KAR Auction Services Inc (NYSE:KAR) declared a quarterly dividend on Wednesday, August 8th, Wall Street Journal reports. Investors of record on Thursday, September 20th will be paid a dividend of 0.35 per share by the specialty retailer on Wednesday, October 3rd. This represents a $1.40 dividend on an annualized basis and a yield of 2.30%. The ex-dividend date is Wednesday, September 19th.
KAR Auction Services has increased its dividend by an average of 8.6% annually over the last three years and has raised its dividend annually for the last 5 consecutive years. KAR Auction Services has a dividend payout ratio of 46.7% indicating that its dividend is sufficiently covered by earnings. Equities research analysts expect KAR Auction Services to earn $3.32 per share next year, which means the company should continue to be able to cover its $1.40 annual dividend with an expected future payout ratio of 42.2%.
KAR Auction Services stock traded up $0.15 during mid-day trading on Wednesday, reaching $60.84. The stock had a trading volume of 1,199,789 shares, compared to its average volume of 959,308. The stock has a market cap of $8.05 billion, a price-to-earnings ratio of 24.34, a PEG ratio of 1.64 and a beta of 1.06. KAR Auction Services has a one year low of $42.03 and a one year high of $61.90. The company has a debt-to-equity ratio of 1.75, a current ratio of 1.30 and a quick ratio of 1.30.
KAR Auction Services (NYSE:KAR) last announced its quarterly earnings results on Tuesday, August 7th. The specialty retailer reported $0.82 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $0.80 by $0.02. The company had revenue of $956.60 million for the quarter, compared to analysts’ expectations of $923.01 million. KAR Auction Services had a net margin of 10.81% and a return on equity of 24.93%. equities analysts expect that KAR Auction Services will post 3 EPS for the current fiscal year.
A number of equities analysts recently issued reports on KAR shares. Guggenheim started coverage on shares of KAR Auction Services in a research note on Tuesday, April 17th. They issued a “neutral” rating on the stock. ValuEngine cut shares of KAR Auction Services from a “buy” rating to a “hold” rating in a research note on Saturday, June 2nd. Zacks Investment Research cut shares of KAR Auction Services from a “buy” rating to a “hold” rating in a research note on Thursday, May 3rd. Finally, Barrington Research reiterated a “buy” rating on shares of KAR Auction Services in a research note on Monday, May 14th. Two research analysts have rated the stock with a hold rating and nine have assigned a buy rating to the company. KAR Auction Services presently has a consensus rating of “Buy” and a consensus price target of $59.56.
In other KAR Auction Services news, insider Rebecca C. Polak sold 44,240 shares of the business’s stock in a transaction dated Monday, June 18th. The stock was sold at an average price of $55.05, for a total value of $2,435,412.00. Following the completion of the transaction, the insider now owns 90,630 shares of the company’s stock, valued at approximately $4,989,181.50. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, COO Donald S. Gottwald sold 10,000 shares of the business’s stock in a transaction dated Tuesday, May 15th. The stock was sold at an average price of $53.39, for a total value of $533,900.00. The disclosure for this sale can be found here. In the last three months, insiders sold 167,018 shares of company stock valued at $9,472,886. 1.29% of the stock is owned by insiders.
KAR Auction Services Company Profile
KAR Auction Services, Inc, together with its subsidiaries, provides used car auction and salvage auction services in the United States, Canada, Mexico, and the United Kingdom. The company operates through three segments: ADESA Auctions, IAA, and AFC. The ADESA Auctions segment offers whole car auctions and related services to the vehicle remarketing industry through online auctions and auction facilities.
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