23:08:38 EDT Sun 19 May 2024
Enter Symbol
or Name
USA
CA



PrairieSky Royalty Ltd
Symbol PSK
Shares Issued 238,803,323
Close 2022-10-26 C$ 20.95
Market Cap C$ 5,002,929,617
Recent Sedar Documents

Globe says Weekes liking PrairieSky's payout boost

2022-10-26 07:46 ET - In the News

The Globe and Mail reports in its Wednesday, Oct. 26, edition that iA Capital Markets analyst Matthew Weekes says the move by PrairieSky Royalty to double its quarterly dividend should "provide a signal to the market of [its] confidence in its high-margin business model and the outlook for drilling and leasing activity." The Globe's David Leeder writes in the Eye On Equities column that PrairieSky hiked its payout to 24 cents a share from 12 cents on Oct. 24. Mr. Weekes says in a note: "The decision reflects strong organic production growth over the past year, strong leasing and drilling tailwinds, and an accelerated pace of debt reduction following the Heritage acquisition compared to initial expectations. The revised annual 96 cents per share payment will yield 4.7 per cent on the current price and we estimate is sustainable at low commodity prices, with a payout ratio of 50 per cent in 2023 based on our commodity assumptions, leaving room for incremental dividend increases on an annual basis, continued near-term debt reduction, and flexibility for royalty acquisitions or share buybacks." With an unchanged "buy" call, Mr. Weekes hiked his share target to $24 from $23, 54 cents under the consensus.

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