Holly Energy Partners, L.P. (NYSE:HEP) to Issue $0.35 Quarterly Dividend

Holly Energy Partners, L.P. (NYSE:HEP – Get Rating) declared a quarterly dividend on Friday, January 20th, Wall Street Journal reports. Shareholders of record on Monday, January 30th will be paid a dividend of 0.35 per share by the pipeline company on Monday, February 13th. This represents a $1.40 annualized dividend and a dividend yield of 7.12%. The ex-dividend date of this dividend is Friday, January 27th.

Holly Energy Partners has decreased its dividend payment by an average of 19.5% per year over the last three years. Holly Energy Partners has a dividend payout ratio of 68.6% indicating that its dividend is sufficiently covered by earnings. Analysts expect Holly Energy Partners to earn $2.10 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 66.7%.

Holly Energy Partners Stock Performance

Shares of HEP opened at $19.65 on Wednesday. Holly Energy Partners has a one year low of $15.12 and a one year high of $20.00. The company has a 50-day moving average of $18.59 and a two-hundred day moving average of $18.01. The stock has a market cap of $2.48 billion, a price-to-earnings ratio of 11.84 and a beta of 0.89. The company has a debt-to-equity ratio of 1.83, a current ratio of 1.22 and a quick ratio of 1.22.

Holly Energy Partners (NYSE:HEP – Get Rating) last announced its earnings results on Monday, November 7th. The pipeline company reported $0.33 EPS for the quarter, missing the consensus estimate of $0.49 by ($0.16). Holly Energy Partners had a return on equity of 23.54% and a net margin of 37.05%. The firm had revenue of $149.00 million during the quarter, compared to analyst estimates of $139.69 million. During the same quarter in the previous year, the business earned $0.46 earnings per share. The business’s quarterly revenue was up 21.5% compared to the same quarter last year. On average, equities research analysts expect that Holly Energy Partners will post 1.73 earnings per share for the current year.

Analysts Set New Price Targets

A number of analysts have recently issued reports on HEP shares. Barclays increased their price target on shares of Holly Energy Partners from $17.00 to $18.00 in a research report on Tuesday, January 10th. Raymond James increased their price target on shares of Holly Energy Partners from $21.00 to $22.00 and gave the stock an “outperform” rating in a research report on Monday. Citigroup started coverage on shares of Holly Energy Partners in a research report on Thursday, December 8th. They issued a “neutral” rating and a $19.00 price target for the company. Finally, StockNews.com started coverage on shares of Holly Energy Partners in a research report on Wednesday, October 12th. They issued a “hold” rating for the company.

Hedge Funds Weigh In On Holly Energy Partners

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. BNP Paribas Arbitrage SNC raised its position in Holly Energy Partners by 246.9% during the third quarter. BNP Paribas Arbitrage SNC now owns 1,797 shares of the pipeline company’s stock valued at $29,000 after acquiring an additional 1,279 shares in the last quarter. Credit Suisse AG bought a new position in Holly Energy Partners during the second quarter valued at approximately $77,000. Neuberger Berman Group LLC bought a new position in Holly Energy Partners during the third quarter valued at approximately $197,000. Jane Street Group LLC bought a new position in Holly Energy Partners during the second quarter valued at approximately $327,000. Finally, Captrust Financial Advisors raised its position in Holly Energy Partners by 5.1% during the second quarter. Captrust Financial Advisors now owns 20,600 shares of the pipeline company’s stock valued at $330,000 after acquiring an additional 1,000 shares in the last quarter. Institutional investors own 25.30% of the company’s stock.

Holly Energy Partners Company Profile

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Holly Energy Partners, L.P. provides petroleum product and crude oil transportation, terminalling, storage, and throughput services to the petroleum industry in the United States. It operates through two segments, Pipelines and Terminals, and Refinery Processing Unit. The company operates refined product pipelines that transport conventional gasolines, reformulated gasolines, and low-octane gasolines for oxygenate blending, as well as sulfur diesel and jet fuels, and liquefied petroleum gases; intermediate product pipelines that transport intermediate feedstocks and crude oils; and oil trunk, gathering, and connection pipelines that delivers crude oil.