Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.

AAON Raises Dividend 25% and Splits Stock 3-for-2

HVAC equipment manufacturer AAON  (NASDAQ: AAON  )  announced yesterday that it was raising the company's second-quarter dividend of $0.10 per share, a 25% increase from the $0.06 per share rate it previously paid. At the same time, the company also said it was splitting its stock 3-for-2, which will be paid in the form of a stock dividend on July 2 to shareholders of record on June 13, the same time as the new, higher dividend will be paid.

Shareholders of record will receive one additional share for every two shares they hold for the split, with cash being paid in lieu of fractional shares. The new dividend payment will equate to $0.20 annually, post-split.

AAON President and CEO Norman H. Asbjornson said he believes the moves "will increase our liquidity in the market." 

Based on the shares outstanding as of April 25, AAON estimates that the number of shares outstanding will increase from approximately 24.5 million to approximately 36.7 million.

The regular dividend payment equates to a $0.40-per-share annual dividend yielding 1.2% based on the closing price of AAON's stock on May 21.

Read/Post Comments (0) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2448009, ~/Articles/ArticleHandler.aspx, 3/29/2015 12:24:30 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...