Highlighting how significant the 2021 special dividend was, it amounts to more than five times the boosted quarterly dividend Dick's just announced. In 20, for instance, Dick's paid shareholders $2 and $5.50 special dividends, respectively. Instead, it reinstated the program, citing extremely strong sales after those stores reopened.Īnother key aspect to Dick's history of rewarding shareholders - and a part of it that some investors may overlook - is that it occasionally pays special dividends on top of its regular dividends. But it didn't end up missing a payment after all. In 2020, Dick's said that it was going to suspend dividend payments after many of its stores were shuttered early in the pandemic. Here's one tidbit about its that history that highlights just how well this business is doing, despite an uncertain market.

Over the past 12 months, Dick's distributed only 15.6% of its earnings in dividends.ĭick's has an impressive dividend history, going back more than a decade. Making the argument for expecting additional increases even stronger, Dick's boasts an exceptionally low payout ratio. This robust business momentum sets Dick's up well for more dividend hikes in the years ahead. Its momentum, Hobart added, has positioned Dick's to simultaneously accelerate investments in its business 'to fuel long-term growth opportunities, and also return significant capital to shareholders.' Further, the dividend increase reflects management's 'strong conviction' in the company's 'structurally higher sales and earnings,' she said.

'In 2023, we will grow both our sales and earnings through positive comps,' said CEO Lauren Hobart in the company's fourth-quarter earnings release. Management is extremely confident about Dick's future. Dick's new quarterly payout is $1 per share, which at the current stock price gives it an attractive dividend yield of 2.8%. Alongside its announcement of record-setting 2022 results last week, the company surprised investors with a 105% increase to its dividend.

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