Cisco's (NASDAQ: CSCO) struggles aren't over yet. The networking giant saw its revenue shrink by 8% last quarter, and management sees the sales weakness persisting into this year. However, shareholders also got a bit of good news in Cisco's quarterly report: The company boosted its dividend by 12% to an annual pace of more than $1 billion.
Demitrios Kalogeropoulos argues that, as impressive as it sounds, that dividend boost isn't enough to keep Cisco's payout on pace with other Dow giants like General Electric (NYSE: GE) and IBM (NYSE: IBM), which dedicated significantly more cash last year toward dividend payments. Cisco's payout ratio also lags the overall market and could stand to rise closer to GE's 55%, he says, which could happen through a scaling-back of Cisco's aggressive spending on share repurchases.
Source: Motley Fool
Related Articles:
- First Quarter 2013: Top And Bottom Performing Dividend Stocks
- A Disciplined Approach To Dividend Stocks
- 6 High-Yield REITs With Growing Dividends
- International Diversification May Be Closer than You Think
- 10 Dividend Stocks With A 10% Yield In 10 Years
Cisco's Dividend Boost Isn't Enough
Posted by D4L | Wednesday, March 12, 2014 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
~
Popular Posts Last 30 Days
-
If you're worried about inflation rearing its ugly head next year, you should probably worry about more likely catastrophes, such as bei...
-
As a relatively new blogger, the one thing that has stood out in my mind is the number of Canadian bloggers in the areas that I am most inte...
-
When a company pays a dividend, it's a good thing for shareholders. When a company consistently pays a dividend every quarter, it's ...
-
If you've been holding back from investing in your future just because you don't have a lot of extra cash to spare, I've got gre...
-
If you are looking for high-yield dividend stocks that can beat the market, you might want to check out these three companies. They all have...
-
If you are here to build a portfolio that thrives in all seasons, consider dividend stocks. They can generate steady returns and provide sta...
-
My top financial goal is to eventually become financially independent. The foundation of my strategy is to make investments that produce an ...
-
One way to achieve financial freedom is to create passive income, or income that does not depend on your active involvement beyond a certain...
-
The company's remarkable consistency and low-risk business model make it a "first-choice investment opportunity," according to...
-
Since 1926, dividends have contributed approximately 32% of the total return for the S&P 500, while capital appreciations have contribut...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.