Sinclair (NASDAQ:SBGI) Stock Price Up 7.9% - Here's What Happened

Key Points

• Sinclair's stock price increased by 7.9% on Monday, closing at $12.87, despite a decrease in trading volume.
• Analysts have mixed ratings for Sinclair, with price targets being reduced by firms like Benchmark and Wells Fargo, while others such as Guggenheim maintain a "buy" rating.
• The company declared a quarterly dividend of $0.25, resulting in an annual yield of 8.0%, alongside a high payout ratio of 120.48%.

Sinclair, Inc. (NASDAQ:SBGI - Get Free Report) shares rose 7.9% during trading on Monday . The stock traded as high as $12.92 and last traded at $12.87. Approximately 289,668 shares were traded during mid-day trading, a decline of 27% from the average daily volume of 396,381 shares. The stock had previously closed at $11.93.

Wall Street Analysts Forecast Growth

SBGI has been the subject of several recent research reports. Benchmark dropped their price target on Sinclair from $29.00 to $27.00 and set a "buy" rating for the company in a research report on Thursday. Wall Street Zen lowered Sinclair from a "hold" rating to a "sell" rating in a research report on Monday, May 12th. Wells Fargo & Company cut their price objective on Sinclair from $17.00 to $16.00 and set an "equal weight" rating on the stock in a research report on Thursday. Guggenheim reaffirmed a "buy" rating on shares of Sinclair in a research report on Thursday, May 15th. Finally, JPMorgan Chase & Co. lowered their price target on Sinclair from $14.00 to $13.00 and set an "underweight" rating for the company in a report on Wednesday, May 21st. Two equities research analysts have rated the stock with a sell rating, two have assigned a hold rating and two have given a buy rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Hold" and an average target price of $17.90.

Sinclair Stock Performance

The stock has a market cap of $873.82 million, a price-to-earnings ratio of 15.13 and a beta of 1.28. The company has a current ratio of 2.08, a quick ratio of 2.08 and a debt-to-equity ratio of 11.32. The firm's 50-day moving average is $14.05 and its two-hundred day moving average is $14.52.

Sinclair (NASDAQ:SBGI - Get Free Report) last released its quarterly earnings data on Wednesday, August 6th. The company reported ($0.91) EPS for the quarter, missing analysts' consensus estimates of ($0.72) by ($0.19). Sinclair had a net margin of 1.44% and a return on equity of 11.61%. The business had revenue of $784.00 million during the quarter, compared to analyst estimates of $798.16 million. During the same quarter in the prior year, the company posted $0.27 earnings per share. The company's revenue was down 5.4% on a year-over-year basis. As a group, sell-side analysts expect that Sinclair, Inc. will post 4.24 earnings per share for the current year.

Sinclair Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Monday, September 15th. Shareholders of record on Friday, August 29th will be given a $0.25 dividend. This represents a $1.00 annualized dividend and a yield of 8.0%. The ex-dividend date of this dividend is Friday, August 29th. Sinclair's dividend payout ratio (DPR) is currently 120.48%.

Institutional Investors Weigh In On Sinclair

Several institutional investors have recently modified their holdings of the company. Carronade Capital Management LP increased its stake in Sinclair by 418.1% in the fourth quarter. Carronade Capital Management LP now owns 440,419 shares of the company's stock valued at $7,108,000 after purchasing an additional 355,419 shares during the period. Charles Schwab Investment Management Inc. raised its position in shares of Sinclair by 65.0% in the first quarter. Charles Schwab Investment Management Inc. now owns 717,007 shares of the company's stock valued at $11,422,000 after buying an additional 282,400 shares during the last quarter. Geode Capital Management LLC raised its position in shares of Sinclair by 15.3% in the second quarter. Geode Capital Management LLC now owns 971,689 shares of the company's stock valued at $13,431,000 after buying an additional 129,277 shares during the last quarter. Kennondale Capital Management LLC acquired a new position in Sinclair during the first quarter worth approximately $1,718,000. Finally, Algert Global LLC acquired a new position in Sinclair during the first quarter worth approximately $1,608,000. 41.71% of the stock is owned by hedge funds and other institutional investors.

Sinclair Company Profile

Sinclair, Inc, a media company, provides content on local television stations and digital platforms in the United States. It operates through two segments, Local Media and Tennis. The Local Media segment operates broadcast television stations, original networks, and content; provides free-over-the-air programming and live local sporting events on its stations; distributes its content to multi-channel video programming distributors in exchange for contractual fees; and produces local and original news programs.

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