Latest news with #TricanWellServiceLtd.
Winnipeg Free Press
03-07-2025
- Business
- Winnipeg Free Press
Trican Well Service buying Iron Horse Energy Services in stock-and-cash deal
CALGARY – Trican Well Service Ltd. has signed a deal to buy Iron Horse Energy Services, a privately owned fracturing and coiled tubing services provider. Under the deal, the company will pay $77.35 million in cash and 33.76 million Trican common shares making the deal worth about $231 million based on Trican's share price on Wednesday. Trican also says it will increase its quarterly base dividend by 10 per cent to 5.5 cents per share from five cents. The acquisition is expected to close in the second half of 2025. Trican chief executive Brad Fedora says the deal will increase Trican's customer base into both conventional and unconventional plays in Alberta and Saskatchewan. Iron Horse operates primarily in the Cardium, Charlie Lake, Mannville Stack, Viking, Montney and Shaunavon plays in the Western Canadian Sedimentary Basin. Monday Mornings The latest local business news and a lookahead to the coming week. This report by The Canadian Press was first published July 3, 2025. Companies in this story: (TSX:TCW)
Yahoo
04-03-2025
- Business
- Yahoo
Trican Well Service's (TSE:TCW) Upcoming Dividend Will Be Larger Than Last Year's
Trican Well Service Ltd.'s (TSE:TCW) dividend will be increasing from last year's payment of the same period to CA$0.05 on 31st of March. This will take the annual payment to 4.4% of the stock price, which is above what most companies in the industry pay. Check out our latest analysis for Trican Well Service We like to see robust dividend yields, but that doesn't matter if the payment isn't sustainable. However, Trican Well Service's earnings easily cover the dividend. This means that most of its earnings are being retained to grow the business. The next year is set to see EPS grow by 22.3%. If the dividend continues on this path, the payout ratio could be 24% by next year, which we think can be pretty sustainable going forward. While the company has been paying a dividend for a long time, it has cut the dividend at least once in the last 10 years. The annual payment during the last 10 years was CA$0.30 in 2015, and the most recent fiscal year payment was CA$0.20. Doing the maths, this is a decline of about 4.0% per year. A company that decreases its dividend over time generally isn't what we are looking for. With a relatively unstable dividend, it's even more important to see if earnings per share is growing. Trican Well Service has impressed us by growing EPS at 69% per year over the past five years. Rapid earnings growth and a low payout ratio suggest this company has been effectively reinvesting in its business. Should that continue, this company could have a bright future. Overall, we think this could be an attractive income stock, and it is only getting better by paying a higher dividend this year. The company is easily earning enough to cover its dividend payments and it is great to see that these earnings are being translated into cash flow. Taking this all into consideration, this looks like it could be a good dividend opportunity. Investors generally tend to favour companies with a consistent, stable dividend policy as opposed to those operating an irregular one. However, there are other things to consider for investors when analysing stock performance. To that end, Trican Well Service has 2 warning signs (and 1 which is significant) we think you should know about. If you are a dividend investor, you might also want to look at our curated list of high yield dividend stocks. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
