Paychex Raises Dividend As Stock Rests Near Lows

On Monday, Paychex (PAYX) announced a 3.3% increase in the company's quarterly cash dividend. The new quarterly dividend increases to 31 cents per share versus 30 cents per share in the same quarter last year. The estimated payout ratio is 75% based on year end May 2009 earnings per share estimate of $1.65. The 5-year average payout ratio is approximately 53%. Paychex has an S&P Quality Ranking of A+.

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Comments

[notsosmart:]

in this day & age these dividend yields are a joke.

2008 Jul 15 03:38 PM

[davidma11:]

Dividends are the only thing that tie management to stock holders. So in this day & age dividend increases and yields matter a great deal.

2008 Jul 24 10:57 PM

[User 235526:]

Impressive statement to raise dividends in this environment. Kudos to management not to run and hide, but rather to show confidence in continued strong operations and future growth potential.

2008 Jul 31 11:53 AM