Brookfield Business Partners L.P. (NYSE:BBU) to Issue Quarterly Dividend of $0.06

Brookfield Business Partners L.P. (NYSE:BBU) declared a quarterly dividend on Monday, May 6th, Wall Street Journal reports. Shareholders of record on Friday, May 31st will be given a dividend of 0.0625 per share by the business services provider on Friday, June 28th. This represents a $0.25 annualized dividend and a yield of 1.32%. The ex-dividend date of this dividend is Friday, May 31st.

Brookfield Business Partners has a payout ratio of -4.9% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Analysts expect Brookfield Business Partners to earn $4.55 per share next year, which means the company should continue to be able to cover its $0.25 annual dividend with an expected future payout ratio of 5.5%.

Brookfield Business Partners Stock Performance

BBU traded up $0.11 during trading on Monday, hitting $19.00. 20,577 shares of the stock were exchanged, compared to its average volume of 15,355. The firm has a market capitalization of $1.41 billion, a P/E ratio of 2.98 and a beta of 1.44. The company has a quick ratio of 0.78, a current ratio of 1.04 and a debt-to-equity ratio of 2.22. The stock has a fifty day moving average price of $20.66 and a two-hundred day moving average price of $19.29. Brookfield Business Partners has a 1-year low of $12.22 and a 1-year high of $23.75.

Brookfield Business Partners (NYSE:BBU) last released its earnings results on Friday, February 2nd. The business services provider reported $6.57 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.90 by $5.67. The business had revenue of $13.41 billion for the quarter. Brookfield Business Partners had a return on equity of 21.72% and a net margin of 7.08%. During the same period in the previous year, the firm posted $1.49 EPS. As a group, sell-side analysts predict that Brookfield Business Partners will post 3.95 earnings per share for the current year.

Wall Street Analysts Forecast Growth

A number of research analysts have recently issued reports on BBU shares. TheStreet lowered Brookfield Business Partners from a “c” rating to a “d+” rating in a report on Wednesday, March 13th. BMO Capital Markets upped their price target on Brookfield Business Partners from $30.00 to $31.00 and gave the stock an “outperform” rating in a research note on Monday. Scotiabank increased their target price on Brookfield Business Partners from $26.50 to $28.00 and gave the stock a “sector outperform” rating in a report on Monday, February 5th. National Bankshares lifted their price target on Brookfield Business Partners from $33.00 to $34.00 and gave the company an “outperform” rating in a research report on Monday, February 5th. Finally, Royal Bank of Canada decreased their target price on Brookfield Business Partners from $32.00 to $31.00 and set an “outperform” rating for the company in a research report on Monday. Six investment analysts have rated the stock with a buy rating, Based on data from MarketBeat, Brookfield Business Partners has a consensus rating of “Buy” and an average target price of $30.33.

About Brookfield Business Partners

Brookfield Business Partners L.P. is a private equity firm specializing in acquisition. The firm typically invests in business services, infrastructure services, construction, energy, and industrials sector. It prefers to take majority stake in companies. The firm seeks returns of at least 15% on its investments.