Unitil (NYSE:UTL) Reaches New 1-Year High Following Dividend Announcement

Key Points

• Unitil shares reached a new 52-week high of $57.26 after the company announced a quarterly dividend of $0.475 per share, or $1.90 annualized, representing a 3.4% yield.
• Analysts remain cautious, with all five covering firms rating the stock “Hold”; the average price target is $56.50, near its recent trading level.
• Unitil exceeded quarterly earnings expectations, reporting $1.88 in EPS versus $1.86 forecast and $216.9 million in revenue versus $179.1 million expected. Institutional investors own 76.76% of the company.

Unitil Corporation (NYSE:UTL - Get Free Report) shares reached a new 52-week high on Wednesday following a dividend announcement from the company. The stock traded as high as $57.26 and last traded at $56.1430, with a volume of 96205 shares trading hands. The stock had previously closed at $55.54.The newly announced dividend which will be paid on Monday, August 31st. Stockholders of record on Monday, August 17th will be issued a dividend of $0.475 per share. This represents a $1.90 dividend on an annualized basis and a dividend yield of 3.4%. The ex-dividend date of this dividend is Monday, August 17th. Unitil's dividend payout ratio (DPR) is presently 60.13%.

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on the stock. Wall Street Zen lowered shares of Unitil from a "buy" rating to a "hold" rating in a research report on Monday, April 13th. Zacks Research raised shares of Unitil to a "hold" rating in a research report on Monday, April 13th. Wells Fargo & Company started coverage on shares of Unitil in a research note on Monday, May 11th. They set an "equal weight" rating and a $56.00 price target for the company. Weiss Ratings reaffirmed a "hold (c+)" rating on shares of Unitil in a report on Monday, June 29th. Finally, Freedom Capital lowered Unitil from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, May 5th. Five research analysts have rated the stock with a Hold rating, Based on data from MarketBeat, the stock presently has an average rating of "Hold" and an average target price of $56.50.

Unitil Stock Performance

The company has a market capitalization of $1.01 billion, a P/E ratio of 17.77 and a beta of 0.31. The stock has a fifty day simple moving average of $52.39 and a 200-day simple moving average of $51.98. The company has a quick ratio of 0.53, a current ratio of 0.57 and a debt-to-equity ratio of 0.99.

Unitil (NYSE:UTL - Get Free Report) last issued its earnings results on Monday, May 4th. The utilities provider reported $1.88 EPS for the quarter, beating the consensus estimate of $1.86 by $0.02. The company had revenue of $216.90 million for the quarter, compared to the consensus estimate of $179.13 million. Unitil had a net margin of 9.60% and a return on equity of 9.89%. Equities analysts forecast that Unitil Corporation will post 3.31 EPS for the current year.

Institutional Trading of Unitil

Several hedge funds have recently modified their holdings of the company. International Assets Investment Management LLC bought a new position in shares of Unitil in the fourth quarter valued at approximately $26,000. Larson Financial Group LLC acquired a new position in shares of Unitil in the 4th quarter worth approximately $29,000. Caitong International Asset Management Co. Ltd bought a new stake in Unitil during the 3rd quarter worth approximately $29,000. Bessemer Group Inc. grew its position in Unitil by 196.1% during the 1st quarter. Bessemer Group Inc. now owns 610 shares of the utilities provider's stock worth $32,000 after acquiring an additional 404 shares during the last quarter. Finally, Quarry LP acquired a new stake in Unitil during the 3rd quarter valued at $32,000. Institutional investors and hedge funds own 76.76% of the company's stock.

About Unitil

Unitil Corporation NYSE: UTL is a publicly traded energy delivery company that provides regulated electric and natural gas distribution services. The company delivers energy to residential, commercial and industrial customers through a network of distribution systems, offering safe and reliable service across its service areas. Unitil's operations include system maintenance, emergency response, meter reading and customer support functions, all governed by state regulatory commissions.

Headquartered in Hampton, New Hampshire, Unitil serves communities in New Hampshire, Massachusetts and Maine.

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