Dine Brands Global (DIN) Passes Through 3% Yield MarkBy Dividend Channel Staff, Friday, May 20, 3:22 PM ET
In trading on Friday, shares of Dine Brands Global Inc (NYSE:DIN) were yielding above the 3% mark based on its quarterly dividend (annualized to $2.04), with the stock changing hands as low as $66.51 on the day. Dividends are particularly important for investors to consider, because historically speaking dividends have provided a considerable share of the stock market's total return. To illustrate, suppose for example you purchased shares of the iShares Russell 3000 ETF (IWV) back on 5/31/2000 — you would have paid $78.27 per share. Fast forward to 5/31/2012 and each share was worth $77.79 on that date, a loss of $0.48 or 0.6% decrease over twelve years. But now consider that you collected a whopping $10.77 per share in dividends over the same period, increasing your return to 13.15%. Even with dividends reinvested, that only amounts to an average annual total return of about 1.0%; so by comparison collecting a yield above 3% would appear considerably attractive if that yield is sustainable. Dine Brands Global Inc (NYSE:DIN) is a member of the Russell 3000, giving it special status as one of the largest 3000 companies on the U.S. stock markets.
In general, dividend amounts are not always predictable and tend to follow the ups and downs of profitability at each company. In the case of Dine Brands Global Inc, looking at the history chart for DIN below can help in judging whether the most recent dividend is likely to continue, and in turn whether it is a reasonable expectation to expect a 3% annual yield.
Special Offer: Join the income investing conversation on ValueForum.com with a special Seven Days for Seven Dollars invitation.
This Article's Word Cloud: Arial Brands Days Dine Dividends Dollars Even Fast Friday Global Join Juicy More NYSE Offer Russell Seven Special Start Stocks ValueForum Where Yields about above afterLeftLabels always amounts annual annualized consider dividend dividends each escape fillColor have over period return share shares special stock that total whether with would yield