Dividend increases are on the way as companies discuss earnings reports and make forecasts for the coming year. It’s been a good week for dividend increases with several companies announcing that they will boost their per-share payouts.
Kellogg Co. has announced plans to increase its dividends. Indeed, the dividend will be increasing by 6% to 43 cents per share. The dividend increase will take effect the third quarter of 2011. Also increasing its dividend is Tractor Supply Co. Not only is the company planning to increase its cash dividend to 12 cents a share, but it has also approved a $600 million stock buyback program.
Other companies announcing plans to increase their dividends include Newell Rubbermaid (a boost of 60%), Span-America Medical Systems (increase to 11 cents a share), Toronto exchange member Jean Coutu (increase to 6 cents a share), and Canadian Oil Sands (raise by half). Dividend stocks across a variety of sectors are raising dividends as profits improve and as forecasts appear cautiously optimistic.
If you are looking to add some diversity to your investment portfolio, it might not hurt to look at a few of the companies beginning to raise dividends. This is especially true of companies in sectors that are expected to see growth in the coming months and years.