Core Labs Hikes Q1 Dividend - Analyst Blog


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Oilfield service company, Core Laboratories NV ( CLB ) has recently raised its first-quarter 2014 cash dividend payment by 56.25% to 50 cents per share, up from 32 cents paid during fourth-quarter 2013. The new dividend will be paid on Feb 21, 2014, to shareholders of record as on Jan 24, 2014.

If the revised dividend is maintained for the rest of the year, then the annualized dividend payout of the company would be $2.00 per share. Moreover, based on the closing price of $187.21 as on Jan 13, 2014, the increased dividend affirms a yield of 1.07%.

Core Labs plans to release its fourth-quarter 2013 results on Jan 29, 2014, after the closing bell. The Zacks Consensus Estimate for the company's fourth-quarter stands at $1.40 per share.  

Amsterdam, Netherlands-based Core Labs provides reservoir management and production enhancement services to the oil and gas industry on a global basis. The company operates in over 50 countries and divides its operations in three principal business lines: Reservoir Description, Product Enhancement, and Reservoir Management.

Core Labs' extensive portfolio of proprietary products and services positions it favorably in the current environment of low commodity prices and growing maturity in the global hydrocarbon reserve base. Additionally, the company's strong presence in the emerging shale plays and its global footprint - including markets in the Middle East, Asia Pacific, and East and West Africa - provide for steady growth rates going forward.

However, Core Labs relies on its ability to develop and acquire essential products and technologies that drive its operational performance and growth. If its technologies and/or products become obsolete or cannot be brought to market in a timely and competitive manner, it may face severe operational and financial dilemmas.

Currently, Core Labs holds a Zacks Rank #3 (Hold), implying that it is expected to perform in-line with the broader U.S. equity market over the next one to three months.

Meanwhile, one can consider better-ranked players in the energy sector like Ocean Rig UDW Inc. ( ORIG ), YPF SA ( YPF ) and CVR Energy Inc ( CVI ). All the stocks sport a Zacks Rank #1 (Strong Buy).

CORE LABS NV (CLB): Free Stock Analysis Report

CVR ENERGY INC (CVI): Free Stock Analysis Report

OCEAN RIG UDW (ORIG): Free Stock Analysis Report

YPF SA D CV ADR (YPF): Free Stock Analysis Report

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

This article appears in: Investing , Business , Stocks
More Headlines for: CLB , CVI , ORIG , YPF

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