NetEase, Inc. (NASDAQ:NTES) to Issue Quarterly Dividend of $0.50

NetEase, Inc. (NASDAQ:NTES) announced a quarterly dividend on Thursday, November 16th, Zacks reports. Investors of record on Friday, December 1st will be given a dividend of 0.495 per share by the technology company on Friday, December 15th. This represents a $1.98 annualized dividend and a dividend yield of 1.76%. The ex-dividend date is Thursday, November 30th.

NetEase has increased its dividend by an average of 6.2% annually over the last three years and has raised its dividend annually for the last 1 consecutive years. NetEase has a payout ratio of 32.5% indicating that its dividend is sufficiently covered by earnings. Research analysts expect NetEase to earn $6.95 per share next year, which means the company should continue to be able to cover its $2.10 annual dividend with an expected future payout ratio of 30.2%.

NetEase Stock Performance

NetEase stock opened at $112.35 on Friday. The company has a debt-to-equity ratio of 0.03, a current ratio of 2.93 and a quick ratio of 2.91. NetEase has a 12 month low of $63.25 and a 12 month high of $116.33. The company has a fifty day moving average price of $104.79 and a two-hundred day moving average price of $99.89. The company has a market cap of $73.56 billion, a PE ratio of 20.17, a P/E/G ratio of 1.15 and a beta of 0.56.

NetEase (NASDAQ:NTES) last posted its quarterly earnings results on Thursday, November 16th. The technology company reported $13.30 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $10.87 by $2.43. NetEase had a net margin of 25.84% and a return on equity of 22.78%. The company had revenue of $27.27 billion for the quarter, compared to the consensus estimate of $27.26 billion. During the same period last year, the firm posted $1.43 EPS. The company’s revenue for the quarter was up 13.6% on a year-over-year basis. Research analysts expect that NetEase will post 6.26 earnings per share for the current year.

Wall Street Analysts Forecast Growth

A number of brokerages have commented on NTES. StockNews.com downgraded NetEase from a “strong-buy” rating to a “buy” rating in a research note on Tuesday. Bank of America boosted their price objective on NetEase from $128.00 to $135.00 and gave the company a “buy” rating in a research report on Friday, August 25th. Benchmark increased their target price on NetEase from $118.00 to $130.00 and gave the stock a “buy” rating in a research report on Friday, August 25th. JPMorgan Chase & Co. boosted their price target on shares of NetEase from $120.00 to $125.00 and gave the company an “overweight” rating in a report on Tuesday, August 29th. Finally, Citigroup dropped their price objective on shares of NetEase from $134.00 to $132.00 and set a “buy” rating on the stock in a report on Friday, August 25th. Seven research analysts have rated the stock with a buy rating, According to data from MarketBeat.com, the stock has an average rating of “Buy” and a consensus price target of $122.13.

Institutional Investors Weigh In On NetEase

A number of hedge funds and other institutional investors have recently modified their holdings of NTES. Pinpoint Asset Management Ltd bought a new position in NetEase during the 1st quarter valued at $42,000. First Capital Advisors Group LLC. acquired a new stake in shares of NetEase in the second quarter valued at $47,000. Atlas Capital Advisors LLC bought a new position in NetEase during the second quarter valued at about $58,000. Penserra Capital Management LLC grew its holdings in NetEase by 91.1% during the fourth quarter. Penserra Capital Management LLC now owns 837 shares of the technology company’s stock worth $60,000 after acquiring an additional 399 shares during the period. Finally, Ancora Advisors LLC raised its position in NetEase by 84.6% in the first quarter. Ancora Advisors LLC now owns 1,200 shares of the technology company’s stock worth $124,000 after acquiring an additional 550 shares in the last quarter. 11.78% of the stock is currently owned by institutional investors.

About NetEase

NetEase, Inc engages in online games, music streaming, online intelligent learning services, and internet content services businesses in China and internationally . The company operates through Games and Related Value-Added Services, Youdao, Cloud Music, and Innovative Businesses and Others segments.