A dividend is the payment that a company distributes to its shareholders as a percent of earnings. Management can decide whether to pay a dividend, how much it is, and the frequency of payments. A dividend is often distributed quarterly and is quoted as the amount of dividend per share. Companies that are growing fast tend not to issue a dividend, as they pour money back into the business.
Target Corp. (NYSE/TGT) announced an increase to its dividend and share buyback program, a sign that the struggling retailer may finally be turning around. (Source: Target, June 9, 2015.)Target’s board of directors has declared a quarterly dividend of 56 cents per common share, a 7.7 % increase from the prior quarterly dividend. Read More