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the company would go with a more aggressive boost of $0.03 or greater to signal the desire to keep

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Nike Will raise 2018 Dividend

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Will Nike Raise Its Dividend in 2018?

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Will Nike Raise Its Dividend in 2018?

newsfeedback@fool.com (Dan Caplinger)

Dec 5, 2017 Updated 9 hrs ago

Will Nike Raise Its Dividend in 2018?

Investors have seen Nike (NYSE: NKE) bounce back somewhat in 2017, recovering from a terrible performance for the athletic footwear and apparel specialist in 2016. With the rising threat of competition, investors have been worried that Nike was losing its edge, but the athletic retail giant has held up somewhat better than some of its smaller peers in the space.

One area in which Nike has never been a leader is with its dividend. The stock's yield is still dismal, but the company has at least recognized its deficiency enough to put together a solid streak of annual increases over time. Many believe that Nike should make bigger dividend increases, but at least so far, the athletic apparel specialist appears to have had different priorities. Let's take a closer look at Nike to see if it might deliver a more respectable dividend increase in 2018.

Dividend stats on Nike

Current Quarterly Dividend Per Share

 

$0.20

 

Current Yield

 

1.3%

 

Number of Consecutive Years With Dividend Increases

 

16 years

 

Payout Ratio

 

31%

 

Last Increase

 

December 2017

 

Source: Yahoo! Finance. Last increase refers to ex-dividend date.

When Nike has boosted dividends in the past

When you look solely at Nike's record of dividend payments, the picture it presents is attractive. For 16 straight years, the athletic apparel specialist has raised the amount it pays to its shareholders each year. The increases have also tended to be substantial, with double-digit percentage boosts having been the norm. The most recent increase of 11% that the company declared last month was actually the smallest percentage raise that Nike had made in years, as the company chose to keep its $0.02-per-share dividend growth pace from recent years unchanged. Percentage increases in the mid-teens have been fairly commonplace for Nike in recent years, with occasional hikes that were even more generous.

NKE Dividend data by YCharts.

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