Vitesse Energy, Inc. (NYSE:VTS) Declares $0.44 Quarterly Dividend

Key Points

• Vitesse declared a quarterly dividend of $0.4375 per share (annualized $1.75) payable June 30 to shareholders of record June 15, implying a 9.5% yield.
• The dividend looks unsustainable: the company has a payout ratio of 160.6% and analysts forecast just $0.29 EPS next year, which would imply a projected payout ratio of roughly 603%, suggesting dividends are being funded from the balance sheet rather than earnings.
• Shares fell about 2.2% to $18.36, giving a market cap near $766M and a P/E of 29.1; analyst coverage is mixed with a consensus "Hold" and $21.67 price target, though some firms have downgraded the stock to "strong sell."

Vitesse Energy, Inc. (NYSE:VTS - Get Free Report) announced a quarterly dividend on Thursday, April 30th. Stockholders of record on Monday, June 15th will be given a dividend of 0.4375 per share on Tuesday, June 30th. This represents a c) annualized dividend and a dividend yield of 9.5%. The ex-dividend date of this dividend is Monday, June 15th.

Vitesse Energy has a dividend payout ratio of 160.6% meaning 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 Vitesse Energy to earn $0.29 per share next year, which means the company may not be able to cover its $1.75 annual dividend with an expected future payout ratio of 603.4%.

Vitesse Energy Trading Down 2.2%

Shares of NYSE VTS traded down $0.41 during trading hours on Friday, reaching $18.36. The stock had a trading volume of 59,463 shares, compared to its average volume of 493,218. Vitesse Energy has a 52-week low of $17.22 and a 52-week high of $27.15. The firm has a market cap of $765.62 million, a price-to-earnings ratio of 29.14 and a beta of 0.69. The business's fifty day moving average price is $19.06 and its two-hundred day moving average price is $20.22. The company has a current ratio of 1.02, a quick ratio of 1.02 and a debt-to-equity ratio of 0.20.

Vitesse Energy (NYSE:VTS - Get Free Report) last issued its earnings results on Monday, March 2nd. The company reported ($0.02) earnings per share for the quarter, missing analysts' consensus estimates of $0.10 by ($0.12). Vitesse Energy had a net margin of 9.23% and a return on equity of 4.38%. The firm had revenue of $58.62 million for the quarter, compared to the consensus estimate of $67.10 million. Analysts expect that Vitesse Energy will post 0.14 EPS for the current fiscal year.

Analyst Ratings Changes

VTS has been the subject of several recent research reports. Wall Street Zen downgraded Vitesse Energy from a "hold" rating to a "strong sell" rating in a report on Saturday, March 7th. Weiss Ratings reiterated a "hold (c)" rating on shares of Vitesse Energy in a report on Friday, March 27th. One equities research analyst has rated the stock with a Buy rating and four have issued a Hold rating to the company's stock. According to MarketBeat, the stock has an average rating of "Hold" and a consensus price target of $21.67.

Vitesse Energy Company Profile

Vitesse Energy NYSE: VTS is an independent exploration and production company primarily focused on onshore oil and gas assets in the United States. Headquartered in Calgary, Alberta, the company identifies, acquires and develops low-decline, shallow to intermediate depth vertical wells, targeting predictable production profiles and stable cash flows. Vitesse leverages a lean operational model to optimize well performance and reduce unit operating costs across its asset base.

The company’s core operations are concentrated in the Arkoma Basin of eastern Oklahoma and the Ark-La-Tex region, where it holds acreage positions in multiple formations.

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