On
Wednesday, October 22nd, McDonald’s Corporation (MCD) announced
that its Board of Directors approved a quarterly dividend increase
from $1.77 to $1.86 per share. The dividend is payable on December
15, 2025, to shareholders of record as of December 1, 2025. This
marks a 5.08% increase over the previous quarterly dividend.
McDonald’s has a strong history of
returning capital to its shareholders and has raised its dividend for
49 consecutive years since paying its first dividend in
1976.
At the current price of $310.00 (yesterday’s
close), this increase will raise MCD’s dividend yield to 2.40%.
McDonald’s Corporation is a Dividend
Contenders with a 49 year streak of dividend increases. Dividend
growth rates for 1, 3, 5 and 10 years are 8.8, 8.9, 7.5 and 7.5
(Dividend
Champions.xls)
As an owner of 20 shares of MCD, the
recent dividend increase adds $5.36 to my projected annual net
dividend income.
I had anticipated an increase of around
5%, so this announcement came in right on target — and I’m more
than happy to accept it.
This marks the twelfth dividend
increase I’ve received from McDonald’s Corporation since
initiating my position in August 2014. Over that period, the
company’s quarterly dividend has risen steadily from $0.81 to $1.86
per share, representing a cumulative increase of 129.6%.
As of this writing, MCD represents
approximately 0.70% of my portfolio by weight and contributes around
0.41% to my projected annual dividend income.
Following this increase, my yield on
cost is 7.87%.
Summary of 2025 Dividend Increases /
Cuts
Click here
to see my portfolio holdings.
You can follow the development of my
dividends here.
Full Disclosure: Long MCD
Thanks for stopping by!