Johnson & Johnson Dividend Offers 2.6% Yield

Johnson & Johnson JNJ revealed that its Board has declared a cash dividend of $0.80 per share on its common stock for the third quarter of 2016. The dividend provided 2.6 percent yield, which was slightly lower than the five-year average yield of 2.8 percent.

Johnson & Johnson said the dividend would be payable on September 6, 2016 to shareholders, whose name of record at the close of business on August 23, 2016. The company indicated that the stock would turn into ex-dividend on August 19.

The company's dividend payout ratio was 55 percent, which was also modestly lower than the average payout ratio of 57.0 percent in the last five-year period. The company has been boosting its dividend for more than five decades. As a result, its five-year growth rate was 6.85 percent while the three-year average growth pace was 7 percent.