6 big dividends: Speculation swirls on Intel payout cut | Pro Recap

© REUTERS

By Davit Kirakosyan

Here is your daily Pro Recap of the biggest dividend headlines you may have missed on InvestingPro. Start your free 7-day trial to get this news first.

Rumors of a payout cut at Intel

There are rumors on Wall Street that Intel (NASDAQ:INTC) will have to cut its dividend, according to a report by Bloomberg on Wednesday.

The report states that Intel, with its dividend yield of over 5% being the highest among large technology companies, will be pushed to prioritize significant spending to recover its manufacturing leadership and cut shareholder payouts, which would further weigh on its tumbling stock.

Intel reported disappointing Q4 results, falling short of top and bottom-line expectations as well as guidance estimates. The company did not offer a full-year forecast due to the "uncertainty in the current environment."

Despite the importance of dividend payouts to Intel, CFO Dave Zinsner did not rule out the possibility of a reduction when asked about the dividend on the latest earnings call.

39% hike at Olympic Steel

Olympic Steel (NASDAQ:ZEUS) hiked its dividend by 38.9% to $0.125 per share, or $0.5 annualized, for an annual yield of 1.1%. The dividend will be payable on March 15, 2023, to stockholders of record on March 1, 2023, with an ex-dividend date of February 28, 2023.

Shares gained nearly 5% after-hours yesterday.

4 more dividend hikes

Radian Group (NYSE:RDN) hiked its dividend by 12.5% to $0.225 per share, or $0.9 annualized, for an annual yield of 4%. The dividend will be payable on March 15, 2023, to stockholders of record on February 27, 2023, with an ex-dividend date of February 24, 2023.

Nutrien (NYSE:NTR) hiked its dividend by 10.4% to $0.53 per share, or $2.12 annualized, for an annual yield of 2.8%. The dividend will be payable on April 13, 2023, to stockholders of record on March 31, 2023, with an ex-dividend date of March 30, 2023.

The Board also approved the purchase of up to 5% of Nutrien’s common shares over a 12-month period via a normal course issuer bid (NCIB), subject to acceptance by the Toronto Stock Exchange.

Shares were trading nearly 2% lower premarket today after the company reported its Q4 results, with EPS missing the consensus estimates, while revenues came in better than expected.

CSX Corp (NASDAQ:CSX) hiked its dividend by 10% to $0.11 per share, or $0.44 annualized, for an annual yield of 1.4%. The dividend will be payable on March 15, 2023, to stockholders of record on February 28, 2023, with an ex-dividend date of February 27, 2023.

Shares rose more than 3% premarket today.

Wabtec (NYSE:WAB) hiked its dividend by 13.3% to $0.17 per share, or $0.68 annualized, for an annual yield of 0.7%. The dividend will be payable on March 10, 2023, to stockholders of record on February 24, 2023, with an ex-dividend date of February 23, 2023.

The company’s Board of Directors also announced a $750 million share buyback reauthorization.

Shares rose more than 2% yesterday after the company reported better-than-expected Q4 results.