HONOLULU - Alexander & Baldwin, Inc. (NYSE:ALEX), a prominent Hawai'i-based commercial real estate company, has declared a dividend for the third quarter of 2024. The company's Board of Directors has approved a payment of $0.2225 per share, which is scheduled to be distributed to shareholders on October 7, 2024. To be eligible for this dividend, shareholders must be on record as of the close of business on September 20, 2024.
Alexander & Baldwin, known for its extensive portfolio in Hawai'i, is recognized as the largest owner of grocery-anchored, neighborhood shopping centers in the state. With a diverse array of properties that include 22 retail centers, 13 industrial assets, and four office properties, the company manages approximately 3.9 million square feet of commercial space. Additionally, A&B holds 142.0 acres of ground lease assets.
The company's history spans over 154 years, during which it has been integral to the development of various sectors in Hawai'i, including agriculture, transportation, tourism, construction, and both residential and commercial real estate. As the only publicly-traded real estate investment trust (REIT) focusing exclusively on Hawai'i commercial real estate, A&B has a unique position in the market.
The announcement of the dividend comes as a continuation of the company's tradition of providing returns to its shareholders. Dividends are a way for companies to share profits with their investors, and they can be an indicator of a company's financial health and stability.
Investors and those interested in A&B's financial activities can access more information through the company's investor relations contact. This dividend declaration is based on a press release statement from Alexander & Baldwin, Inc. and reflects the company's ongoing commitment to its shareholders.
In other recent news, Alexander & Baldwin, a real estate investment trust focusing on Hawaiian properties, has been maintaining a steady pace in its transformation journey.
Piper Sandler has conferred a Neutral rating on the company, acknowledging the positive shift in investor sentiment towards its transformation into a dedicated Hawaiian REIT. The company has made significant strides by divesting from its former paving business, Grace, and progressing in the development of its historic sugar plantation lands.
These developments are recent and have allowed the company to pivot towards growth strategies, a move that has been well-received by institutional investors. Meanwhile, Alexander & Baldwin reported a robust Q1 performance, highlighting significant growth in Total Net Operating Income (NOI) and same-store NOI. The company also saw a substantial increase in land sales, exceeding their initial targets for the year, and raised their financial guidance for 2024.
In other company news, Alexander & Baldwin plans to sell the majority of its land holdings in 2025. The company has raised its 2024 Land operations FFO per share range and is actively pursuing external investment opportunities. Despite certain office properties possibly being impacted by tenant move-outs later in the year, the company remains optimistic about its internal growth initiatives.
InvestingPro Insights
Alexander & Baldwin, Inc. (NYSE:ALEX) has continued its trend of rewarding shareholders with its recent dividend announcement. Investors looking to delve deeper into the company's financials can find nuanced analytics and metrics on InvestingPro. The following insights are drawn from real-time data and InvestingPro Tips, offering a snapshot of ALEX's financial health and market performance as of the first quarter of 2024.
InvestingPro Data highlights a market capitalization of $1.32 billion, underlining the company's solid presence in the commercial real estate sector. With a P/E ratio that has adjusted to 23.29 from the last twelve months as of Q1 2024, ALEX demonstrates a valuation that may appeal to investors seeking growth at a reasonable price. Additionally, the company's PEG ratio stands at a notably low 0.15, suggesting that its earnings growth could be undervalued relative to its peers.
From an operational standpoint, Alexander & Baldwin boasts a strong gross profit margin of 51.21%, reflecting efficient management and a potentially robust pricing power within its niche market. This is reinforced by a healthy operating income margin of 36.37%, indicating that the company is effectively converting its revenues into profits.
InvestingPro Tips further enrich our understanding of ALEX's investment profile. Notably, the company has raised its dividend for three consecutive years, a testament to its commitment to shareholder returns and financial stability. Additionally, analysts predict ALEX will be profitable this year, which is corroborated by its performance over the last twelve months.
For those considering further analysis or investment, there are additional InvestingPro Tips available. These insights can help investors make informed decisions by offering deeper analysis on factors such as stock volatility, short-term liquidity, and return on assets. To explore these tips and more, visit https://www.investing.com/pro/ALEX and remember to use the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription. There are 8 more InvestingPro Tips available that could provide valuable context to ALEX's financial trajectory and market position.
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