US stock futures dip as Trump’s firing of Cook sparks Fed independence fears
TORONTO - Sprott Inc . (NYSE/TSX: TSX:SII), a global asset manager specializing in precious metals and critical materials investments, has declared a 20% increase in its quarterly dividend. The company announced that for the third quarter of 2024, shareholders will receive a dividend of US$0.30 per common share, payable on December 3, 2024.
Shareholders on record by the close of business on November 18, 2024, will be eligible for the dividend. Sprott has specified that the dividend is considered an eligible dividend for Canadian income tax purposes, which may influence the tax treatment of the distribution for Canadian residents.
For registered shareholders who are residents of Canada, as per the company's records, the dividend will be paid in Canadian dollars. The amount will be calculated based on the spot price exchange rate on the day of payment. Conversely, registered shareholders outside Canada, including the United States, will receive their dividend in U.S. dollars.
Beneficial holders who have their shares through intermediaries can also expect to receive their dividends in the currency corresponding to their broker's or intermediary's participation in either CDS Clearing and Depositary Services Inc. or The Depository Trust Company. Beneficial holders with intermediaries participating in CDS have the option to elect to receive their dividends in U.S. dollars and should contact their broker for more details on this process.
Canadian residents who are registered shareholders, other than those with CDS, and wish to receive their dividend in U.S. dollars are advised to arrange for their common shares to be deposited with CDS and make a currency election before November 18, 2024.
Sprott's business includes Exchange Listed Products, Managed Equities, and Private Strategies, with offices located in Toronto, New York, Connecticut, and California. The increase in dividend reflects the company's financial performance and commitment to shareholder returns.
This financial update is based on a press release statement from Sprott Inc. and is intended to inform shareholders and the broader investment community of the company's latest dividend announcement.
In other recent news, Sprott Inc. announced noteworthy developments in its second quarter 2024 earnings call. The global asset manager reported a record $31.1 billion in assets under management (AUM), marking a significant increase. Despite a 25% year-over-year decline in net income, the firm saw an actual increase when excluding a nonrecurring asset realization from the previous year.
Sprott Inc. also unveiled the Sprott Physical Copper Trust, a groundbreaking venture into the physical copper market. The company's precious metals equity strategies and the Sprott Physical Copper Trust IPO positively influenced its financial performance.
Furthermore, the company's equity-based ETFs and mining equity ETFs reached all-time highs, demonstrating robust performance in the market. Despite recent market volatility and a decrease in net income for the second quarter, Sprott Inc. remains optimistic about its position in the market and its ability to capitalize on its long-term business drivers.
These recent developments reflect Sprott Inc.'s proactive approach to growth and adaptation to market conditions, with an intensified focus on marketing and investor outreach efforts in the upcoming months.
InvestingPro Insights
Sprott Inc.'s recent 20% increase in quarterly dividend aligns with its strong financial position and commitment to shareholder returns. According to InvestingPro data, Sprott boasts a market capitalization of $1.13 billion and has demonstrated impressive revenue growth, with a 32.26% increase in the most recent quarter.
An InvestingPro Tip highlights that Sprott has maintained dividend payments for 17 consecutive years, underscoring the company's consistent approach to rewarding shareholders. This track record of dividend stability complements the recent dividend hike announcement.
Moreover, Sprott's financial health appears robust. Another InvestingPro Tip indicates that the company's liquid assets exceed short-term obligations, suggesting a strong balance sheet that supports its dividend policy. This financial strength is further evidenced by Sprott's profitability over the last twelve months and analysts' predictions of continued profitability this year.
The company's dividend yield stands at 2.3%, which may be attractive to income-focused investors. Sprott's P/E ratio of 27.18 and adjusted P/E ratio of 24.84 for the last twelve months as of Q2 2024 suggest that investors are willing to pay a premium for the company's earnings, possibly due to its strong market position in precious metals and critical materials investments.
For investors seeking more comprehensive analysis, InvestingPro offers additional tips and insights on Sprott Inc., with 7 more tips available on the platform.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.