Donegal Group Inc. (NASDAQ:DGICA) Increases Dividend to $0.17 Per Share

Donegal Group Inc. (NASDAQ:DGICA) declared a quarterly dividend on Thursday, April 18th, Zacks reports. Investors of record on Wednesday, May 8th will be given a dividend of 0.172 per share by the insurance provider on Wednesday, May 22nd. This represents a $0.69 annualized dividend and a yield of 5.08%. The ex-dividend date is Tuesday, May 7th. This is a boost from Donegal Group’s previous quarterly dividend of $0.17.

Donegal Group has raised its dividend payment by an average of 4.3% per year over the last three years and has increased its dividend annually for the last 20 consecutive years. Donegal Group has a dividend payout ratio of 61.6% indicating that its dividend is sufficiently covered by earnings. Equities research analysts expect Donegal Group to earn $0.80 per share next year, which means the company should continue to be able to cover its $0.69 annual dividend with an expected future payout ratio of 86.3%.

Donegal Group Price Performance

NASDAQ:DGICA opened at $13.55 on Monday. The firm has a market capitalization of $452.43 million, a price-to-earnings ratio of 84.69 and a beta of -0.05. The company has a debt-to-equity ratio of 0.07, a current ratio of 0.40 and a quick ratio of 0.40. The business has a 50 day simple moving average of $13.74 and a 200-day simple moving average of $14.12. Donegal Group has a 1 year low of $13.10 and a 1 year high of $15.76.

Donegal Group (NASDAQ:DGICA) last issued its quarterly earnings results on Thursday, February 22nd. The insurance provider reported ($0.11) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.23 by ($0.34). The company had revenue of $239.47 million during the quarter, compared to the consensus estimate of $234.10 million. Donegal Group had a return on equity of 0.15% and a net margin of 0.55%. During the same quarter in the prior year, the business earned $0.09 earnings per share. Equities analysts forecast that Donegal Group will post 0.55 EPS for the current year.

Wall Street Analyst Weigh In

Separately, StockNews.com upgraded shares of Donegal Group from a “hold” rating to a “buy” rating in a report on Friday, April 26th.

Donegal Group Company Profile

Donegal Group Inc, an insurance holding company, provides property and casualty insurance to businesses and individuals. It operates through three segments: Investment Function, Personal Lines of Insurance, and Commercial Lines of Insurance. The company offers private passenger automobile policies that provide protection against liability for bodily injury and property damage arising from automobile accidents, as well as protection against loss from damage to automobiles; and homeowners policies, which provide coverage for damage to residences and their contents from a range of perils, including fire, lightning, windstorm, and theft, as well as liability of the insured arising from injury to other persons or their property.