The Dynamic Dividend

Donaldson Announces 7% Dividend Hike, Stock Split

Donaldson Company, Inc. (DCI) today announced a two-for-one stock split and its fifth dividend hike since the beginning of 2010.

The manufacturer of filtration systems and replacement parts declared a quarterly dividend of $0.16 per share, which is a 7% increase over the $0.15 per share it had paid each of the previous three quarters. Donaldson, which has improved its annual dividend total every year dating back to 1996, has now used five dividend hikes to grow its payout by a total of 39% in a span of nine quarters.

The two-for-one stock split will take effect in March.

Shares of DCI are currently trading at $71.81, where they now feature a 0.89% dividend yield. The stock is up 21% in the past year, including a 5% gain in 2012.