A. O. Smith Raises Dividend 8%
- July 23, 2010
- Dividend News, Dividend Stocks
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A. O. Smith (AOS: 46.78 +0.58%) announced today that the company will increase their quarterly dividend by 8% to $.21 per share.
Following the dividend increase, AOS shares will offer a 1.6% dividend yield based on yesterday’s closing price.
A. O. Smith is a small cap stock that manufactures water heaters and electrical motors. The company has a solid dividend history and has paid dividends every year since 1940. AOS has even increased their dividend in 8 of the past 9 years (investors received no dividend increase in 2005).
“The stability provided by our 136 years in business, as well as our record operating performance and cash flow generation in 2009, give us the confidence to increase our dividend in what continues to be a fragile economic recovery,” Paul W. Jones, chairman and chief executive officer, commented.
The dividend will be payable on August 16, 2010 to shareholders of record July 30, 2010.
Investors in AOS have experienced a 24% surge in the company’s stock price this year. A. O. Smith also just reported stellar second quarter results that were $.38 ahead of Wall Street’s expectations.
