Everyone seems to be looking for yields these days as interest rates remain near all time lows and the bond market certainly hasn’t been an income generator as of late. One such company which offers yield is American Midstream Partners LP (NYSE:AMID), but with losses piling up, and the oil industry in quite a mess, investors likely expected a reduction to the company’s $0.4725 quarterly dividend, which equated to a yield of just over 28% as of this morning.
Well, investors of American Midstream Partners LP (NYSE:AMID) got some good news today as the company announced that they will be maintaining their dividend for the time being. The distribution will be paid on February 12 to shareholders of record as of February 3, 2016. While we don’t know how long this rate will persist with oil prices being so low, this seems to have been enough for the stock price to rise over 19% on the day.
The stock is currently trading higher by 19.03% or $1.06 following the positive news, hitting $6.63 per share at the time of us publishing this article. About 755,324 shares traded hands or up 17.09% from the average. AMID has declined 67.06% since June 18, 2015 and is currently downtrending. It has underperformed the S&P500 by 58.19%.
From a total of 4 analysts covering American Midstream Partners LP (NYSE:AMID) stock, 0 rate it a “Buy”, 0 a “Sell”, and 4 a “Hold”. This means that 0 of the ratings are positive. The highest target price is $13 while the lowest target price is $9. The mean of all analyst targets is $10.67 which is 60.94% above today’s ($6.63) stock price. American Midstream Partners LP was the topic of 6 analyst reports since August 12, 2015 according to the firm StockzIntelligence Inc. Wells Fargo downgraded shares on January 15 to a “Market Perform” rating. Citigroup initiated AMID stock in a recent report from November 19 with a “Neutral” rating.
The institutional sentiment increased to 1.2 in Q2 2015. It’s up 0.51, from 0.69 in 2015Q2. The ratio is positive, as 5 funds sold all their American Midstream Partners LP shares they owned while 10 reduced their positions. 6 funds bought stakes while 12 increased their total positions. Institutions now own 13.34 million shares which is 42.48% more than the previous share count of 9.36 million in 2015Q2.
Price Michael F holds 0.58% of its total portfolio in American Midstream Partners LP, equating to 350,000 shares. Salient Capital Advisors Llc owns 1.28 million shares representing 0.35% of their total US portfolio. Moreover, Spirit Of America Management Corp Ny has 0.17% of their total portfolio invested in the company, equating to 72,279 shares. The Switzerland-based Starr International Co Inc has a total of 0.11% of their portfolio invested in the stock. Hilton Capital Management Llc, a New York-based fund reported 20,550 shares owned.
Since September 15, 2015, the stock had 3 buys, and 0 sales for a total of $863,088 in net activity. Mathews William B. bought 22,104 shares worth $249,996. Sullivan Kevin J. bought 10,000 shares worth $113,100. Bergstrom Stephen W bought 44,208 shares worth $499,992.
American Midstream Partners, LP owns, operates, develops and acquires a diversified portfolio of midstream energy assets. The company has a market cap of $171.02 million. The Firm gathers, treats, processes and transports natural gas, fractionates natural gas liquids and stores specialty chemical products through its ownership and operation of 12 gathering systems, five processing facilities, three fractionation facilities, three interstate pipelines, five intrastate pipelines and four marine terminal sites. It currently has negative earnings. The Firm operates through three divisions: Gathering and Processing, Transmission and Terminals.