Dividend of $0.42

Key Points

• Plains All American announced a quarterly dividend of $0.4175 per share (payable May 15) with an annualized yield of 7.6% and an ex‑dividend/record date of May 1.
• The dividend appears unsustainably high, with a payout ratio of 110.6%, meaning the company cannot currently cover the dividend from earnings and is relying on its balance sheet despite only modest historical dividend growth.
• Plains missed quarterly expectations—reporting EPS of $0.17 vs. $0.50 expected and revenue down 12.2% YoY—and the stock trades near $21.84 with a MarketBeat consensus "Hold" rating and a $21.85 price target amid mixed analyst views.

Plains All American Pipeline Lp (NASDAQ:PAA - Get Free Report) announced a quarterly dividend on Monday, April 6th. Investors of record on Friday, May 1st will be given a dividend of 0.4175 per share on Friday, May 15th. This represents a c) annualized dividend and a dividend yield of 7.6%. The ex-dividend date of this dividend is Friday, May 1st.

Plains All American Pipeline has raised its dividend payment by an average of 0.1%annually over the last three years and has raised its dividend every year for the last 5 years. Plains All American Pipeline has a dividend payout ratio of 110.6% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments.

Plains All American Pipeline Trading Down 1.4%

NASDAQ PAA opened at $21.84 on Tuesday. The company has a debt-to-equity ratio of 0.97, a current ratio of 0.96 and a quick ratio of 0.92. The firm has a market cap of $15.41 billion, a price-to-earnings ratio of 13.16, a price-to-earnings-growth ratio of 3.47 and a beta of 0.53. The stock's 50 day moving average price is $20.96. Plains All American Pipeline has a 1 year low of $15.57 and a 1 year high of $22.79.

Plains All American Pipeline (NASDAQ:PAA - Get Free Report) last posted its quarterly earnings results on Friday, February 6th. The company reported $0.17 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.50 by ($0.33). Plains All American Pipeline had a return on equity of 10.76% and a net margin of 3.21%.The company's revenue for the quarter was down 12.2% on a year-over-year basis. During the same quarter last year, the business posted $0.42 EPS.

Wall Street Analyst Weigh In

Several analysts recently issued reports on the stock. Barclays increased their price target on shares of Plains All American Pipeline from $17.00 to $18.00 and gave the stock an "underweight" rating in a research report on Monday, February 9th. Bank of America downgraded shares of Plains All American Pipeline from a "neutral" rating to an "underperform" rating and set a $19.00 price objective for the company. in a research note on Wednesday, January 28th. Wells Fargo & Company increased their price objective on shares of Plains All American Pipeline from $21.00 to $22.00 and gave the company an "equal weight" rating in a research note on Friday, March 13th. Zacks Research downgraded shares of Plains All American Pipeline from a "strong-buy" rating to a "hold" rating in a research note on Friday, January 30th. Finally, Mizuho set a $23.00 price objective on shares of Plains All American Pipeline in a research note on Friday, January 23rd. Two analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating, seven have assigned a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus price target of $21.85.

Plains All American Pipeline Company Profile

Plains All American Pipeline NASDAQ: PAA is a publicly traded energy infrastructure company that provides midstream services for crude oil and natural gas liquids (NGLs). The company’s core activities include gathering, transporting, storing and marketing hydrocarbons, using an integrated network of pipelines, storage terminals, rail and truck transloading facilities. Plains also offers logistics and marketing services that connect upstream producers with refiners, traders and export markets.

Plains owns and operates a portfolio of pipeline and terminal assets concentrated in major U.S.

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