Penske Dividend Zooms Ahead 7%

New and used car dealer has made quarterly payouts to investors since 2003

By Rich Duprey – Jul 17, 2013 at 10:31PM EST

New- and user-car dealer Penske Auto Group (PAG 2.44%) announced today its second-quarter dividend of $0.16 per share, a 7% increase over the payout it made to investors last quarter of $0.15 per share.

The board of directors said the quarterly dividend is payable on Sept. 3 to the holders of record at the close of business on Aug. 12. The car dealer has made quarterly payouts to investors since 2003.

Penske Automotive Group President Robert H. Kurnick, Jr. said, "Based upon the strength in our financial performance, cash flow generation, and the strong automotive retail environment in our U.S. and U.K. markets, we remain confident in our ability to continue growing our business."

The regular dividend payment equates to a $0.64-per-share annual dividend, yielding 1.9% based on the closing price today of Penske Auto Group's stock.

PAG Dividend data by YCharts

Rich has been a Fool since 1998 and writing for the site since 2004. After 20 years of patrolling the mean streets of suburbia, he hung up his badge and gun to take up a pen full time. Having made the streets safe for Truth, Justice, and Krispy Kreme donuts, he now patrols the markets looking for companies he can lock up as long-term holdings in a portfolio. His coverage reflects his passion for motorcycles, booze, and guns (though not enjoyed all at the same time...usually), but his writing also covers the broader sectors of consumer goods, technology, and industrials. So follow along as he tries to break down complex topics to make them more understandable and useful to the average investor. Have a story idea? Contact Rich here. I may not be able to respond to every suggestion, but I do read them all! Does an article needs a correction? Reach Rich here.

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Penske Dividend Zooms Ahead 7%

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