UPS (UPS 0.14%) dropped a package of share-price growth on its investors' doorsteps Thursday. These folks were cheered by the latest stockholder remuneration from their company, and expressed their gratitude by trading the shares 1.6% higher.
UPS keeps paying its shareholders
UPS declared its latest set of quarterly stockholder dividends: $1.62 per each of the company's Class A and Class B shares. Investors hoping to hop on the stock in order to grab that payout need to be quick, though, as the ex-dividend date isn't far away: Both disbursements will be paid to investors of record as of Nov. 13.
While existing investors were surely glad to hear the news, it was entirely expected. UPS is a reliable dividend payer, with a streak of regular distributions stretching back for decades.
It's also a habitual raiser, with increases typically coming just after the start of every year. So it's very likely that the next dividend declaration will be for an amount higher than that $1.62. Since early 2020, the payout has risen from $1.01 per share to the present level for a more than 60% increase.
The dividend yield approaches 5%
UPS's latest dividend declaration came only days after the company published its third-quarter earnings report. Although this was seen as a disappointment by many due to a double-digit revenue slide, it did beat the consensus analyst estimate for adjusted profit. And the stream of its free cash flow was strong, at nearly $4.9 billion.
The just-declared dividend yields nearly 4.6% at the current stock price.
