Ecopetrol S.A. (EC) to Issue — Dividend of $0.83 on April 10th

Ecopetrol S.A. (NYSE:EC) announced a — dividend on Tuesday, March 26th, Wall Street Journal reports. Investors of record on Friday, April 5th will be given a dividend of 0.8254 per share by the oil and gas company on Wednesday, April 10th. This represents a dividend yield of 20.4%. The ex-dividend date is Thursday, April 4th. This is a positive change from Ecopetrol’s previous — dividend of $0.15.

Ecopetrol has increased its dividend payment by an average of 19.4% annually over the last three years. Ecopetrol has a payout ratio of 160.2% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Analysts expect Ecopetrol to earn $2.34 per share next year, which means the company may not be able to cover its $3.30 annual dividend with an expected future payout ratio of 141.0%.

Ecopetrol Trading Up 3.2 %

EC stock opened at $11.33 on Thursday. The company has a quick ratio of 1.24, a current ratio of 1.47 and a debt-to-equity ratio of 0.90. Ecopetrol has a fifty-two week low of $8.59 and a fifty-two week high of $13.14. The firm’s 50-day simple moving average is $11.48 and its 200 day simple moving average is $11.91.

Wall Street Analysts Forecast Growth

Several equities analysts have commented on EC shares. The Goldman Sachs Group lowered their target price on shares of Ecopetrol from $12.00 to $10.30 and set a “neutral” rating on the stock in a research note on Thursday, March 21st. JPMorgan Chase & Co. reduced their price objective on shares of Ecopetrol from $12.50 to $12.00 and set a “neutral” rating for the company in a research report on Tuesday, February 20th. Finally, Morgan Stanley cut shares of Ecopetrol from an “equal weight” rating to an “underweight” rating and decreased their target price for the stock from $11.00 to $8.50 in a report on Monday, March 4th. Two equities research analysts have rated the stock with a sell rating and five have issued a hold rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus price target of $11.00.

Hedge Funds Weigh In On Ecopetrol

A number of institutional investors and hedge funds have recently bought and sold shares of EC. Penserra Capital Management LLC acquired a new stake in Ecopetrol during the first quarter worth $47,000. Sunbelt Securities Inc. acquired a new stake in Ecopetrol during the first quarter worth $57,000. Tower Research Capital LLC TRC boosted its stake in Ecopetrol by 2,285.7% during the second quarter. Tower Research Capital LLC TRC now owns 7,491 shares of the oil and gas company’s stock worth $77,000 after buying an additional 7,177 shares in the last quarter. US Bancorp DE boosted its stake in Ecopetrol by 250.3% during the fourth quarter. US Bancorp DE now owns 8,011 shares of the oil and gas company’s stock worth $95,000 after buying an additional 5,724 shares in the last quarter. Finally, Royal Bank of Canada boosted its stake in Ecopetrol by 165.8% during the second quarter. Royal Bank of Canada now owns 10,208 shares of the oil and gas company’s stock worth $104,000 after buying an additional 6,368 shares in the last quarter.

About Ecopetrol

Ecopetrol SA operates as an integrated energy company. The company operates through four segments: Exploration and Production; Transport and Logistics; Refining, Petrochemical and Biofuels; and Electric Power Transmission and Toll Roads Concessions. It engages in the exploration and production of oil and gas; transportation of crude oil, motor fuels, fuel oil, and other refined products, including diesel, jet, and biofuels; processing and refining crude oil; distribution of natural gas and LPG; sale of refined and petrochemical products; supplying of electric power transmission services; design, development, construction, operation, and maintenance of road and energy infrastructure projects; and supplying of information technology and telecommunications services.