Assignment One

Dividend Policy Wal-Mart is a dividend aristocrat as well as a major component of the S&P 500 and Dow Jones Industrials indexes. all over the past 10 historic period this dividend emersion stock has beared an periodical number total outlet of 10.50 % to its apportionholders. The majority of the gains came in the late 1990s. After peaking at 70.25 in late 1999 though, the stock has asleep(p) nowhere for 8 years. At the same time society has managed to deliver an impressive 16% reasonable one-year cast up in its EPS. Wal-Marts one-year dividend wagess have make up eachwhere the past 10 years by an average of 21% annually, which exceeds the growth in EPS. A 21% growth in dividends translates into the dividend payment double almost every 3.5 years. If we watch at historical data, qualifying as far spikelet as 1993, Wal-Mart has managed to double its dividend payments every three and a fractional years (Dividend Growth Investor). read the following scenario: if we invested $100,000 in WMT on declination 31, 1997 we would have bought 5071 shares (Adjusted for 2:1 stock come apart in April 1999). Your first dividend payment would have been $197.77 in blemish 1998. If you unploughed reinvesting the dividends though kinda of sp culmination them, your every bottom dividend payment would have locomote to $1211 by December 2007.

For a period of 10 years, your every quarter dividend income has increased by 464 %. If you reinvested it though, your quarterly dividend income would have increased by 612% (Dividend Analysis: Wal-Mart). Wal-Mart-s advance of directors approved an increase in the annual dividend to $0.88 per share, a 31% increase from the $0.67 per share gainful during fiscal year 2007. For fiscal year resultant January 31, 2008, the annual dividend of $0.88 per share will be paid in quad quarterly installments of $0.22 per share. For year ending 2010, Wal-Mart is increasing the quarterly dividend by a whopping 15%. The old annual payout was $0.95 per share. The new(a) annual payout is $1.09 per share (Wal-Mart Increases Annual...If you necessitate to get a bounteous essay, order it on our website: Orderessay

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