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Buckle sets $0.35 quarterly dividend for shareholders

EditorAhmed Abdulazez Abdulkadir
Published 05/06/2024, 02:36 am
BKE
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KEARNEY, Neb. - The Buckle, Inc. (NYSE: NYSE:BKE), a specialty retailer known for its denim and apparel offerings, has declared a quarterly dividend of $0.35 per share. The announcement was made following a Board of Directors meeting on Monday. Shareholders on record by the close of business on July 12, 2024, will be eligible for the dividend, which is scheduled for disbursement on July 26, 2024.

The company, which is based in Kearney, Nebraska, operates 440 retail stores across 42 states and is recognized for providing a variety of high-quality, on-trend clothing, accessories, and footwear. Buckle emphasizes its commitment to exceptional service and style, aiming to create memorable shopping experiences for its customers.

This dividend declaration is a part of the company's ongoing financial strategies and reflects its performance and outlook. Dividends are typically paid out to shareholders as a distribution of profits, and they can serve as an indicator of a company's financial health and stability.

Investors often view regular dividends as a sign of a company's ability to generate consistent cash flow, and they can be particularly attractive to income-focused investors. The specific amount of the dividend, $0.35 per share, provides shareholders with tangible returns on their investment in the company.

Buckle's financial activities, including this dividend declaration, are subject to various factors that may impact the company's future performance and financial results. These factors, as acknowledged by the company in its safe harbor statement, may include changes in market conditions and other risks described in the company's filings with the Securities and Exchange Commission.

The information reported is based on a press release statement from The Buckle, Inc.

In other recent news, Buckle, Inc. has been facing significant financial headwinds. The company's first-quarter earnings and revenue fell short of Wall Street expectations, with an earnings per share (EPS) of $0.69, compared to the anticipated $0.75, and a revenue of $262.48 million against the projected $264.16 million. This downturn was accompanied by a 7.2% decrease in net sales compared to the same quarter last year.

Adding to these developments, UBS, a financial institution, has reaffirmed its sell rating on Buckle, maintaining a price target of $32.00. UBS analysts predict a continuation of Buckle's negative sales trend through fiscal year 2024, leading to increased fixed cost deleverage and margin pressures. They also project a 15% year-over-year decrease in EPS for fiscal year 2024, following a 14% drop in the previous fiscal year.

InvestingPro Insights

As The Buckle, Inc. (NYSE: BKE) continues to reward its shareholders with a consistent dividend, the InvestingPro platform provides further insights into the company's financial health and performance. The retailer, known for its range of denim and casual apparel, has been maintaining dividend payments for an impressive 22 consecutive years, underscoring its commitment to shareholder returns. This is a testament to Buckle's financial strategies and robust cash flow management.

From a valuation standpoint, Buckle's market capitalization stands at $1.93 billion, reflecting its scale in the specialty retail sector. The company is trading at a Price/Earnings (P/E) ratio of 8.7, which is adjusted to 9.13 for the last twelve months as of Q1 2025, indicating a potentially attractive valuation compared to industry peers. Additionally, the Price/Book ratio for the same period is 4.46, which, while on the higher side, could be justified by the company's solid gross profit margins of 58.83%.

InvestingPro Tips highlight Buckle's ability to operate with a moderate level of debt and its impressive gross profit margins, which further solidify its position in the market. Moreover, the company has been profitable over the last twelve months and analysts predict profitability to continue this year. For investors looking to delve deeper into Buckle's financial metrics and future earnings predictions, InvestingPro offers a comprehensive list of tips. With an additional 29 tips available on the platform, subscribers can gain a more nuanced understanding of the company's potential. To access these insights and more, use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.

While the company has faced a slight decline in revenue growth, with a -5.93% change over the last twelve months as of Q1 2025, Buckle's significant dividend yield of 10.11% as of the previous year and consistent dividend payments may continue to attract income-focused investors. The InvestingPro Fair Value estimate of $45.64 suggests that the stock may have room to grow, offering a potential opportunity for investors.

Overall, Buckle's financial health, attractive dividend yield, and strong return over the last five years present a compelling case for both current shareholders and potential investors. The upcoming dividend payment set for July 26, 2024, further cements Buckle's reputation as a reliable dividend-paying stock.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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