The Dynamic Dividend

GE: A Rare Opportunity to Lock in a 4% Yield

General Electric (GE) shares have fallen below $15.00 today, pushing the global conglomerate’s yield over the 4% threshold. The stock hasn’t closed with a yield this high since the broader market bottomed-out in March 2009.

Below is a snapshot of GE’s yield since it last closed above 4% on March 30, 2009. The chart does not include today’s activity, as it tracks closing prices only.

GE reduced its dividend for the first time since 1938 when it slashed its quarterly payout from an all-time high of $0.31 all the way down to $0.10 per share in February 2009. But the company’s dividend has been on the mend recently. After giving its shareholders a 7% raise in April — the company’s third dividend hike in four quarters — GE has raised its payout by 50% since the big cut.

Shares of GE are currently trading at their intraday low of $14.82, where they feature a 4.05% dividend yield. With its quarterly payout now at $0.15 per share, the stock yields 4% any time it dips below the $15 threshold.