Magic Software Enterprises Ltd. (NASDAQ:MGIC) Plans Dividend Increase – $0.24 Per Share

Magic Software Enterprises Ltd. (NASDAQ:MGIC) declared a semi-annual dividend on Tuesday, November 19th,Wall Street Journal reports. Stockholders of record on Monday, December 23rd will be given a dividend of 0.236 per share by the software maker on Wednesday, January 8th. This represents a dividend yield of 3.7%. The ex-dividend date is Monday, December 23rd. This is a boost from Magic Software Enterprises’s previous semi-annual dividend of $0.20.

Magic Software Enterprises has increased its dividend payment by an average of 35.0% annually over the last three years. Magic Software Enterprises has a dividend payout ratio of 39.8% meaning its dividend is sufficiently covered by earnings. Equities analysts expect Magic Software Enterprises to earn $0.99 per share next year, which means the company should continue to be able to cover its $0.41 annual dividend with an expected future payout ratio of 41.4%.

Magic Software Enterprises Trading Down 1.6 %

NASDAQ:MGIC traded down $0.18 on Tuesday, reaching $10.83. The stock had a trading volume of 29,202 shares, compared to its average volume of 53,916. The company has a market cap of $531.75 million, a price-to-earnings ratio of 15.96 and a beta of 1.08. The company has a debt-to-equity ratio of 0.13, a current ratio of 1.66 and a quick ratio of 1.66. The firm’s fifty day moving average is $11.29 and its two-hundred day moving average is $10.97. Magic Software Enterprises has a 12-month low of $8.40 and a 12-month high of $12.99.

Wall Street Analysts Forecast Growth

MGIC has been the topic of several research analyst reports. Barclays raised their price objective on Magic Software Enterprises from $14.00 to $15.00 and gave the stock an “overweight” rating in a research note on Tuesday. StockNews.com lowered Magic Software Enterprises from a “strong-buy” rating to a “buy” rating in a report on Tuesday, November 12th.

Magic Software Enterprises Company Profile

Magic Software Enterprises Ltd. provides proprietary application development, vertical software solutions, business process integration, information technologies (IT) outsourcing software services, and cloud-based services in Israel and internationally. Its Software Services segment develops, markets, sells, and supports application platform, software applications, and business and process integration solutions and related services.