Royal Dutch Shell PLC (NYSE:RDS.A) Upgraded to Hold at Zacks Investment Research

Zacks Investment Research upgraded shares of Royal Dutch Shell PLC (NYSE:RDS.A) from a sell rating to a hold rating in a research note released on Monday.

According to Zacks, “Royal Dutch Shell shares are up +5.4% in the year-to-date period vs. the -3.3% loss for the broader industry, with the stock getting a boost from the strong Q2 earnings report (the stock has gained in excess of +5% since then). The integrated behemoth's upstream unit swung to a Q2 profit from a year-ago loss thanks to steady oil price recovery during the period and production contribution of BG assets. The Hague-based supermajor was also able to reduce operating costs and progress on its large divestment program. Importantly, the Anglo-Dutch company generated a surge in cash flows, allowing it to cut debt and cover its cash dividend. However, with oil falling below the psychologically-critical $50 threshold again, Shell's near-to-medium term revenue outlook remains cloudy. Hence, we advise investors to wait for a better entry point before buying shares in Europe's largest oil company.”

Several other research firms have also weighed in on RDS.A. Scotiabank set a $54.00 price objective on Royal Dutch Shell PLC and gave the company a hold rating in a research note on Saturday, July 1st. Citigroup Inc. lowered Royal Dutch Shell PLC from a neutral rating to a sell rating and set a $47.00 price objective on the stock. in a research note on Wednesday, April 19th. Societe Generale raised Royal Dutch Shell PLC from a hold rating to a buy rating in a research note on Friday, May 5th. Exane BNP Paribas raised Royal Dutch Shell PLC from a neutral rating to an outperform rating in a research note on Friday, May 26th. Finally, Simmons reduced their price objective on Royal Dutch Shell PLC from $61.00 to $60.00 and set an overweight rating on the stock in a research note on Thursday, April 20th. Two analysts have rated the stock with a sell rating, four have assigned a hold rating and twelve have issued a buy rating to the company. The company presently has a consensus rating of Buy and an average target price of $57.13.

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The business also recently disclosed a quarterly dividend, which will be paid on Monday, September 18th. Investors of record on Friday, August 11th will be paid a $0.799 dividend. This represents a $3.20 dividend on an annualized basis and a dividend yield of Infinity. The ex-dividend date is Wednesday, August 9th. Royal Dutch Shell PLC’s dividend payout ratio is currently 163.27%.

About Royal Dutch Shell PLC

The Royal Dutch Shell plc explores for crude oil and natural gas around the world, both in conventional fields and from sources, such as tight rock, shale and coal formations. The Company’s segments include Integrated Gas, Upstream, Downstream and Corporate. The Integrated Gas segment is engaged in the liquefaction and transportation of gas and the conversion of natural gas to liquids to provide fuels and other products, as well as projects with an integrated activity, ranging from producing to commercializing gas.

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