For LS Starrett, It's All About The Dividend
Shares of L S Starrett Co (NYSE: SCX) were up a little over 16 percent on Tuesday, despite the absence of any new news item. So what triggered the upsurge?
Also on Tuesday, December 16 was the record date for the company’s upcoming dividend of $0.10 per share, payable on December 30. According a company spokesperson, its explanation for the move is simply: “people want to get the dividend!”
And one can understand why. The annualized yield surpasses 2.3 percent, above peers like Alamo Group, Inc. (NYSE:ALG) (0.59 percent), Snap-on Incorporated (NYSE: SNA) (1.59 percent), Stanley Black & Decker, Inc. (NYSE: SWK) (2.2 percent) and Blount International Inc (NYSE: BLT) (no dividend).
Worth noting, LS Starrett has consistently paid out quarterly dividends since the third quarter of 2000. After several increases and decreases, the amount was fixed at $0.10 per share, and has been maintained at this level since the second quarter of 2011.
Black & Decker also offers a good track record in terms of dividend payouts, with more than a decade-long streak.
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