WILLIAMSVILLE, N.Y. - The Board of Directors of National Fuel Gas Company (NYSE: NYSE:NFG) has declared a quarterly dividend of 51.5 cents per share on the company's common stock. This dividend is slated for payment on October 15, 2024, to shareholders who are on record as of September 30, 2024. Currently, National Fuel has around 91.1 million shares of common stock issued and no preferred stock outstanding.
National Fuel Gas Company, a diversified energy firm based in Western New York, operates a comprehensive suite of natural gas assets. These operations span across four primary business segments, which include Exploration & Production, Pipeline & Storage, Gathering, and Utility. The company's strategic management of these assets is designed to deliver consistent energy supplies to its customers while fostering sustainable growth.
The announcement of the dividend follows National Fuel's established tradition of providing returns to its shareholders. The dividend reflects the company's financial health and its commitment to sharing profits with its investors. The payment maintains the company's record of consistent dividend distribution, which is an important aspect for income-focused shareholders.
Investors and market watchers often view regular dividends as an indication of a company's stability and maturity, and they can signal confidence in the company's future earnings. Dividends are also a key component of total shareholder return, complementing potential capital gains from stock price increases.
As an integrated energy company, National Fuel's operations encompass a range of activities from the production of natural gas to its transportation, storage, and eventual distribution to consumers. The company's comprehensive approach allows for a degree of control over the entire supply chain, which can be advantageous in managing costs and ensuring reliability of service.
This dividend announcement is based on a press release statement issued by National Fuel Gas Company. It is an important piece of information for investors and analysts who track the company's financial performance and strategic direction. National Fuel's continued commitment to shareholder returns remains a significant aspect of its corporate policy.
In other recent news, National Fuel Gas Company (NFG) reported third-quarter fiscal 2024 earnings that aligned with market expectations. The company also provided a positive outlook for fiscal 2025, projecting a nearly 20% increase in earnings per share. NFG anticipates growth across all major operating segments, particularly within its regulated utility and pipeline businesses, where an average annual growth of 7% to 10% in earnings per share is expected over the next three years.
In addition to these projections, NFG revealed plans for a $200 million share buyback program by the end of the next fiscal year and is actively exploring merger and acquisition opportunities to strengthen its regulated assets. Despite near-term challenges due to high natural gas storages and higher production, the company remains optimistic about long-term recovery of natural gas prices, driven by demand from LNG projects and power generation.
These are recent developments that highlight the company's strategic approach to growth and efficiency. The company's focus on operational excellence, cost management, and strategic hedging positions it well to navigate current market dynamics and capitalize on future opportunities in the energy sector.
InvestingPro Insights
The latest dividend declaration by National Fuel Gas Company (NYSE: NFG) underscores its long-standing reputation for providing shareholder value. With a market capitalization of approximately $5.47 billion and a strong dividend yield of 3.48%, the company is a noteworthy pick for income investors. Notably, National Fuel has not only maintained but also raised its dividend for 54 consecutive years, showcasing its commitment to consistent shareholder returns.
InvestingPro data reveals that National Fuel trades with a price-to-earnings (P/E) ratio of 17.18, which is adjusted to 11.59 when considering the last twelve months as of Q3 2024. This suggests that the stock is valued reasonably in relation to its earnings. Moreover, the company's gross profit margin stands at an impressive 65.79%, indicating strong profitability from its operations. Despite recent downward revisions in earnings by analysts for the upcoming period, National Fuel is expected to remain profitable this year, as evidenced by its performance over the last twelve months.
One of the InvestingPro Tips for National Fuel highlights that the stock generally trades with low price volatility, which may appeal to investors seeking stability in their portfolios. Additionally, the company is trading near its 52-week high, with its price at 98.29% of the peak, reflecting positive investor sentiment. For those interested in exploring further, InvestingPro offers additional tips and analysis on National Fuel, which can be found at https://www.investing.com/pro/NFG.
Investors looking to delve deeper into National Fuel's financials and future prospects can access a comprehensive list of InvestingPro Tips, with more detailed insights available on the platform.
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