The Dynamic Dividend

Canadian Natural Raises Dividend by 20%

Canadian Natural Resources Ltd (CNQ) declared a quarterly dividend of C$0.09 per share within today’s fourth quarter earnings report, pushing its payout higher by another 20%. This is the tenth* consecutive year the company has given its shareholders a raise.

Using the current Canadian/U.S. dollar exchange rate, the company’s new quarterly dividend amounts to $0.09255 per share for American shareholders.

Shares of CNQ closed at $51.21 on Wednesday, where they now carry a 0.72% dividend yield. (Assuming the exchange rate above and excluding tax implications.)

Canadian Natural Resources has now raised its dividend total every year since 2002, bumping its payout by an annual average of 22% over that span and only once failing to give shareholders a double-digit raise. These are all key reasons why, despite a less-than-impressive yield, the company closed out 2010 ranked 78th on my list of The 100 Best Values Among Dividend-Paying Stocks.

*Although the press release linked above says it’s Canadian Natural Resources’ eleventh consecutive year with a dividend increase, the company began returning cash to shareholders in 2001, and raised its payout for the first time in 2002. I don’t consider the initiation of a dividend an “increase” – so my count begins in 2002.