Stag Industrial, Inc. (NYSE:STAG) Declares Quarterly Dividend of $0.39

Key Points

• Stag declared a quarterly dividend of $0.3875 per share (annualized $1.55), payable July 15 to shareholders of record June 30, implying a dividend yield of about 4.0%.
• Dividend sustainability is a concern as the REIT currently has a 152% payout ratio (dividends exceed earnings), though analysts forecast higher future EPS that would reduce the payout to roughly the mid-50% range.
• Significant insider selling recently occurred — executives sold a total of 136,974 shares worth about $5.35 million over the past 90 days, leaving insiders with roughly 1.10% ownership.

Stag Industrial, Inc. (NYSE:STAG - Get Free Report) announced a quarterly dividend on Monday, April 27th. Stockholders of record on Tuesday, June 30th will be given a dividend of 0.3875 per share by the real estate investment trust on Wednesday, July 15th. This represents a c) dividend on an annualized basis and a dividend yield of 4.0%. The ex-dividend date of this dividend is Tuesday, June 30th.

Stag Industrial has increased its dividend by an average of 0.0%annually over the last three years and has raised its dividend annually for the last 7 consecutive years. Stag Industrial has a dividend payout ratio of 152.0% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Equities research analysts expect Stag Industrial to earn $2.74 per share next year, which means the company should continue to be able to cover its $1.55 annual dividend with an expected future payout ratio of 56.6%.

Stag Industrial Stock Down 2.3%

Shares of Stag Industrial stock opened at $38.65 on Wednesday. Stag Industrial has a 1 year low of $31.79 and a 1 year high of $39.99. The company has a debt-to-equity ratio of 0.89, a current ratio of 1.90 and a quick ratio of 1.90. The company has a 50-day moving average of $38.14 and a 200 day moving average of $38.09. The firm has a market cap of $7.39 billion, a price-to-earnings ratio of 26.53 and a beta of 1.04.

Stag Industrial (NYSE:STAG - Get Free Report) last announced its earnings results on Tuesday, April 28th. The real estate investment trust reported $0.32 earnings per share for the quarter, beating analysts' consensus estimates of $0.23 by $0.09. Stag Industrial had a net margin of 32.35% and a return on equity of 7.68%. The business had revenue of $224.21 million during the quarter, compared to the consensus estimate of $221.54 million. During the same quarter last year, the firm earned $0.61 earnings per share. The business's revenue for the quarter was up 9.0% on a year-over-year basis. As a group, sell-side analysts anticipate that Stag Industrial will post 2.63 earnings per share for the current fiscal year.

Insider Transactions at Stag Industrial

In related news, EVP Matts Pinard sold 25,242 shares of the company's stock in a transaction on Monday, February 23rd. The stock was sold at an average price of $39.18, for a total transaction of $988,981.56. Following the completion of the sale, the executive vice president owned 951 shares in the company, valued at approximately $37,260.18. This represents a 96.37% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO William R. Crooker sold 93,732 shares of the stock in a transaction dated Monday, February 23rd. The shares were sold at an average price of $39.17, for a total value of $3,671,482.44. The SEC filing for this sale provides additional information. Insiders have sold a total of 136,974 shares of company stock worth $5,345,904 in the last ninety days. Insiders own 1.10% of the company's stock.

Institutional Investors Weigh In On Stag Industrial

Hedge funds and other institutional investors have recently made changes to their positions in the business. Clearstead Advisors LLC grew its position in Stag Industrial by 193.6% during the fourth quarter. Clearstead Advisors LLC now owns 731 shares of the real estate investment trust's stock valued at $27,000 after buying an additional 482 shares during the period. Measured Wealth Private Client Group LLC bought a new stake in shares of Stag Industrial during the 3rd quarter valued at $27,000. Root Financial Partners LLC purchased a new stake in shares of Stag Industrial in the 3rd quarter worth $43,000. International Assets Investment Management LLC bought a new position in Stag Industrial in the 4th quarter worth $51,000. Finally, EverSource Wealth Advisors LLC grew its holdings in Stag Industrial by 270.1% during the second quarter. EverSource Wealth Advisors LLC now owns 1,436 shares of the real estate investment trust's stock valued at $52,000 after purchasing an additional 1,048 shares during the period. Hedge funds and other institutional investors own 88.67% of the company's stock.

About Stag Industrial

Stag Industrial, Inc is a real estate investment trust (REIT) that specializes in the acquisition, ownership and operation of single-tenant industrial properties throughout the United States. The company's portfolio is focused on free-standing warehouses, distribution centers and light manufacturing facilities designed to meet the logistical needs of a diverse tenant base. By concentrating on properties with straightforward layouts and minimal common-area maintenance, Stag Industrial seeks to deliver stable rental income and attractive risk-adjusted returns for its shareholders.

Since its founding in 2010 and initial public offering in 2011, Stag Industrial has pursued a disciplined investment strategy centered on high-quality, well-located assets.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.