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

The Timken Company (NYSE:TKR) announced a quarterly dividend on Friday, February 14th, RTT News reports. Stockholders of record on Tuesday, February 25th will be paid a dividend of 0.34 per share by the industrial products company on Friday, March 7th. This represents a $1.36 annualized dividend and a dividend yield of 1.67%. The ex-dividend date of this dividend is Tuesday, February 25th.

Timken has increased its dividend by an average of 4.3% per year over the last three years and has raised its dividend annually for the last 11 consecutive years. Timken has a payout ratio of 20.7% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect Timken to earn $6.71 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 20.3%.

Timken Stock Down 3.0 %

Shares of Timken stock opened at $81.26 on Friday. Timken has a 1 year low of $69.35 and a 1 year high of $94.71. The company has a market cap of $5.70 billion, a P/E ratio of 16.28, a P/E/G ratio of 1.51 and a beta of 1.39. The company has a current ratio of 3.07, a quick ratio of 1.61 and a debt-to-equity ratio of 0.69. The stock has a 50-day moving average price of $76.61 and a 200 day moving average price of $79.32.

Timken (NYSE:TKR) last posted its quarterly earnings results on Wednesday, February 5th. The industrial products company reported $1.16 EPS for the quarter, topping the consensus estimate of $1.08 by $0.08. Timken had a net margin of 7.71% and a return on equity of 13.93%. As a group, analysts expect that Timken will post 5.62 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, CFO Philip D. Fracassa sold 5,000 shares of Timken stock in a transaction that occurred on Friday, February 7th. The shares were sold at an average price of $81.50, for a total transaction of $407,500.00. Following the completion of the sale, the chief financial officer now owns 90,541 shares in the company, valued at $7,379,091.50. The trade was a 5.23 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Insiders own 8.70% of the company’s stock.

Analysts Set New Price Targets

Several research firms have commented on TKR. DA Davidson decreased their target price on shares of Timken from $103.00 to $99.00 and set a “buy” rating for the company in a research report on Wednesday, November 6th. KeyCorp reiterated a “sector weight” rating on shares of Timken in a research note on Friday, November 22nd. Citigroup lowered their target price on shares of Timken from $90.00 to $85.00 and set a “buy” rating on the stock in a research note on Tuesday, January 14th. Jefferies Financial Group upgraded shares of Timken from a “hold” rating to a “buy” rating and raised their target price for the company from $80.00 to $95.00 in a research note on Friday, December 6th. Finally, Morgan Stanley raised their target price on shares of Timken from $93.00 to $94.00 and gave the company an “overweight” rating in a research note on Tuesday, February 11th. Four analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $92.70.

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.