Bunge Limited (BG) has announced a 10% dividend increase which will become effective with the September 2017 payment. The increase, along with dividend reinvestment, will result in a payment that will be about 24% higher than the first payment 15 months earlier. The annualized increase will be about 18%. The high annualized increase is a result of two increases over a period of less than two full years in May 2016 and May 2017.
Even when you look at the payment increase over the past 12 months from June 2016 to June 2017, BG looks like a good dividend grower, increasing the payout by 13% over that one-year period. Good! The average stock in the nonPension portfolio needs to grow payments by almost 12% per year for the portfolio to be on track to reach $560 in dividend payments per month by the end of 2035.
Rumors were swirling about a possible takeover of BG recently, but the company announced that it was not interested.
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