Apogee Enterprises, Inc.
) raised its quarterly dividend by 10.4% to 9 cents per share. The
increased dividend will be paid on June 1, 2012, to stockholders of
record as on May 17, 2012.
The dividend hike came after a long time. Apogee last adjusted
its dividend in November, 2008, benefiting its shareholders with a
22% rise. Since then Apogee has meticulously maintained a dividend
payout of $0.0815 per share.
The news provided an impetus to the stock, as the share price of
Apogee rose 5.3% to close at $15.38 on Friday. The dividend yield
based on the new payout and the last closing market price is
As of March 3, 2012, Apogee had cash and short-term investments
of $79.3 million compared with $46.4 million in the year-ago
quarter. Cash inflow from operations amounted to $27,981 million
during fiscal 2012 versus cash outflow of $7,985 million in fiscal
Apogee's fourth-quarter 2012 earnings were 11 cents per share
compared with a loss of 12 cents in the year-ago quarter,
comfortably surpassing the Zacks Consensus Estimate of 7 cents per
share. Revenues increased 14% to $168.7 million in the quarter.
For fiscal 2013, the company expects earnings in the range of
40-50 cents per share. The guidance is in line with the
current Zacks Consensus Estimate of 50 cents. It expects to
generate positive free cash flow after spending nearly $25 million
in certain investments related to the introduction of new products,
productivity improvements and maintenance requirements.
Apogee has a strong architectural backlog to start with in the
fiscal 2013. It has plans to invest in new products to boost its
product portfolio. In addition, the company plans to invest on
capacity and productivity improvements.
The company faces competition from privately held AGC Flat Glass
North America, Inc., Guardian Glass Company and Pilkington Group
Currently, we have a long-term Neutral recommendation on the
Apogee. The stock retains a Zacks #4 Rank ("Sell" rating).
APOGEE ENTRPRS (
): Free Stock Analysis Report
To read this article on Zacks.com click here.