Anadarko Profits Triple in Fourth Quarter
shares are up more than 4% in early trading after the exploration and production company said profit rose three-fold to $824 million, or $1.79 a share, vs. $264 million, or 56 cents a share, a year ago.
The company missed EPS estimates by 2 cents as revenue rose 24% to $3.8 billion. Management reported its fourth-quarter production of crude, natural gas and natural gas liquids slipped about 2% to 52 million barrels of oil equivalent, but full-year production was up 5% compared with 2007.
We had removed shares of Anadarko from our "Recommended" list back on July 23, when the stock was trading at $62.84. The stock has a dividend yield of 1%, based on last night's closing stock price of $36.09. The stock has technical support in the $22 to $24 price range. If the shares can firm up here, we see overhead resistance around the $45 to $48 price levels. We would remain on the sidelines for now.
Anadarko Petroleum is not recommended at this time, holding a Dividend.com Rating of 3.0 out of 5 stars.
Plum Creek Shares Up Slightly on Fourth-Quarter Profit
Plum Creek Timber
are up more than 2% so far today after the company reported fourth-quarter profit of $95 million, or 57 cents a share, down from $118 million, or 68 cents a share, a year ago.
The company's revenue fell almost 10% to $461 million -- down from $504 million a year earlier. The company cited a decline in residential construction, and weak prices and demand for timber.
Going forward, management sees residential construction markets staying weak throughout most of 2009, and is expecting customers to remain extremely cautious.
We had removed shares of Plum Creek from our "Recommended" list back on Oct. 6, when the stock traded at $45.07. The company has a 5.43% dividend yield, based on last night's closing stock price of $30.96. The stock has technical support in the $27 to $30 price range. If that fails to hold, we could see the $21 area come into play. On the flipside, if the shares can rebound, we see overhead resistance around the $38 level.
Plum Creek Timber is not recommended at this time, holding a Dividend.com Rating of 3.4 out of 5 stars.
Dow Chemical Loses $1.55 Billion in Fourth Quarter, Worse Than Expected
shares are rebounding off of 52-week lows today after the company reported a loss of $1.68 per share or $1.55 billion in the three months ended Dec. 31. It had earned $472 million, or 49 cents per share, during the last quarter of 2007.
The company said revenue fell to $10.9 billion from $14.2 billion. Analysts had been looking for much higher revenue of $13.3 billion.
Management said it will continue to focus on aggressive cash generation and cost and capital control measures as it moves forward. There is no announcement on the company's current dividend payout at this time.
We removed shares of Dow from our "Recommended" list on Sept. 29, when the stock was trading at $33.97. The company has a 15.2% dividend yield, based on last night's closing stock price of $11.05. The ability for the company to continue this size of a dividend payout is a huge undertaking and we remain cautious in its ability to do so. We would continue to look elsewhere for better investment opportunities.
Dow Chemical is not recommended at this time, holding a Dividend.com Rating of 2.8 out of 5 stars.
Motorola Delivers Huge Loss, Suspends Dividend
shares are lower after the company announced a net loss of $3.6 billion, or $1.57 per share, compared with a profit of $100 million, or 4 cents a share, a year earlier.
The company's sales fell 26% from a year earlier to $7.14 billion, with Mobile device revenue falling 51% to $2.35 billion.
Management also announced the suspension of its dividend payouts in an effort to stem the bleeding from dwindling cash reserves.
We continue to warn investors about the dividend traps that are out there, and Motorola falls right under that category. The company has its hands full with the intense competition in its space and will be in survival mode at this point. We will no longer be rating this non-dividend paying stock.
Motorola does not currently pay a dividend.
Be sure to visit our complete recommended list of the Best Dividend Stocks as well as a detailed explanation of our ratings system.
At the time of publication, the author had no positions in stocks mentioned, although positions may change at any time.
Tom Reese and Paul Rubillo are senior editors of Dividend.com. Visit Dividend.com for more dividend stock ratings, picks, news, and analysis for long-term and income-seeking investors.