The Timken Company to Issue Quarterly Dividend of $0.34 (NYSE:TKR)

The Timken Company (NYSE:TKR) declared a quarterly dividend on Friday, November 8th,Wall Street Journal reports. Investors of record on Tuesday, November 19th will be paid a dividend of 0.34 per share by the industrial products company on Friday, November 29th. This represents a $1.36 dividend on an annualized basis and a yield of 1.80%. The ex-dividend date of this dividend is Tuesday, November 19th.

Timken has raised its dividend payment by an average of 4.8% annually over the last three years and has increased its dividend annually for the last 11 consecutive years. Timken has a dividend payout ratio of 20.8% meaning its dividend is sufficiently covered by earnings. Analysts expect Timken to earn $6.47 per share next year, which means the company should continue to be able to cover its $1.36 annual dividend with an expected future payout ratio of 21.0%.

Timken Stock Performance

Shares of NYSE:TKR opened at $75.59 on Friday. The company’s 50 day simple moving average is $81.89 and its 200 day simple moving average is $83.36. The stock has a market capitalization of $5.30 billion, a price-to-earnings ratio of 15.72, a price-to-earnings-growth ratio of 1.12 and a beta of 1.43. The company has a debt-to-equity ratio of 0.71, a current ratio of 3.00 and a quick ratio of 1.62. Timken has a 1 year low of $71.57 and a 1 year high of $94.71.

Timken (NYSE:TKR) last announced its quarterly earnings data on Tuesday, November 5th. The industrial products company reported $1.23 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.38 by ($0.15). The firm had revenue of $1.13 billion during the quarter, compared to the consensus estimate of $1.12 billion. Timken had a net margin of 7.41% and a return on equity of 14.82%. The business’s revenue was down 1.4% compared to the same quarter last year. During the same period last year, the business earned $1.55 earnings per share. As a group, research analysts predict that Timken will post 5.61 EPS for the current fiscal year.

Wall Street Analyst Weigh In

Several research firms recently issued reports on TKR. KeyCorp dropped their target price on shares of Timken from $104.00 to $90.00 and set an “overweight” rating on the stock in a report on Wednesday, November 6th. Oppenheimer decreased their target price on shares of Timken from $102.00 to $97.00 and set an “outperform” rating for the company in a research report on Wednesday, November 6th. Evercore ISI raised shares of Timken from an “in-line” rating to an “outperform” rating and boosted their target price for the stock from $87.00 to $91.00 in a research report on Wednesday. Citigroup initiated coverage on Timken in a research report on Monday, October 14th. They issued a “neutral” rating and a $90.00 price objective on the stock. Finally, DA Davidson cut their price objective on Timken from $103.00 to $99.00 and set a “buy” rating on the stock in a research report on Wednesday, November 6th. Seven investment analysts have rated the stock with a hold rating and five have given a buy rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Hold” and an average price target of $90.00.

Insider Activity at Timken

In other Timken news, Director Richard G. Kyle sold 30,000 shares of Timken stock in a transaction on Friday, November 8th. The stock was sold at an average price of $76.59, for a total value of $2,297,700.00. Following the completion of the sale, the director now owns 194,485 shares of the company’s stock, valued at approximately $14,895,606.15. This trade represents a 13.36 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. 8.70% of the stock is owned by corporate insiders.

About Timken

The Timken Company designs, manufactures, and sells engineered bearings and industrial motion products, and related services in the United States and internationally. The company's Engineered Bearings segment provides various bearing products, including tapered, spherical, and cylindrical roller bearings; plain bearings, metal-polymer bearings, and rod end bearings; radial, angular, and precision ball bearings; thrust and specialty ball bearings; journal bearings; and housed or mounted bearings.