The Cato Corporation (CATO) will hike its quarterly dividend by 54.5 percent to 17 cents per share in Q3 of 2021. Earlier this year CATO reinstated the quarterly dividend at a lower rate of 11 cents per share after the fashion specialty retailer suspended its quarterly dividend because of the COVID-19 pandemic.
The new CATO dividend will be paid on September 27, 2021 to shareholders of record on September 13, 2021. The ex-date for the next dividend of $0.17 for Cato Corporation is September 10, 2021. A new annual dividend rate of 68 cents will yield an estimated 4.1% at a stock price of $16.50.
The Cato Corporation is a fashion specialty retailer. The company's stores are principally located in the southeastern United States, under the names “Cato,” “Cato Fashions,” “Cato Plus,” “It’s Fashion,” “It’s Fashion Metro” and “Versona.” The Cato concept seeks to offer quality fashion apparel and accessories at low prices, every day in junior/missy and plus sizes. The Cato concept’s stores and e-commerce websites feature a broad assortment of apparel and accessories, including dressy, career, and casual sportswear, dresses, coats, shoes, lingerie, costume jewelry and handbags. A major portion of the Cato concept’s merchandise is sold under its private label and is produced by various vendors in accordance with the concept’s specifications. The company was founded in 1946 and had been paying a dividend for many decades prior to the 2020 suspension.