Back to top

Analyst Blog

Board of directors of Noble Energy Inc. (NBL - Analyst Report) announced a 12% hike in its quarterly dividend to 28 cents per share from the previous 25 cents. The dividend will be paid to shareholders of record on May 6, 2013. The board also approved a two-for-one stock split for the purpose of luring new investors to the stock.

The stock trading at the split-adjusted price will be initiated from May 29, 2013. The company will allocate the additional stakes on May 28, 2013 to shareholders of record at the close of business on May 14, 2013.  

Noble Energy is known for providing substantial dividend raise to investors and has consistently increased it for the last three years. In Oct 2012, the company increased dividend by 13.6%.

Both these strategic moves will strengthen existing investor confidence. The stock split will benefit stockholders as it will provide an opportunity to sell their holdings to a wider base of investors.

The company’s solid financial position and positive results from its African and Eastern Mediterranean operations prompted the company to increase its dividend level. Noble Energy’s cash flow at the end of 2012 was $2,933.0 million, up 35.2% from 2011. It was also successful in reducing its debt level by 8.3% in 2012 from that of 2011.

Noble Energy’s Tamar natural gas field has come online which will offer handsome returns to the company. Further, its domestic prospects like the liquefied natural gas facility in Colorado and high quality exploration ventures in Nevada also looks promising. Currently it carries a Zacks Rank #3 (Hold).

Other oil and gas stocks that warrant a look are Quicksilver Resources Inc. (KWK - Analyst Report), EPL Oil & Gas Inc. and Range Resource Corporation (RRC - Analyst Report). All the above presently hold a Zacks Rank #1 (Strong Buy).

Based in Houston TX, Noble Energy, an independent energy company, engages in the acquisition, exploration, development, production, and marketing of crude oil, natural gas, and natural gas liquids in the United States and worldwide.

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
UNITED THER… UTHR 117.83 +28.51%
TRIQUINT SE… TQNT 20.67 +6.52%
RF MICRO DE… RFMD 12.47 +6.04%
VASCO DATA… VDSI 14.77 +4.68%
BANCO DO BR… BDORY 15.53 +3.95%