Yesterday,
September 25th the Board of Directors of McDonald’s Corporation (MCD)
announced
a quarterly dividend increase of from $1.67 to $1.77 per share that’s
payable December 16, 2024 to holders of record December 2, 2024. This
represents a 5.99% increase over the last quarterly dividend. The
increase over the Company’s previous quarterly dividend reflects
continued confidence in the Accelerating the Arches growth strategy
and our ability to drive long-term profitable growth for all
stakeholders.
McDonald’s has a strong history of
returning capital to its shareholders and has raised its dividend for
48 consecutive years since paying its first dividend in 1976.
With current price $300.47 (yesterday’s
close), this raise brings their dividend yield to 2.36%.
McDonald’s is a Dividend Champions with
a 48 year streak of dividend increases. Dividend growth rates for 1,
3, 5 and 10 years are 10.1, 7.3, 8.3 and 7.2 (Dividend
Champions.xls)
Since I own 20 shares of MCD, this will
increase my portfolio’s projected annual net dividend income by
$5.96.
I was expecting an increase of around
8%, so the increase now announced is a little lower than my own
expectations, but of course I am happy to accept that too.
This is the eleventh dividend increase
I received from McDonald’s Corporation since initiating a position
August 2014. During this period, the quarterly dividend has risen
comfortably from $0.81 to $1.77, or 118.5 percent.
This increase raises my Yield on Cost
to 7.49%.
Summary of 2024 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!