Kinetik Holdings Inc. (NASDAQ:KNTK) Plans $0.78 Quarterly Dividend

Kinetik Holdings Inc. (NASDAQ:KNTK) declared a quarterly dividend on Wednesday, January 22nd,RTT News reports. Stockholders of record on Monday, February 3rd will be paid a dividend of 0.78 per share on Wednesday, February 12th. This represents a $3.12 dividend on an annualized basis and a dividend yield of 4.78%.

Kinetik has raised its dividend by an average of 0.3% per year over the last three years. Kinetik has a dividend payout ratio of 122.4% 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 Kinetik to earn $2.45 per share next year, which means the company may not be able to cover its $3.12 annual dividend with an expected future payout ratio of 127.3%.

Kinetik Stock Performance

Shares of KNTK stock traded down $1.25 on Wednesday, hitting $65.23. 1,021,596 shares of the company’s stock traded hands, compared to its average volume of 633,384. Kinetik has a one year low of $31.73 and a one year high of $67.60. The company’s fifty day simple moving average is $58.78 and its 200 day simple moving average is $50.27. The stock has a market capitalization of $10.28 billion, a price-to-earnings ratio of 24.07, a P/E/G ratio of 1.80 and a beta of 2.91.

Kinetik (NASDAQ:KNTK) last released its earnings results on Wednesday, November 6th. The company reported $0.35 EPS for the quarter, missing the consensus estimate of $0.45 by ($0.10). Kinetik had a net margin of 30.25% and a negative return on equity of 39.48%. The business had revenue of $396.40 million for the quarter, compared to the consensus estimate of $331.21 million. During the same period in the prior year, the business posted $0.21 EPS. Kinetik’s revenue for the quarter was up 20.0% on a year-over-year basis. As a group, sell-side analysts anticipate that Kinetik will post 1.35 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

Several research firms recently commented on KNTK. Citigroup increased their target price on shares of Kinetik from $54.00 to $58.00 and gave the company a “neutral” rating in a report on Monday, December 16th. Mizuho raised their target price on shares of Kinetik from $47.00 to $55.00 and gave the stock an “outperform” rating in a research report on Thursday, October 24th. The Goldman Sachs Group raised their target price on shares of Kinetik from $46.00 to $61.00 and gave the stock a “buy” rating in a research report on Thursday, December 19th. Scotiabank dropped their target price on shares of Kinetik from $64.00 to $62.00 and set a “sector outperform” rating for the company in a research report on Tuesday. Finally, JPMorgan Chase & Co. raised their target price on shares of Kinetik from $63.00 to $65.00 and gave the stock an “overweight” rating in a research report on Wednesday, January 15th. Three analysts have rated the stock with a hold rating and five have issued a buy rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $59.25.

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.