Williams Companies Hikes Q1 Div, Outlook Retained - Analyst Blog

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North American energy firm, Williams Companies Inc. ( WMB ) declared its first-quarter 2014 cash dividend of 40.25 cents per share. The new dividend reflects a sequential hike of 5.9% and a year-over-year increase of 18.8%. Williams added that the increased dividend will likely be paid on Mar 31, 2014, to the shareholders of record as of Mar 14, 2014.  

If the revised dividend is maintained for the rest of the year, then the annualized dividend payout of the company would be $1.61 per share. Based on the closing price of $39.26 as on Jan 23, 2014, the increased dividend affirms a yield of 4.1%.

Williams' dividend for full-year 2013 stood at $1.44 per share, reflecting a hike of 20.0% compared with $1.20 reported in 2012. Additionally, Williams maintains its projected 20% dividend hike to $1.75 and $2.11 per share, for 2014 and 2015, respectively.

Williams is planning to release fourth-quarter 2013 results on Feb 19, 2014, after the closing bell. The Zacks Consensus Estimate for the company's fourth-quarter stands at 21 cents per share.

Tulsa, Oklahoma-based Williams is a premier energy infrastructure provider in North America. The company's core operations include finding, producing, gathering, processing, and transporting natural gas. Williams divides its business into four segments: Williams Partners, Williams NGL & Petchem Services, Access Midstream Partners, and Other.

Williams currently carries a Zacks Rank #4 (Sell), implying that it is expected to underperform the broader U.S. equity market over the next one to three months.

Meanwhile, one can look at better-ranked players in the oil production and pipeline sector like Cheniere Energy Partners LP ( CQP ), Pembina Pipeline Corporation ( PBA ) and DCP Midstream Partners LP ( DPM ). Cheniere Energy and Pembina Pipeline sport a Zacks Rank #1 (Strong Buy) while DCP Midstream holds a Zacks Rank #2 (Buy).



CHENIERE ENERGY (CQP): Get Free Report

DCP MIDSTREAM (DPM): Free Stock Analysis Report

WILLIAMS COS (WMB): 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 The NASDAQ OMX Group, Inc.



This article appears in: Investing , Business , Stocks

Referenced Stocks: CQP , DPM , WMB

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