Gerdau (GGB) Declares $0.04 Dividend
Gerdau said on March 2, 2023 that its board of directors declared a regular quarterly dividend of $0.04 per share ($0.15 annualized). Previously, the company paid $0.32 per share.
Shares must be purchased before the ex-div date of March 15, 2023 to qualify for the dividend. Shareholders of record as of March 16, 2023 will receive the payment on March 30, 2023.
At the current share price of $5.41 / share, the stock's dividend yield is 2.84%. Looking back five years and taking a sample every week, the average dividend yield has been 1.62%, the lowest has been 0.97%, and the highest has been 3.91%. The standard deviation of yields is 0.48 (n=237).
The current dividend yield is 2.52 standard deviations above the historical average.
Additionally, the company's dividend payout ratio is 0.01. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company has not increased its dividend in the last three years.
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Analyst Price Forecast Suggests 34.41% Upside
As of March 8, 2023, the average one-year price target for Gerdau is $7.27. The forecasts range from a low of $6.01 to a high of $8.97. The average price target represents an increase of 34.41% from its latest reported closing price of $5.41.
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The projected annual revenue for Gerdau is $72,769MM, a decrease of 11.70%. The projected annual non-GAAP EPS is $4.38.
What is the Fund Sentiment?
There are 315 funds or institutions reporting positions in Gerdau. This is an increase of 38 owner(s) or 13.72% in the last quarter. Average portfolio weight of all funds dedicated to GGB is 0.26%, a decrease of 1.46%. Total shares owned by institutions increased in the last three months by 16.98% to 357,386K shares. The put/call ratio of GGB is 0.37, indicating a bullish outlook.
What are Large Shareholders Doing?
Capital International Investors holds 81,702K shares representing 4.90% ownership of the company. In it's prior filing, the firm reported owning 73,786K shares, representing an increase of 9.69%. The firm increased its portfolio allocation in GGB by 24.91% over the last quarter.
ANWPX - NEW PERSPECTIVE FUND holds 39,279K shares representing 2.35% ownership of the company. In it's prior filing, the firm reported owning 42,723K shares, representing a decrease of 8.77%. The firm increased its portfolio allocation in GGB by 6.14% over the last quarter.
Acadian Asset Management holds 27,499K shares representing 1.65% ownership of the company. In it's prior filing, the firm reported owning 24,746K shares, representing an increase of 10.01%. The firm increased its portfolio allocation in GGB by 22.66% over the last quarter.
NEWFX - NEW WORLD FUND INC holds 22,685K shares representing 1.36% ownership of the company. No change in the last quarter.
Arrowstreet Capital, Limited Partnership holds 18,933K shares representing 1.13% ownership of the company. In it's prior filing, the firm reported owning 0K shares, representing an increase of 100.00%.
Gerdau Background Information
(This description is provided by the company.)
Gerdau is the largest producer of long steel in the Americas, with steel mills in Brazil, Argentina, Canada, Colombia, Dominican Republic, Mexico, Peru, United States, Uruguay and Venezuela.
This story originally appeared on Fintel.