Snap-on Incorporated (NYSE:SNA) Announces Dividend Increase – $2.14 Per Share

Snap-on Incorporated (NYSE:SNA) announced a quarterly dividend on Friday, November 8th,RTT News reports. Investors of record on Thursday, November 21st will be given a dividend of 2.14 per share on Tuesday, December 10th. This represents a $8.56 annualized dividend and a yield of 2.38%. The ex-dividend date of this dividend is Thursday, November 21st. This is a positive change from Snap-on’s previous quarterly dividend of $1.86.

Snap-on has increased its dividend payment by an average of 14.6% per year over the last three years and has increased its dividend annually for the last 14 consecutive years. Snap-on has a dividend payout ratio of 36.9% meaning its dividend is sufficiently covered by earnings. Equities analysts expect Snap-on to earn $20.01 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 37.2%.

Snap-on Stock Performance

SNA opened at $359.27 on Friday. The business has a fifty day simple moving average of $301.16 and a 200 day simple moving average of $281.97. The company has a market capitalization of $18.86 billion, a PE ratio of 18.49, a price-to-earnings-growth ratio of 2.34 and a beta of 0.96. Snap-on has a 1 year low of $252.98 and a 1 year high of $360.41. The company has a debt-to-equity ratio of 0.22, a current ratio of 4.18 and a quick ratio of 3.14.

Snap-on (NYSE:SNA) last released its quarterly earnings results on Thursday, October 17th. The company reported $4.70 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.58 by $0.12. The business had revenue of $1.15 billion during the quarter, compared to the consensus estimate of $1.16 billion. Snap-on had a return on equity of 19.44% and a net margin of 22.13%. Research analysts expect that Snap-on will post 19.05 EPS for the current year.

Wall Street Analyst Weigh In

A number of research firms have recently weighed in on SNA. Bank of America upped their target price on Snap-on from $255.00 to $280.00 and gave the company an “underperform” rating in a research report on Friday, October 18th. Barrington Research upped their target price on Snap-on from $325.00 to $350.00 and gave the company an “outperform” rating in a research report on Thursday, October 17th. Robert W. Baird upped their target price on Snap-on from $290.00 to $347.00 and gave the company a “neutral” rating in a research report on Friday, October 18th. Tigress Financial upped their target price on Snap-on from $336.00 to $385.00 and gave the company a “buy” rating in a research report on Friday, October 25th. Finally, Roth Mkm upped their target price on Snap-on from $324.00 to $365.00 and gave the company a “buy” rating in a research report on Tuesday, October 22nd. One investment analyst has rated the stock with a sell rating, one has assigned a hold rating and three have issued a buy rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Hold” and an average target price of $345.40.

Insider Activity at Snap-on

In other Snap-on news, CEO Nicholas T. Pinchuk sold 24,145 shares of the business’s stock in a transaction dated Monday, August 12th. The stock was sold at an average price of $268.95, for a total transaction of $6,493,797.75. Following the completion of the transaction, the chief executive officer now owns 759,019 shares of the company’s stock, valued at approximately $204,138,160.05. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In related news, CFO Aldo John Pagliari sold 4,473 shares of the business’s stock in a transaction on Thursday, August 22nd. The stock was sold at an average price of $278.74, for a total transaction of $1,246,804.02. Following the sale, the chief financial officer now owns 99,244 shares in the company, valued at $27,663,272.56. The trade was a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CEO Nicholas T. Pinchuk sold 24,145 shares of the stock in a transaction dated Monday, August 12th. The shares were sold at an average price of $268.95, for a total value of $6,493,797.75. Following the completion of the transaction, the chief executive officer now owns 759,019 shares of the company’s stock, valued at $204,138,160.05. This represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 50,335 shares of company stock valued at $14,706,082 over the last ninety days. 4.10% of the stock is owned by corporate insiders.

Snap-on announced that its board has initiated a stock buyback plan on Thursday, August 8th that permits the company to repurchase $500.00 million in shares. This repurchase authorization permits the company to purchase up to 3.5% of its stock through open market purchases. Stock repurchase plans are often a sign that the company’s board of directors believes its stock is undervalued.

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.