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Category: Technology
Dividend stock IBM to boost dividend and buyback plan
Dividend stock IBM to boost dividend and buyback plan

IBM Boosts Dividend And Buyback Plan

IBM Boosts Dividend And Buyback Plan

About: Dow, International Business Machines (NYSE: IBM), IBM, Johnson & Johnson (NYSE: JNJ), Procter & Gamble (NYSE: PG), International Business Machines, quarterly dividend, dividend increase, Dividend Genius, dividend stock, stock dividend, dividend stocks, stock dividends
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Dow component International Business Machines (NYSE: IBM), the world's biggest provider of computer services, raised its quarterly dividend by 10 cents, or 18%, to 65 cents a share. That is more than double last year's dividend hike. The new dividend is payable on June 10th to shareholders of record on May 10th.

While expected by shareholders, the dividend increase is still good news following IBM's disappointing first-quarter earnings release last week. The company said its services business, IBM's most important business line, remains sluggish and that led to a sell-off in the shares. In addition to the new dividend, IBM did shareholders another good turn by adding $8 billion to a share buyback plan that had $2 billion remaining on it.

IBM is the third Dow constituent in a week to raise its payout. Johnson & Johnson (NYSE: JNJ) and Procter & Gamble (NYSE: PG) announced dividend increases last week. This is the 15th consecutive year in which IBM has boosted its dividend.

 
Raytheon Ratchets Up Dividend
Raytheon Ratchets Up Dividend

Raytheon Ratchets Up Dividend

Raytheon Ratchets Up Dividend

About: Raytheon (NYSE: RTN), Raytheon, Lockheed Martin (NYSE: LMT), Boeing (NYSE: BA), Northrop Grumman (NYSE: NOC), quarterly dividend, Dividend Genius, dividend stock, stock dividend, dividend stocks, stock dividends
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Defense contractor Raytheon (NYSE: RTN), the maker of missile defense systems, has joined the dividend-raising parade in a big way by announcing a 21% increase to its annual dividend. Raytheon's new payout will rise to $1.50 a share from $1.24. Based on Thursday's closing price, Raytheon would yield about 2.6% when factoring in the new dividend. The new dividend is payable on April 29th to shareholders of record on April 6th.
Raytheon Ratchets Up Dividend

Raytheon has an impressive dividend history, particularly when one examines the past several years. The company boosted its payout by 10% in 2008 and 2009 and has raised its dividend every year since 2005. And we cannot forget that on top of the dividend increase, Massachusetts-based Raytheon said it will repurchase an additional $2 billion of its own shares.

In the past six months, Raytheon shares are up 20%, sharply outperforming rival Lockheed Martin (NYSE: LMT), but lagging fellow competitors Boeing (NYSE: BA) and Northrop Grumman (NYSE: NOC).

 
Media Giant Time Warner Boosts Its Quarterly Dividend
Media Giant Time Warner Boosts Its Quarterly Dividend

Headline-Worth Dividend Increases From The Media Sector

 Headline-Worth Dividend Increases From The Media Sector

About: Media giant Time Warner (NYSE: TWX), Time Warner, AOL, News Corp. (Nasdaq: NWS), Class A and Class B shares, Wal Disney (NYSE: DIS), Dividend Genius, dividend stock, dividend stocks, stock dividend, stock dividends)
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Media giant Time Warner (NYSE: TWX), buoyed by strength in its film and network businesses, reported a fourth-quarter profit after reporting a loss in the year-earlier period, beating analyst estimates along the way. For income investors, the good news comes in the form of Time Warner boosting its quarterly dividend by 13% to 21.25 cents a share. Time Warner paid a dividend of 18.8 cents a share in the third quarter and the shares currently yield 2.7%. Based on the new payout, Time Warner would yield about 3.07%.

The earnings report was Time Warner's first following the spin-off the AOL business and the company said it expects 2010 earnings to grow in the “mid-teens.” Analysts are forecasting a 16% increase in 2010 earnings to $2.12 a share.

The news from Time Warner follows an announcement from rival News Corp. (Nasdaq: NWS), which said on Tuesday it would boost dividends on its Class A and Class B shares by 25% to 7.5 cents a share. That represents a yield of 1.1% on the Class A shares. News Corp. pays its dividend on a semiannual basis.

On Tuesday, News Corp. said it posted a fiscal second-quarter profit after enduring a loss in the year-earlier period. The company showed revenue growth across all its operating divisions except for the business that runs the popular MySpace social network.

The media sector isn't exactly laden with high yielders, but it is worth noting that Time Warner offers a superior payout and yield to News Corp. and Wal Disney (NYSE: DIS), which only yields 1.2%.