Board of directors of
Noble Energy Inc.
) announced a 12% hike in its quarterly dividend to 28 cents per
share from the previous 25 cents. The dividend will be paid to
shareholders of record on May 6, 2013. The board also approved a
two-for-one stock split for the purpose of luring new investors
to the stock.
The stock trading at the split-adjusted price will be
initiated from May 29, 2013. The company will allocate the
additional stakes on May 28, 2013 to shareholders of record at
the close of business on May 14, 2013.
Noble Energy is known for providing substantial dividend raise
to investors and has consistently increased it for the last three
years. In Oct 2012, the company increased dividend by 13.6%.
Both these strategic moves will strengthen existing investor
confidence. The stock split will benefit stockholders as it will
provide an opportunity to sell their holdings to a wider base of
The company's solid financial position and positive results
from its African and Eastern Mediterranean operations prompted
the company to increase its dividend level. Noble Energy's cash
flow at the end of 2012 was $2,933.0 million, up 35.2% from 2011.
It was also successful in reducing its debt level by 8.3% in 2012
from that of 2011.
Noble Energy's Tamar natural gas field has come online which
will offer handsome returns to the company. Further, its domestic
prospects like the liquefied natural gas facility in Colorado and
high quality exploration ventures in Nevada also looks promising.
Currently it carries a Zacks Rank #3 (Hold).
Other oil and gas stocks that warrant a look are
Quicksilver Resources Inc.
EPL Oil & Gas Inc.
Range Resource Corporation
). All the above presently hold a Zacks Rank #1 (Strong Buy).
Based in Houston TX, Noble Energy, an independent energy
company, engages in the acquisition, exploration, development,
production, and marketing of crude oil, natural gas, and natural
gas liquids in the United States and worldwide.
EPL OIL&GAS INC (EPL): Free Stock Analysis
QUICKSILVER RES (KWK): Free Stock Analysis
NOBLE ENERGY (NBL): Free Stock Analysis
RANGE RESOURCES (RRC): Free Stock Analysis
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