Oil refiner and marketer
Western Refining Inc.
) has increased its quarterly cash dividend for the first quarter
of 2014 by 18.1% to 26 cents per share (annualized at $1.04 per
share), up from 22 cents per share paid in the fourth quarter of
2013. The new dividend also represents an increase of 116.7% year
over year. The dividend is payable to shareholders of record as
of Feb 12, 2014 on Feb 27.
The company maintains a long history of dividend payment, making
it lucrative for investors looking for a stable income.
Additionally, Western Refining has maintained its operational
strength which has enabled it to increase its dividend for four
Western Refining also announced that it has added $200 million in
its share repurchase program. Taking into account about $65
million that remained (as of Dec 2013) from the previous share
repurchase authorization, the company now has about $265 million
in its share repurchase program.
The company's commitment toward returning value to shareholders
is evident from the already returned $628 million from Jan 2012
to Dec 2013 through share repurchase and dividends.
El Paso, Texas-headquartered Western Refining is an independent
refiner and marketer of refined petroleum products in the
Southwestern and Mid-Atlantic regions of the U.S. The company
operates in three segments, Refining, Wholesale and Retail.
Though the company reported disappointing results last quarter,
missing the Zacks Consensus Estimate by 16 cents, we expect it to
bounce back when it reports fourth quarter results on Feb 27.
This is evident from the positive
that the company enjoys. Moreover, estimate revisions have also
been in its favor.
Western Refining currently holds a Zacks Rank #2 (Buy), implying
it is expected to outperform the broader U.S. market in the next
one to three months.
Additionally, one can consider other players from the same
industry such as
Chicago Rivet & Machine Co.
Global Partners LP
NGL Energy Partners LP
). All these stocks sport a Zacks Rank #1 (Strong Buy).
GLOBAL PARTNERS (GLP): Free Stock Analysis
NGL ENERGY PART (NGL): Free Stock Analysis
WESTERN REFING (WNR): Free Stock Analysis
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