Thursday, August 2, 2012
Norfolk Southern Increases Dividend
NSC reported it will hike its quarterly dividend 6.38% to $.50 per share. This a small increase for a stock yielding under 3%, but it is the second increase this year. The company also reported plans for additional share buybacks. Personally, I'm neutral on share buybacks. I'd rather just have the cash in the form of a dividend to use as I see fit. On the other hand reducing the sharecount should increase EPS to make room for future dividend increases. For those who don't know NSC operates railroads in the United States and has raised dividends for the past 11 years. It's a fairly popular stock among dividend growth investors.