Today Target Corporation (TGT) announced a 3.3% increase in its quarterly dividend.
The dividend is raised from $0.60 to $0.62. The dividend pay date is September 10, 2017 to shareholders of record on August 16, 2017 (ex dividend August 14, 2017).
The 3rd quarter dividend will be the company’s 200th consecutive dividend paid since October 1967 when the company became publicly held. With the increase announced today, 2017 is expected to be the 46th consecutive year in which Target has increased its annual dividend.
The new dividend amount represents an annualized dividend amount of $2.48 per share, up from $2.40. The dividend yield on current price is 4.32%. My Vrijheid Fonds consist of 70 shares of TGT, so in 2017 my passive income will increase by €2.11 (after taxes). My projected annual total amount from my shares of TGT will be €114.39 after taxes.
The Dividend Growth Rate is slowing down but that seems prudent in the current retail environment. The low dividend growth rate helps Target lower its total dividend payout though. And as Target’s share count has declined by more than five percent over the last year, the total dividends Target will pay this year will actually be lower than what the company paid out to its owners last year.
This is the 18th dividend increase for my Vrijheid Fonds in 2017. I love it!