Wal-Mart Hikes Dividend For 35th Consecutive Year

Retail giant Wal-Mart (WMT: 53.8201 -0.28%) is hiking its quarterly dividend 15% to $.2725 per share. Wal-Mart has now increased its dividend every year since 1974.

The dividend boost will put the company’s current dividend yield at 2.2%, up from 1.9%.

“The strength of our operations and the resulting strong financial position allow us to increase our dividend payout to shareholders again this year,” said Mike Duke, Wal-Mart Stores, Inc. president and chief executive officer. “Our free cash flow remains strong enough to fund Wal-Mart’s growth around the world, make strategic acquisitions and fund returns to shareholders through dividends and share repurchases.”

Wall Street reacted positively to the dividend increase, sending Wal-Mart’s shares up 3% to $49.97. Meanwhile, the markets were falling once again with the Dow down 217 points to 6,659.

The quarterly dividend will be payable on April 6, 2009 to shareholders of record as of March 13, 2009.