NEW YORK (TheStreet) -- W.P. Carey (WPC) announced that its board of directors had raised its quarterly cash dividend to $0.895 per share, or an annual rate of $3.58. This will be the New York-based financing company's 52nd consecutive yield increase.
W.P. Carey finished trading down slightly Thursday. The company was down 0.03% at $62.06.
TheStreet Ratings team rates W P CAREY INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate W P CAREY INC (WPC) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its compelling growth in net income, good cash flow from operations, expanding profit margins and notable return on equity. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself."
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Real Estate Investment Trusts (REITs) industry. The net income increased by 48.7% when compared to the same quarter one year prior, rising from $15.48 million to $23.02 million.
- Net operating cash flow has increased to $61.58 million or 25.92% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of 8.73%.
- The gross profit margin for W P CAREY INC is currently very high, coming in at 78.13%. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of 18.79% trails the industry average.
- WPC, with its decline in revenue, underperformed when compared the industry average of 6.7%. Since the same quarter one year prior, revenues fell by 18.0%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share.
- W P CAREY INC has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. The company has suffered a declining pattern of earnings per share over the past two years. However, we anticipate this trend to reverse over the coming year. During the past fiscal year, W P CAREY INC reported lower earnings of $1.20 versus $2.03 in the prior year. This year, the market expects an improvement in earnings ($1.60 versus $1.20).
- You can view the full analysis from the report here: WPC Ratings Report