After rocking EPS expectations for its Q2 earlier this week, RockTenn (NYSE:RKT) is celebrating with a higher dividend. The company has declared a payout of $0.30 per share of its class A common stock, to be distributed on May 20 to shareholders of record as of May 7.
That amount is 33% higher than RockTenn's previous disbursement of $0.225 per share. This was paid in mid-December. Prior to that, the company had handed out $0.20 in every quarter between November 2010 and August 2012.
The new dividend annualizes to $1.20 per share, which yields 1.2% at RockTenn's most recent closing stock price of $96.16.
Fool contributor Eric Volkman has no position in RockTenn. The Motley Fool owns shares of RockTenn. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.