Timken said on May 5, 2023 that its board of directors declared a regular quarterly dividend of $0.33 per share ($1.32 annualized). Previously, the company paid $0.31 per share.
Shares must be purchased before the ex-div date of May 15, 2023 to qualify for the dividend. Shareholders of record as of May 16, 2023 will receive the payment on May 30, 2023.
At the current share price of $76.79 / share, the stock's dividend yield is 1.72%.
Looking back five years and taking a sample every week, the average dividend yield has been 2.09%, the lowest has been 1.33%, and the highest has been 4.43%. The standard deviation of yields is 0.51 (n=236).
The current dividend yield is 0.73 standard deviations below the historical average.
Additionally, the company's dividend payout ratio is 0.22. 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's 3-Year dividend growth rate is 0.11%, demonstrating that it has increased its dividend over time.
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What is the Fund Sentiment?
There are 908 funds or institutions reporting positions in Timken. This is an increase of 88 owner(s) or 10.73% in the last quarter. Average portfolio weight of all funds dedicated to TKR is 0.27%, an increase of 6.95%. Total shares owned by institutions increased in the last three months by 0.33% to 76,841K shares. 
The put/call ratio of TKR is 0.26, indicating a bullish outlook.
Analyst Price Forecast Suggests 24.59% Upside
As of April 24, 2023, the average one-year price target for Timken is 95.68. The forecasts range from a low of 81.81 to a high of $110.25. The average price target represents an increase of 24.59% from its latest reported closing price of 76.79.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for Timken is 4,791MM, an increase of 3.37%. The projected annual non-GAAP EPS is 6.71.
What are Other Shareholders Doing?
Jpmorgan Chase holds 2,987K shares representing 4.13% ownership of the company. In it's prior filing, the firm reported owning 3,027K shares, representing a decrease of 1.35%. The firm increased its portfolio allocation in TKR by 8.42% over the last quarter.
IJH - iShares Core S&P Mid-Cap ETF holds 2,044K shares representing 2.82% ownership of the company. In it's prior filing, the firm reported owning 1,953K shares, representing an increase of 4.46%. The firm increased its portfolio allocation in TKR by 9.35% over the last quarter.
Earnest Partners holds 1,997K shares representing 2.76% ownership of the company. In it's prior filing, the firm reported owning 2,060K shares, representing a decrease of 3.15%. The firm increased its portfolio allocation in TKR by 5.89% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 1,994K shares representing 2.75% ownership of the company. In it's prior filing, the firm reported owning 1,954K shares, representing an increase of 2.03%. The firm increased its portfolio allocation in TKR by 12.83% over the last quarter.
Thrivent Financial For Lutherans holds 1,852K shares representing 2.56% ownership of the company. In it's prior filing, the firm reported owning 1,772K shares, representing an increase of 4.30%. The firm decreased its portfolio allocation in TKR by 99.88% over the last quarter.
Timken Background Information
(This description is provided by the company.)
The Timken Company designs a growing portfolio of engineered bearings and power transmission products. With more than a century of knowledge and innovation, Timken continuously improves the reliability and efficiency of global machinery and equipment to move the world forward. Timken posted $3.8 billion in sales in 2019 and employs more than 17,000 people globally, operating from 42 countries.
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
