Topic: How To Invest

Dividend Advisor Hotline – Friday, February 1, 2019

Article Excerpt

TUPPERWARE BRANDS CORP., $26.69, New York symbol TUP, makes consumer goods, including plastic food and beverage containers, and cosmetics. The stock fell 30% this week after the company cut its dividend to free up cash for new investments in its businesses. It also cut its 2019 earnings outlook. Starting with the April 2019 quarterly payment, investors will receive $0.27 a share. That’s down 60.3% from $0.68. The new annual rate of $1.08 yields 4.0%. In the quarter ended December 29, 2018, Tupperware’s sales fell 14.1%, to $505.9 million from $588.6 million a year earlier. That missed the consensus forecast of $542.5 million. Tupperware gets 90% of its revenue from outside the U.S., and the high U.S. dollar hurt the contributions of its overseas operations. If you adjust for currency rates, sales in the quarter fell 7%. Earnings before unusual items declined 10.1%, to $64.8 million from $72.1 million. Due to fewer shares outstanding, earnings per share fell just 5.7%, to $1.33 from $1.41. That matched…