Hackett Group has announced a dividend of $0.12 per share, with a dividend yield of 2.3%. The company has a sustained record of paying dividends with minimal fluctuation, with annual payments growing at a yearly rate of about 13% since 2015. The dividend is likely to continue growing, with EPS forecast to expand by 45.2% over the next year.
Hackett Group, Inc. (NASDAQ: HCKT) has announced a dividend of $0.12 per share, payable on October 3, 2025. This dividend represents a yield of 2.3%, which is in line with industry standards [1]. The company has a history of consistent dividend payments, with annual distributions growing at an average rate of 13% since 2015. This growth trajectory is expected to continue, with earnings per share (EPS) forecast to expand by 45.2% over the next year [2].
Hackett Group's dividend payout ratio is expected to rise to 57% by next year, which is considered sustainable. The company's strong cash flow and earnings have allowed it to maintain a high payout ratio without compromising reinvestment in the business. The recent earnings report highlighted a 2% year-over-year (YoY) increase in revenues to $77.6 million, with the Global SMBT Segment and SAP Solution Segment both showing strong growth [3].
The company's strategic investments in AI platforms like AI XPLR and ZBrain, as well as its partnership with Salonias, are driving growth and innovation. These platforms are designed to offer sophisticated AI solutions tailored to client technology landscapes, improving solutioning speed and efficiency [3].
Despite the challenges in the Oracle segment, the company's strategic headcount adjustments and AI-assisted implementation tools like Accelerator are expected to mitigate the negative impact on decision-making and client engagement [3]. The company's robust balance sheet, with $10.1 million in cash and $17.0 million under its share repurchase program, provides flexibility for future growth and dividend payments [3].
Investors should be aware of the potential risks, including integration challenges and segment declines. However, the company's track record of earnings outperformance and strong operational execution suggest a solid foundation for future growth. The recent dividend announcement is a positive sign of the company's commitment to shareholder value, and investors should monitor the company's progress in the coming quarters.
References:
[1] https://finance.yahoo.com/news/hackett-group-nasdaq-hckt-paying-131539882.html
[2] https://www.ainvest.com/news/hackett-group-q2-2025-earnings-call-highlights-revenue-2-sap-solution-segment-sees-11-growth-2508/
[3] https://www.ainvest.com/news/hackett-group-genai-transformation-undervalued-stock-buy-long-term-2508/
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