Powell Industries (POWL) Declares $0.26 Dividend

Powell Industries said on January 31, 2023 that its board of directors declared a regular quarterly dividend of $0.26 per share ($1.05 annualized). Shareholders of record as of February 14, 2023 will receive the payment on March 15, 2023. Previously, the company paid $0.26 per share.

At the current share price of $45.31 / share, the stock's dividend yield is 2.32%. Looking back five years and taking a sample every week, the average dividend yield has been 3.55%, the lowest has been 2.06%, and the highest has been 5.49%. The standard deviation of yields is 0.70 (n=236).

The current dividend yield is 1.77 standard deviations below the historical average.

Additionally, the company's dividend payout ratio is 0.69. 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.

Analyst Price Forecast Suggests 25.71% Downside

As of February 4, 2023, the average one-year price target for Powell Industries is $33.66. The forecasts range from a low of $33.33 to a high of $34.65. The average price target represents a decrease of 25.71% from its latest reported closing price of $45.31.

The projected annual revenue for Powell Industries is $585MM, an increase of 5.74%. The projected annual EPS is $1.02, a decrease of 32.05%.

Fund Sentiment

There are 286 funds or institutions reporting positions in Powell Industries. This is a decrease of 16 owner(s) or 5.30%.

Average portfolio weight of all funds dedicated to US:POWL is 0.0811%, an increase of 0.0075%. Total shares owned by institutions decreased in the last three months by 2.01% to 9,066K shares.

What are large shareholders doing?

IJR - iShares Core S&P Small-Cap ETF holds 679,762 shares representing 5.74% ownership of the company. In it's prior filing, the firm reported owning 628,319 shares, representing an increase of 7.57%. The firm decreased its portfolio allocation in POWL by 0.96% over the last quarter.

Heartland Advisors holds 472,044 shares representing 3.99% ownership of the company. In it's prior filing, the firm reported owning 435,908 shares, representing an increase of 7.66%. The firm increased its portfolio allocation in POWL by 5.08% over the last quarter.

HRVIX - HEARTLAND VALUE PLUS FUND Investor Class holds 460,000 shares representing 3.89% ownership of the company. In it's prior filing, the firm reported owning 425,000 shares, representing an increase of 7.61%. The firm increased its portfolio allocation in POWL by 5.89% over the last quarter.

Mirae Asset Global Investments Co. holds 432,284 shares representing 3.65% ownership of the company. In it's prior filing, the firm reported owning 496,697 shares, representing a decrease of 14.90%. The firm decreased its portfolio allocation in POWL by 53.79% over the last quarter.

PAVE - Global X U.S. Infrastructure Development ETF holds 404,834 shares representing 3.42% ownership of the company. In it's prior filing, the firm reported owning 445,165 shares, representing a decrease of 9.96%. The firm decreased its portfolio allocation in POWL by 2.63% over the last quarter.

Powell Industries Background Information
(This description is provided by the company.)

Powell Industries, Inc., headquartered in Houston, designs, manufactures and services custom-engineered equipment and systems for the distribution, control, and monitoring of electrical energy. Powell markets include large industrial customers such as utilities, oil and gas producers, refineries, petrochemical plants, pulp and paper producers, mining operations and commuter railways.

This story originally appeared on Fintel.