Snap-on Incorporated (NYSE:SNA) Announces $1.86 Quarterly Dividend

Snap-on Incorporated (NYSE:SNA) announced a quarterly dividend on Thursday, August 8th, RTT News reports. Stockholders of record on Monday, August 19th will be paid a dividend of 1.86 per share on Tuesday, September 10th. This represents a $7.44 annualized dividend and a dividend yield of 2.69%. The ex-dividend date of this dividend is Monday, August 19th.

Snap-on has raised its dividend payment by an average of 14.6% annually over the last three years and has raised its dividend every year for the last 14 years. Snap-on has a dividend payout ratio of 37.3% indicating that its dividend is sufficiently covered by earnings. Analysts expect Snap-on to earn $19.85 per share next year, which means the company should continue to be able to cover its $7.44 annual dividend with an expected future payout ratio of 37.5%.

Snap-on Price Performance

Snap-on stock opened at $276.19 on Friday. The business’s 50-day simple moving average is $269.13 and its 200 day simple moving average is $276.14. The stock has a market cap of $14.55 billion, a price-to-earnings ratio of 14.49, a P/E/G ratio of 1.90 and a beta of 0.98. Snap-on has a 12-month low of $249.84 and a 12-month high of $298.49. The company has a quick ratio of 3.05, a current ratio of 4.06 and a debt-to-equity ratio of 0.22.

Snap-on (NYSE:SNA) last posted its quarterly earnings results on Thursday, July 18th. The company reported $5.07 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.94 by $0.13. The business had revenue of $1.18 billion for the quarter, compared to analysts’ expectations of $1.20 billion. Snap-on had a return on equity of 19.90% and a net margin of 21.90%. The firm’s quarterly revenue was down 1.0% compared to the same quarter last year. During the same quarter last year, the business earned $4.89 earnings per share. As a group, research analysts anticipate that Snap-on will post 18.95 earnings per share for the current year.

Insider Transactions at Snap-on

In other news, CEO Nicholas T. Pinchuk sold 24,220 shares of the firm’s stock in a transaction dated Tuesday, June 4th. The stock was sold at an average price of $266.80, for a total transaction of $6,461,896.00. Following the sale, the chief executive officer now owns 750,663 shares of the company’s stock, valued at $200,276,888.40. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. In related news, CEO Nicholas T. Pinchuk sold 24,145 shares of Snap-on stock in a transaction that occurred on Monday, August 12th. The stock was sold at an average price of $268.95, for a total value of $6,493,797.75. Following the sale, the chief executive officer now owns 759,019 shares of the company’s stock, valued at approximately $204,138,160.05. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO Nicholas T. Pinchuk sold 24,220 shares of Snap-on stock in a transaction that occurred on Tuesday, June 4th. The shares were sold at an average price of $266.80, for a total value of $6,461,896.00. Following the completion of the sale, the chief executive officer now directly owns 750,663 shares in the company, valued at approximately $200,276,888.40. The disclosure for this sale can be found here. Insiders have sold a total of 62,777 shares of company stock valued at $16,847,207 over the last 90 days. 4.10% of the stock is owned by company insiders.

Snap-on declared that its board has initiated a stock repurchase plan on Thursday, August 8th that permits the company to repurchase $500.00 million in outstanding shares. This repurchase authorization permits the company to reacquire up to 3.5% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company’s leadership believes its shares are undervalued.

Wall Street Analyst Weigh In

Several equities analysts have weighed in on the company. Barrington Research reissued an “outperform” rating and issued a $325.00 target price on shares of Snap-on in a research note on Tuesday, July 16th. Tigress Financial reissued a “buy” rating and issued a $336.00 target price on shares of Snap-on in a research note on Thursday, July 25th. Roth Mkm reissued a “buy” rating and issued a $324.00 target price on shares of Snap-on in a research note on Tuesday, July 16th. Finally, Robert W. Baird cut their target price on Snap-on from $282.00 to $275.00 and set a “neutral” rating on the stock in a research note on Friday, July 12th. One equities research analyst has rated the stock with a hold rating and four have assigned a buy rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $315.00.

Snap-on Company Profile

Snap-on Incorporated manufactures and markets tools, equipment, diagnostics, and repair information and systems solutions for professional users worldwide. It operates through Commercial & Industrial Group, Snap-on Tools Group, Repair Systems & Information Group, and Financial Services segments.