Dividend Increase - Royal Bank of Canada (RY)

 

 

Thursday, May 26th the Board of Directors of Royal Bank of Canada (RY) announced a quarterly dividend increase of from C$ 1.20 to C$ 1.28 per share that’s payable August 24, 2022 to holders of record July 26, 2022. This represents a 6.67% increase over the last quarterly dividend.

 

With current price C$ 132.10 (yesterday's close), this raise brings their dividend yield to 3.88%.

 

Royal Bank of Canada is a member of Canadian Dividend All Star List with a 12 year streak of dividend increases. Dividend growth rates for 1, 3, 5 and 10 years are 0.7, 4.6, 5.9 and 7.6 (Canadian Dividend All-Star List)

 

 

Since I own 120 shares of RY, this will increase my portfolio's projected annual net dividend income by $ 22.38.

 

Royal Bank of Canada last raised its dividend in December 2021, so it looks like the pre-pandemic era is back and the dividend will probably rise again twice a year. If that's going to happen, then I'm very happy with this increase.

 

This is the 14th dividend increase I received from RY since initiating a position August 2014. During this period, the quarterly dividend has risen very nicely from $0.71 to $1.28, or 80.3%

 

This increase raises my YOC to 6.76%.

 

 

Summary of 2022 Dividend Increases / Cuts

 

 

Click here to see my portfolio holdings.

 

You can follow the development of my dividends here.

 

Full Disclosure: Long RY

 

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