Railroad operator Union Pacific Corp (UNP) will raise its quarterly dividend by 10.2 percent to $1.30 per share in 2022. Last year UNP announced a total 21.6 percent dividend hike.

The dividend is payable June 30, 2022, to shareholders of record May 31, 2022. Union Pacific has paid dividends on its common stock for 123 consecutive years. A new annual rate of $5.20 per share yields 2.3% at a stock price of $227.86. The ex-dividend date for the next UNP dividend is May 27, 2022.

"Union Pacific continues to generate strong cash returns for our shareholders," said Jennifer Hamann, Union Pacific executive vice president and chief financial officer. "Today's dividend increase is consistent with our targeted dividend payout ratio of 45 percent."

Union Pacific Corporation is a railroad operating company. Union Pacific Railroad is the principal operating company of Union Pacific Corporation, connecting 23 states in the western two-thirds of the country by rail. The railroad's business mix includes Agricultural Products, Automotive, Chemicals, Coal, Industrial Products and Intermodal. The company operates from all major West Coast and Gulf Coast ports to eastern gateways, connects with Canada's rail systems and is the only railroad serving all six major Mexico gateways.  Union Pacific has paid dividends on its common stock every year since 1899.