Kimbell Royalty (NYSE:KRP) Declares Dividend Increase – $0.47 Per Share

Kimbell Royalty (NYSE:KRP) announced a quarterly dividend on Friday, August 7th. Shareholders of record on Monday, August 17th will be given a dividend of 0.47 per share by the energy company on Monday, August 24th. This represents a c) dividend on an annualized basis and a yield of 12.6%. The ex-dividend date of this dividend is Monday, August 17th. This is a 14.6% increase from Kimbell Royalty’s previous quarterly dividend of $0.41.

Kimbell Royalty has increased its dividend by an average of 0.1%per year over the last three years. Kimbell Royalty has a dividend payout ratio of 115.5% indicating that the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Research analysts expect Kimbell Royalty to earn $0.83 per share next year, which means the company may not be able to cover its $1.64 annual dividend with an expected future payout ratio of 197.6%.

Kimbell Royalty Stock Performance

KRP traded up $0.44 during mid-day trading on Friday, reaching $14.95. 2,349,850 shares of the company traded hands, compared to its average volume of 761,843. The company’s fifty day moving average price is $14.88 and its 200-day moving average price is $14.54. The stock has a market capitalization of $1.61 billion, a P/E ratio of 32.51 and a beta of 0.30. The company has a quick ratio of 5.12, a current ratio of 5.12 and a debt-to-equity ratio of 0.77. Kimbell Royalty has a 52-week low of $11.31 and a 52-week high of $15.80.

Kimbell Royalty (NYSE:KRP) last released its quarterly earnings results on Friday, August 7th. The energy company reported $0.40 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.23 by $0.17. Kimbell Royalty had a return on equity of 11.70% and a net margin of 22.76%.The firm had revenue of $112.48 million for the quarter, compared to the consensus estimate of $93.45 million. During the same period last year, the business posted $0.02 EPS. The company’s revenue for the quarter was up 29.9% on a year-over-year basis. On average, sell-side analysts expect that Kimbell Royalty will post 0.81 EPS for the current year.

Analysts Set New Price Targets

KRP has been the topic of a number of recent research reports. Royal Bank Of Canada initiated coverage on Kimbell Royalty in a report on Friday, May 29th. They issued an “outperform” rating and a $20.00 target price on the stock. Weiss Ratings downgraded Kimbell Royalty from a “hold (c+)” rating to a “hold (c)” rating in a research note on Thursday, May 14th. Finally, Zacks Research lowered shares of Kimbell Royalty from a “hold” rating to a “strong sell” rating in a research report on Monday. Three investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, Kimbell Royalty has an average rating of “Hold” and an average price target of $18.00.

Kimbell Royalty Company Profile

Kimbell Royalty Partners LP (NYSE: KRP) is a mineral and royalty company focused on acquiring and managing oil and natural gas royalty interests in the United States. As a master limited partnership, Kimbell Royalty generates fee-like revenues by collecting royalties and overriding royalty interests on production volumes, without directly bearing the capital or operating costs of drilling and completion activities. The partnership’s business model emphasizes steady cash flows and limited downside exposure to commodity price fluctuations.

The company’s asset portfolio spans multiple onshore basins, with a core concentration in Texas and New Mexico.