Target Corporation (TGT) will raise its quarterly dividend by 3.0 percent to 68 cents per share in 2020. This comes after a 3.1 percent hike to $0.66 per share in 2019 and marks the 49th consecutive year of dividend increases by this Dividend Aristocrat.
The next dividend is payable September 10, 2020 to shareholders of record at the close of business August 19, 2020. A new annual rate of $2.72 per share yields 2.3% at a stock price of $119.12.
In the company's press release dated June 11, 2020, Target states that this 3rd quarter dividend will be the company's 212th consecutive dividend paid since October 1967 when the company became publicly held. With the increase announced today, 2020 is on track to be the 49th consecutive year in which Target has increased its annual dividend.
Target Corporation was one of the best-performing Dividend Aristocrats in 2019 with a stock price gain of 94 percent, which does not include the dividend. The general merchandise retailer's current market value is nearly $ 60 billion, and Target now pays out about $ 1.36 billion in dividends annually. Dividend growth has declined considerably in recent years, with a dividend increase of just over 3% since 2017. Target's dividend increase just announced is the smallest in over a decade.
Target Corporation is a general merchandise retailer selling a wide assortment of general merchandise and food. The majority of Target's stores offer an edited food assortment comparable to traditional supermarkets, including perishables, dry grocery, dairy, and frozen items. The company sells national branded merchandise and its own branded products. Target was incorporated in Minnesota in 1902 and became publicly held in 1967. Target Corporation is one of the S&P500 Dividend Aristocrats having raised its dividend for more than 25 consecutive years.