TechnipFMC (NYSE:FTI) to Buyback $1.00 billion in Shares

TechnipFMC (NYSE:FTI) declared that its board has initiated a stock buyback program on Wednesday, October 23rd, RTT News reports. The company plans to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the oil and gas company to repurchase up to 9.2% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company’s leadership believes its shares are undervalued.

TechnipFMC Stock Performance

FTI stock opened at $25.86 on Friday. The firm has a market cap of $11.14 billion, a PE ratio of 55.02 and a beta of 1.50. The business’s 50-day moving average price is $26.14 and its two-hundred day moving average price is $26.18. TechnipFMC has a 1-year low of $18.33 and a 1-year high of $29.85. The company has a current ratio of 1.10, a quick ratio of 0.84 and a debt-to-equity ratio of 0.23.

TechnipFMC (NYSE:FTI) last issued its quarterly earnings results on Thursday, July 25th. The oil and gas company reported $0.43 EPS for the quarter, beating analysts’ consensus estimates of $0.31 by $0.12. The company had revenue of $2.33 billion for the quarter, compared to analyst estimates of $2.23 billion. TechnipFMC had a return on equity of 14.36% and a net margin of 5.72%. The company’s quarterly revenue was up 17.9% compared to the same quarter last year. During the same period in the previous year, the company posted $0.10 earnings per share. As a group, research analysts forecast that TechnipFMC will post 1.37 earnings per share for the current year.

TechnipFMC Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, December 4th. Stockholders of record on Tuesday, November 19th will be issued a $0.05 dividend. The ex-dividend date is Tuesday, November 19th. This represents a $0.20 dividend on an annualized basis and a dividend yield of 0.77%. TechnipFMC’s dividend payout ratio (DPR) is 42.55%.

Analysts Set New Price Targets

Several research firms have recently issued reports on FTI. Susquehanna raised their price target on TechnipFMC from $34.00 to $35.00 and gave the stock a “positive” rating in a research report on Friday, July 26th. StockNews.com upgraded TechnipFMC from a “hold” rating to a “buy” rating in a research report on Monday. Bank of America raised their price target on TechnipFMC from $30.00 to $31.00 and gave the stock a “buy” rating in a research report on Monday, October 14th. BMO Capital Markets raised their price target on TechnipFMC from $32.00 to $33.00 and gave the stock a “market perform” rating in a research report on Thursday, October 10th. Finally, Citigroup lifted their target price on TechnipFMC from $31.00 to $32.00 and gave the stock a “buy” rating in a report on Wednesday, July 10th. Three research analysts have rated the stock with a hold rating and nine have given a buy rating to the company. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $30.74.

About TechnipFMC

TechnipFMC plc engages in the energy projects, technologies, and systems and services businesses in Europe, Central Asia, North America, Latin America, the Asia Pacific, Africa, the Middle East, and internationally. It operates through two segments: Subsea and Surface Technologies. The Subsea segment engages in the design, engineering, procurement, manufacturing, fabrication, installation, and life of field services for subsea systems, subsea field infrastructure, and subsea pipe systems used in oil and gas production and transportation.