Kinetik Holdings Inc. (NASDAQ:KNTK) Plans $0.75 Quarterly Dividend

Kinetik Holdings Inc. (NASDAQ:KNTK) declared a quarterly dividend on Thursday, April 18th, Wall Street Journal reports. Stockholders of record on Monday, April 29th will be given a dividend of 0.75 per share on Thursday, May 9th. This represents a $3.00 annualized dividend and a dividend yield of 7.66%. The ex-dividend date is Friday, April 26th.

Kinetik has a payout ratio of 129.3% 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 Kinetik to earn $2.26 per share next year, which means the company may not be able to cover its $3.00 annual dividend with an expected future payout ratio of 132.7%.

Kinetik Price Performance

NASDAQ:KNTK opened at $39.15 on Thursday. Kinetik has a fifty-two week low of $26.32 and a fifty-two week high of $40.42. The stock has a market capitalization of $6.02 billion, a PE ratio of 17.06, a price-to-earnings-growth ratio of 2.35 and a beta of 2.80. The business’s 50-day simple moving average is $36.89 and its 200-day simple moving average is $35.25.

Kinetik (NASDAQ:KNTK) last released its quarterly earnings data on Wednesday, February 28th. The company reported $1.70 earnings per share for the quarter, beating the consensus estimate of $0.46 by $1.24. Kinetik had a negative return on equity of 49.32% and a net margin of 28.57%. The business had revenue of $348.87 million for the quarter, compared to analysts’ expectations of $301.49 million. During the same quarter in the previous year, the business posted $0.25 EPS. Kinetik’s revenue for the quarter was up 18.1% on a year-over-year basis. On average, research analysts expect that Kinetik will post 2 earnings per share for the current year.

Insider Buying and Selling

In related news, insider Matthew Wall sold 5,750 shares of the business’s stock in a transaction that occurred on Thursday, March 28th. The stock was sold at an average price of $39.82, for a total transaction of $228,965.00. Following the transaction, the insider now directly owns 530,066 shares of the company’s stock, valued at approximately $21,107,228.12. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. In related news, insider Matthew Wall sold 5,750 shares of the business’s stock in a transaction that occurred on Thursday, March 28th. The stock was sold at an average price of $39.82, for a total transaction of $228,965.00. Following the transaction, the insider now directly owns 530,066 shares of the company’s stock, valued at approximately $21,107,228.12. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, major shareholder Corp Apache sold 13,079,871 shares of the business’s stock in a transaction that occurred on Monday, March 18th. The stock was sold at an average price of $33.75, for a total value of $441,445,646.25. The disclosure for this sale can be found here. In the last three months, insiders have sold 13,095,803 shares of company stock valued at $442,051,135. 3.71% of the stock is owned by insiders.

Analyst Ratings Changes

Several equities research analysts have commented on the company. Barclays assumed coverage on Kinetik in a research note on Monday. They issued an “equal weight” rating and a $40.00 target price on the stock. JPMorgan Chase & Co. boosted their target price on Kinetik from $40.00 to $43.00 and gave the company an “overweight” rating in a research note on Wednesday, April 17th. Royal Bank of Canada assumed coverage on Kinetik in a research note on Monday, March 25th. They issued an “outperform” rating and a $40.00 target price on the stock. Finally, Mizuho boosted their target price on Kinetik from $39.00 to $42.00 and gave the company a “buy” rating in a research note on Tuesday. Seven investment analysts have rated the stock with a hold rating and six have issued a buy rating to the company. According to data from MarketBeat, the company presently has an average rating of “Hold” and an average target price of $40.00.

About Kinetik

Kinetik Holdings Inc operates as a midstream company in the Texas Delaware Basin. The company operates through two segments, Midstream Logistics and Pipeline Transportation. It provides gathering, transportation, compression, processing, stabilization, treating, storage, and transportation services for companies that produce natural gas, natural gas liquids, and crude oil; and water gathering and disposal services.