Advertisement
Australia markets closed
  • ALL ORDS

    8,153.70
    +80.10 (+0.99%)
     
  • ASX 200

    7,896.90
    +77.30 (+0.99%)
     
  • AUD/USD

    0.6507
    -0.0011 (-0.17%)
     
  • OIL

    83.11
    -0.06 (-0.07%)
     
  • GOLD

    2,254.80
    +16.40 (+0.73%)
     
  • Bitcoin AUD

    108,075.12
    +429.48 (+0.40%)
     
  • CMC Crypto 200

    885.54
    0.00 (0.00%)
     
  • AUD/EUR

    0.6036
    +0.0002 (+0.03%)
     
  • AUD/NZD

    1.0901
    -0.0001 (-0.01%)
     
  • NZX 50

    12,105.29
    +94.63 (+0.79%)
     
  • NASDAQ

    18,254.69
    -26.15 (-0.14%)
     
  • FTSE

    7,952.62
    +20.64 (+0.26%)
     
  • Dow Jones

    39,807.37
    +47.29 (+0.12%)
     
  • DAX

    18,492.49
    +15.40 (+0.08%)
     
  • Hang Seng

    16,541.42
    +148.58 (+0.91%)
     
  • NIKKEI 225

    40,369.44
    +201.37 (+0.50%)
     

Curtiss-Wright (CW) Rewards Shareholders With 6% Dividend Hike

Curtiss-Wright Corporation CW announced that its board of directors approved a 6% increase in its quarterly dividend to 18 cents per share from the dividend of 17 cents paid out in first-quarter 2021. The amount is payable Jul 2, 2021 to the company’s stockholders of record on Jun 18, 2021.

The new dividend yield of the company will be 0.59% compared with its previous yield of 0.54%.

Can This Dividend be Sustained?

Since 2013, Curtiss-Wright has returned more than $1 billion to its shareholders through share repurchases and dividend payouts. After completing its second share buyback program in the fourth quarter of 2020, which raised the full-year buyback to $200 million, the company repurchased shares worth $12 million in first-quarter 2021. Moreover, its adjusted free cash flow improved 34% in the first three months of 2021 year over year.

Curtiss-Wright expects 7-9% revenue growth in 2021, backed by a strong improvement in the Aerospace & Defense and Commercial markets. The company’s profitability is expected to be better through top-line growth and savings generated by restructuring actions. The company is expected to generate free cash flow in the $330-$360 million range during 2021 via its financial discipline. These positive developments indicate the company’s ability to sustain the dividend rate.

Last month, Curtiss-Wright announced that it was awarded a contract by Lockheed Martin Aeronautics, a Lockheed Martin LMT company, to provide its industry-leading rugged commercial-off-the-shelf processor module technology to upgrade the F-22 Raptor. Order wins of this nature continue to act as tailwinds, thus enabling management to carry on with shareholder-friendly moves.

Peer Moves

Stable cash flow enables defense companies to reward shareholders with regular dividend hikes, thereby placing them in investors’ good books. Some such players are listed below-

Raytheon Technologies Corporation RTX hiked its quarterly dividend by more than 7% to 51 cents per share. General Dynamics Corporation GD lifted its annual dividend by 8.2% to $4.76 per share from the prior level of $4.40.

Time to Invest in Legal Marijuana

If you’re looking for big gains, there couldn’t be a better time to get in on a young industry primed to skyrocket from $17.7 billion back in 2019 to an expected $73.6 billion by 2027.

After a clean sweep of 6 election referendums in 5 states, pot is now legal in 36 states plus D.C. Federal legalization is expected soon and that could be a still greater bonanza for investors. Even before the latest wave of legalization, Zacks Investment Research has recommended pot stocks that have shot up as high as +285.9%

You’re invited to check out Zacks’ Marijuana Moneymakers: An Investor’s Guide. It features a timely Watch List of pot stocks and ETFs with exceptional growth potential.

Today, Download Marijuana Moneymakers FREE >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
General Dynamics Corporation (GD) : Free Stock Analysis Report
 
Lockheed Martin Corporation (LMT) : Free Stock Analysis Report
 
CurtissWright Corporation (CW) : Free Stock Analysis Report
 
Raytheon Technologies Corporation (RTX) : Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research