The Toro Company (TTC) will raise its quarterly dividend by 5.0 percent to $0.2625 per share in 2020. This comes after a 11.1 percent dividend hike to $0.25 per share announced in 2019. This will also mark the company's 12th consecutive year of annual dividend increases.

The next dividend is payable on January 13, 2021, to shareholders of record on December 22, 2020. A new annualized dividend rate of $1.05 per share yields 1.2% at a stock price of $89.34 for Toro.

The Toro Company will now pay an estimated $113 million in dividends to its shareholders annually. The year 2020 is the first time in more than a decade that Toro does not hike its dividend by double digits. The average dividend growth rate in the last five years will drop from 14.9 percent annually to 11.8 percent if we include this new hike just announced.

The Toro Company is a provider of solutions for the outdoor environment including turf and landscape maintenance, snow and ice management, underground utility construction, rental and specialty construction, and irrigation and outdoor lighting solutions. Toro's products help customers care for golf courses, sports fields, construction sites, public green spaces, commercial and residential properties and agricultural operations. The company’s brands include Toro, Ditch Witch, Exmark, BOSS Snowplow, American Augers, Subsite Electronics, HammerHead, Trencor, Unique Lighting Systems, Irritrol, Hayter, Pope, Lawn-Boy and Radius HDD. The Toro Motor Company was founded on July 10, 1914 to build engines for the #1 brand of farm tractors in the United States – The Bull Tractor Company. The name “Toro” is chosen because of the company’s association with Bull.