7 Companies Increasing Dividends

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Dividend IncreaseIt was yet another volatile five-day period for stocks, as the buying that took place early this week succumbed to some heavy selling by week’s end. The big data point was received Friday, as the August employment report saw no new net jobs created in the month, and an unemployment rate that remains at a dismal 9.1%. The news prompted a big selloff in stocks, a slide in oil prices and a surge in gold prices.

The macroeconomic news is no doubt at the forefront of every investor’s mind these days, and many now are wondering if the Federal Reserve will make a move to help stimulate the economy with another round of quantitative easing. We’ll find out what the Fed has to say Sept. 20-21 when the Federal Open Market Committee meets. In the meantime, however, investors shouldn’t lose sight of the fact that there still are plenty of stalwart companies earning profits and increasing dividends. Here are seven companies boosting payouts this week:

Airgas Inc.

Industrial, medical and specialty gases market Airgas Inc. (NYSE:ARG) inflated its quarterly dividend by 10% to 32 cents from 29 cents. The new dividend will be paid Sept. 30 to shareholders of record as of Sept. 15. The new dividend yield, based on the closing price of $64.05, is 2%. The increased dividend comes just eight months after Airgas boosted its quarterly payout by 16%.

Altria Group

Tobacco giant Altria Group (NYSE:MO) lit up its quarterly dividend on Aug. 26, as the company announced a 7.9% boost in its quarterly payout to 41 cents per share. The new dividend is payable on Oct. 11 to shareholders of record as of Sept. 15. Based on the closing price of $26.30 on Aug. 26, the new dividend yield is 6.24%.

Brinker International

Chain restaurant operator Brinker International (NYSE:EAT), parent company of suburban eating destinations Chili’s Grill & Bar and Maggiano’s Little Italy, cooked up a 14% increase in its quarterly dividend to 64 cents per share from 56 cents. The new payout will be served on Sept. 29 to shareholders of record as of Sept. 9. The new dividend yield, based on the Aug. 29 closing stock price of $23.02, is 11.12%. The company continued to repurchase its shares last quarter, gobbling up 2.5 million shares for a total of $62.9 million in fiscal Q4.

Canadian Imperial Bank of Commerce

North-of-the-border banking giant Canadian Imperial Bank of Commerce (NYSE:CM) increased its largess to shareholders, upping its quarterly dividend for the first time in four years after third-quarter profit jumped 26%. The new quarterly dividend is 90 Canadian cents (92 U.S. cents), up from 87 Canadian cents. The company cited higher investment-banking fees for the increase in its third-quarter performance. The new dividend yield, based on the Sept. 1 closing stock price of $77.98, is 4.62%.

HCC Insurance Holdings

Property and casualty, surety, and life and health insurance provider HCC Insurance Holdings (NYSE:HCC) made a move to ensure the happiness of shareholders, as the company raised its quarterly payout to 15.5 cents per share from the previous payout of 14.5 cents. The new dividend yield, based on the Aug. 30 closing stock price of $29.11, is 2.13%. The new dividend will be paid on or about Oct. 17.

Toronto Dominion Bank

Another north-of-the-border banking giant, Toronto Dominion Bank (NYSE:TD), lifted its quarterly dividend this week. TD upped its payout to 68 cents per share, an increase of 3% from the prior level of 66 cents. The new dividend will be paid Oct. 31 to shareholders of record as of Oct. 5. The new dividend yield, based on the Sept. 1 closing price of $80.64, is 3.37%. The Toronto-based financial firm’s dividend boost came along with news of better-than-expected fiscal third-quarter net income of C$1.45 billion, or C$1.58 per share. Excluding one-time items, adjusted profit was $1.72 per share. Wall Street analysts expected a smaller profit of C$1.62 per share.

Verizon

Telecom giant Verizon (NYSE:VZ) rang up a bigger payout to shareholders, turning up the volume on its quarterly dividend 2.6% to 50 cents per share. The new payout will be made on Nov. 1 to shareowners of record at the close of business on Oct. 7. The new dividend yield, based on the Sept. 1 closing price of $35.88, is 5.57%. The telecom giant has long been a stalwart dividend play for investors, and the increase in payout and the boosted yield should serve to enhance its reception for income investors.

At the time of publication, Jim Woods held no positions in any of the stocks mentioned in this article.


Article printed from InvestorPlace Media, https://investorplace.com/2011/09/7-dividend-stock-increasing-dividends/.

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