Powell Industries, Inc. (NASDAQ:POWL) Increases Dividend to $0.27 Per Share

Powell Industries, Inc. (NASDAQ:POWL) announced a quarterly dividend on Tuesday, April 30th, Zacks reports. Investors of record on Wednesday, May 15th will be paid a dividend of 0.265 per share by the industrial products company on Wednesday, June 12th. This represents a $1.06 annualized dividend and a dividend yield of 0.68%. The ex-dividend date of this dividend is Tuesday, May 14th. This is a boost from Powell Industries’s previous quarterly dividend of $0.26.

Powell Industries has raised its dividend payment by an average of 0.3% per year over the last three years and has increased its dividend every year for the last 2 years. Powell Industries has a dividend payout ratio of 13.9% indicating that its dividend is sufficiently covered by earnings. Research analysts expect Powell Industries to earn $7.64 per share next year, which means the company should continue to be able to cover its $1.06 annual dividend with an expected future payout ratio of 13.9%.

Powell Industries Price Performance

Shares of POWL stock traded down $13.19 during midday trading on Thursday, reaching $156.82. 148,417 shares of the company traded hands, compared to its average volume of 330,052. Powell Industries has a 1-year low of $45.97 and a 1-year high of $197.87. The firm has a market cap of $1.88 billion, a PE ratio of 18.73, a price-to-earnings-growth ratio of 1.35 and a beta of 0.79. The firm’s 50 day simple moving average is $148.12 and its two-hundred day simple moving average is $112.20.

Powell Industries (NASDAQ:POWL) last posted its earnings results on Tuesday, April 30th. The industrial products company reported $2.75 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.89 by $0.86. Powell Industries had a return on equity of 28.91% and a net margin of 12.05%. The firm had revenue of $255.10 million for the quarter, compared to analyst estimates of $201.45 million. During the same quarter in the prior year, the company earned $0.70 EPS. Powell Industries’s revenue was up 48.8% on a year-over-year basis. As a group, research analysts anticipate that Powell Industries will post 7.54 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, major shareholder Thomas W. Powell sold 5,000 shares of the firm’s stock in a transaction that occurred on Wednesday, February 28th. The shares were sold at an average price of $174.38, for a total value of $871,900.00. Following the sale, the insider now directly owns 1,688,628 shares of the company’s stock, valued at $294,462,950.64. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. In other Powell Industries news, major shareholder Thomas W. Powell sold 5,000 shares of Powell Industries stock in a transaction that occurred on Wednesday, February 28th. The shares were sold at an average price of $174.38, for a total transaction of $871,900.00. Following the transaction, the insider now directly owns 1,688,628 shares of the company’s stock, valued at $294,462,950.64. The sale was disclosed in a filing with the SEC, which is available at this link. Also, Director Christopher E. Cragg sold 9,000 shares of Powell Industries stock in a transaction that occurred on Wednesday, February 21st. The shares were sold at an average price of $155.13, for a total transaction of $1,396,170.00. Following the sale, the director now owns 12,360 shares in the company, valued at approximately $1,917,406.80. The disclosure for this sale can be found here. Over the last three months, insiders have sold 30,000 shares of company stock valued at $4,850,830. Insiders own 2.20% of the company’s stock.

Analyst Upgrades and Downgrades

Separately, StockNews.com lowered shares of Powell Industries from a “strong-buy” rating to a “buy” rating in a report on Thursday, February 1st.

About Powell Industries

Powell Industries, Inc, together with its subsidiaries, designs, develops, manufactures, sells, and services custom-engineered equipment and systems. The company's principal products include integrated power control room substations, custom-engineered modules, electrical houses, medium-voltage circuit breakers, monitoring and control communications systems, motor control centers, switches, and bus duct systems, as well as traditional and arc-resistant distribution switchgears and control gears.