Beam, Recently-Spun Off Booze Distiller, Has Room to Up its Dividend
Beam Inc. (BEAM) gave dividend junkies another reason to celebrate Thursday when it announced it would be dispensing another quarterly dividend (20.5 cents a share) to shareholders, bringing its total dividend payout in its first year as a publicly traded company to 82 cents a share.
Beam, the year-old spin-off formerly known as Fortune Brands, is the world's fourth-largest premium spirits company and the largest U.S.-based spirits company and has returned a healthy dividend to shareholders in each quarter since its debut. Its brands include the likes of Maker's Mark, Canadian Club and Skinnygirl Cocktails. In August, it reported second-quarter earnings of $100.3 million, or 62 cents a share, on net sales (excluding excise taxes) of $595 million, up 4.4% from the year-ago quarter.
Here's a closer look at its dividend prowess so far this year:
Beam’s dividend yield isn’t anything to write home about. Yet. Beam's payout ratio of 0.1344 suggests that this established, household brand still has plenty to offer dividend-seeking investors.
Despite delivering such strong dividends and earnings this year, six of the 14 analyst following the stock rate it a "hold," five are calling it either a "buy" or "strong buy" and three have assigned it an "underperform" rating.