Hershey, Schwab, and 2 Other Companies Sweeten Their Dividends
Two well-known food companies, a major distributor of prescription drugs, and a large financial-services firm have declared double-digit dividend increases this week.
Hershey (HSY), known for its chocolate bars and other products, declared a quarter dividend of 72.2 cents a share on its common stock, compared with 65.6 cents previously. That’s a 10% hike. The stock yields 2.6%.
Mondelez International (MDLZ) declared a quarterly dividend of 26 cents a share, up 4 cents, or 18%. The company makes and distributes snacks and beverages. Its brands include Oreo cookies, Ritz crackers, and Cadbury chocolate. The stock yields 2%, above the S&P 500’s 1.9%.
Another company that plans to raise its quarterly disbursement is Charles Schwab (SCHW), a financial-services firm.
The company’s board declared a quarterly dividend of 13 cents a share, up 30% from 10 cents previously. The stock yields 0.8%. It marks the second dividend hike this year for the company, which in January boosted its payout to 10 cents a share from 8 cents.
Elsewhere, McKesson (MCK) plans to raise its quarterly dividend by 5 cents a share, to 39 cents. That’s nearly a 15% increase. Shares of the drug distributor were yielding 1.1% recently.
Large companies have been paying healthy dividend increases.
In the second quarter, S&P 500 companies paid out a record of $111.6 billion for regular cash dividends, up 7% from a year earlier, according to S&P Dow Jones Indices. For the year, dividends have a chance to return to double-digit growth for the first time since 2014, according to Howard Silverblatt, senior index analyst at S&P Dow Jones Indices.
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