Zacks Investment Research upgraded shares of Royal Dutch Shell PLC (NYSE:RDS.A) from a strong sell rating to a hold rating in a research note published on Friday morning. They currently have $57.00 price objective on the stock.
According to Zacks, “Royal Dutch Shell is one of the largest integrated energy firms in the world with a strong and diversified portfolio of development projects that offer attractive long-term opportunities. The company’s acquisition of BG Group, UK’s third largest energy player, has improved its prospects even further. Shell will be able to boost its oil and gas reserves by almost 25% and will benefit from BG Group’s big projects worldwide. We believe that the recently struck deal to sell some of its GoM assets is an important step in executing on Shell's plan to divest $6-$8 billion of properties this year and maintain its generous dividend policy. However, the difficult operating environment – in the form of continued weakness in commodity prices and depressed refining margins – continue to keep us on the sidelines. We think that the current valuation is fair and adequately reflects Shell's future growth prospects.”
Several other equities research analysts also recently issued reports on the stock. Jefferies Group restated a buy rating on shares of Royal Dutch Shell PLC in a research report on Sunday, July 10th. Morgan Stanley downgraded shares of Royal Dutch Shell PLC from an overweight rating to an equal weight rating in a research report on Thursday, June 30th. Vetr downgraded shares of Royal Dutch Shell PLC from a strong-buy rating to a buy rating and set a $55.72 price objective for the company. in a research report on Monday, June 20th. Royal Bank Of Canada downgraded shares of Royal Dutch Shell PLC from an outperform rating to a sector perform rating in a research report on Monday, August 1st. Finally, RBC Capital Markets downgraded shares of Royal Dutch Shell PLC from an outperform rating to a sector perform rating in a research report on Monday, August 1st. One analyst has rated the stock with a sell rating, eight have given a hold rating, eleven have assigned a buy rating and two have assigned a strong buy rating to the company’s stock. Royal Dutch Shell PLC currently has an average rating of Buy and a consensus target price of $58.58.
Royal Dutch Shell PLC (NYSE:RDS.A) last posted its quarterly earnings results on Thursday, July 28th. The company reported $0.06 EPS for the quarter, missing analysts’ consensus estimates of $0.53 by $0.47. Royal Dutch Shell PLC had a positive return on equity of 3.04% and a negative net margin of 2.06%. The business had revenue of $58.42 billion for the quarter, compared to the consensus estimate of $60.82 billion. During the same quarter in the previous year, the business posted $0.61 EPS. The company’s revenue for the quarter was down 19.3% on a year-over-year basis.
The company also recently disclosed a quarterly dividend, which was paid on Monday, September 19th. Shareholders of record on Friday, August 12th were given a dividend of $0.799 per share. The ex-dividend date was Wednesday, August 10th. This represents a $3.20 annualized dividend and a yield of Infinity. Royal Dutch Shell PLC’s dividend payout ratio is currently -201.26%.
About Royal Dutch Shell PLC
Royal Dutch Shell plc (Shell) is an independent oil and gas company. The Company explores for crude oil and natural gas across the world, both in conventional fields and from sources, such as tight rock, shale and coal formations. The Company is engaged in the principal aspects of the oil and gas industry in approximately 70 countries.
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