LONDON, UK / ACCESSWIRE / May 10, 2018 / Active-Investors has a free review on American Campus Communities, Inc. (NYSE: ACC) following the Company's announcement that it will begin trading ex-dividend on May 11, 2018. To capture the dividend payout, investors must purchase the stock a day prior to the ex-dividend date that is by latest at the end of the trading session on May 10, 2018. Active-Investors has initiated due-diligence on this dividend stock. Register with us for more free research including the one on ACC:
If your portfolio includes dividend stocks, you have come to the right place for timely information. All you need to do is sign up for your free membership at:
On May 02, 2018, American Campus announced that its Board of Directors declared a regular quarterly dividend of $0.46 per share of common stock, payable on May 25, 2018, to shareholders of record at the close of business on May 14, 2018. The declared dividend is a 4.5% increase over the prior quarterly dividend of $0.44 per share of common stock.
"We are pleased to provide a sixth consecutive annual dividend increase for shareholders," said Bill Bayless, American Campus Communities CEO, "The long-term stability of our operating performance has allowed the Board of Directors to maintain or increase the company's dividend throughout the 54 quarters since going public, representing over 36 percent growth in the dividend since 2012."
American Campus' indicated dividend represents a yield of 4.61%, which is substantially higher than the average dividend yield of 3.17% for the Financial sector. The Company has raised dividend for six consecutive years.
American Campus has a dividend payout ratio of 77.6%, which indicates that the Company spends approximately $0.78 for dividend distribution out of every $1.00 earned. The dividend payout ratio reflects how much amount a company is returning to shareholders versus how much money it is keeping on hand to reinvest in growth, to pay off debt, and/or to add to its cash reserves.
According to analysts' estimates, American Campus is forecasted to report earnings of $0.73 for the upcoming year, as compared to the Company's annualized dividend of $1.84 per share. One of the primary reasons for the difference between earnings and the annualized dividend is that American Campus is a Real Estate Investment Trust (REIT) which is structured by law to distribute at least 90% of earnings. Moreover, since REITs generate income from owning portfolios of investment real estate, they are likely to have higher depreciation charges.
Since depreciation is a non-cash charge, it does not directly impact the ability of dividend the companies can distribute. For this reason, Fund from Operations (FFO) is calculated by adding depreciation and amortization (D&A) to earnings and subtracting any gains on sales which then provides a better picture of any company's profitability and capacity to pay and to sustain dividends. For instance, for the quarter ended March 31, 2018, American Campus reported net income attributable to the Company of $25.9 million, or $0.18 per fully diluted share, versus $34.1 million, or $0.25 per fully diluted share, in Q1 2017.
On the other hand, American Campus reported quarterly FFO-modified of $85.8 million, or $0.62 per fully diluted share, for Q1 2018 versus $83.2 million, or $0.62 per fully diluted share, in Q1 2017. The FFO number indicates that the Company should be able to comfortably cover its dividend payout.
About American Campus Communities, Inc.
American Campus is the largest owner, manager, and developer of high-quality student housing communities in the United States. As of March 31, 2018, the Company owned 171 student housing properties containing approximately 104,800 beds. Including its owned and third-party managed properties, American Campus' total managed portfolio consisted of 207 properties with approximately 134,400 beds.
Stock Performance Snapshot
May 09, 2018 - At Wednesday's closing bell, American Campus Communities' stock slightly dropped 0.15%, ending the trading session at $39.78.
Volume traded for the day: 810.72 thousand shares.
Stock performance in the last month – up 1.20%; and previous three-month period – up 11.49%
After yesterday's close, American Campus Communities' market cap was at $5.44 billion.
Price to Earnings (P/E) ratio was at 98.47.
The stock has a dividend yield of 4.63%.
The stock is part of the Financial sector, categorized under the REIT - Residential industry. This sector was up 1.1% at the end of the session.
Active-Investors (A-I) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. A-I has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles, and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.
A-I has not been compensated; directly or indirectly; for producing or publishing this document.
PRESS RELEASE PROCEDURES:
The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third-party research service company (the "Reviewer") represented by a credentialed financial analyst [for further information on analyst credentials, please email email@example.com. Rohit Tuli, a CFA® charterholder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by A-I. A-I is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.
A-I, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. A-I, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, A-I, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.
NOT AN OFFERING
This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither A-I nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://active-investors.com/legal-disclaimer/.
For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:
Phone number: 73 29 92 6381
Office Address: 6, Jalan Kia Peng, Kuala Lumpur, 50450 Kuala Lumpur, Wilayah Persekutuan Kuala Lumpur, Malaysia
CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.