Cypress Semiconductor Dividend Offers 4.6% Yield

Cypress Semiconductor Corp. CY revealed that its Board has given its approval for a quarterly cash distribution of $0.11 per share. According to the company, the dividend would be payable on July 21 to all the eligible shareholders. The company has fixed the record date of June 30 to determine the eligible shareholders. Cypress Semiconductor said that it would make a determination as to whether the current year distributions were to be treated as a return of capital or a dividend after its 2016 fiscal year ends. However, the company indicated that it expects the current year's distributions to be taxable dividends. Therefore, it advised investors to treat accordingly until a final decision could be made. The current dividend provided a yield of 4.60%, which was better than the five-year average dividend yield of 3.90%. The company has been paying a dividend since 2011. On Wednesday, the stock traded 0.4% down.