Dividend-News

Dividends By The Numbers In April 2020

Published Wed, 06 May 2020 06:01:01 -0400 on Seeking Alpha

April 2020 was one of the worst single months for dividend-paying firms in stock market history.
The number of dividend cuts and suspensions announced by publicly traded firms in the United States has soared during the month.
In a classic recessionary sign, the number of dividend reduction announcements exceeded the number of dividend increases in the month, the first time that has occurred since the "Great Recession".
The number of dividend cuts and suspensions announced by publicly traded firms in the United States has soared during April 2020 in one of the worst single months for dividend-paying firms in stock market history.
The following chart shows the classic recessionary sign of the number of dividend reduction announcements crossing over and exceeding the number of dividend increases in April 2020, the first time that has occurred since the so-called "Great Recession".

All of the numbers in the April 2020's dividend metadata are bad:
A total of 3,092 U.S. firms declared dividends in April 2020, a decrease of 777 from the 3,869 recorded in March 2020. That figure is also 15 lower than what was recorded a year ago in April 2019. 11 U.S. firms announced they would pay a special (or extra) dividend to their shareholders in April 2020, a decrease of 13 from the number recorded in March 2020 and 21 lower than what was recorded a year ago in April 2019. April 2020's figure for extra dividends is the second lowest in the available data, with the lowest value of 8 recorded in August 2009 during the so-called Great Recession. 53 U.S. firms announced they would boost cash dividend payments to shareholders in April 2020, a decrease of 81 from the 134 recorded in March 2020 and a decrease of 104 from the 157 dividend rises declared back in April 2019. While not a record, it is the lowest number recorded since September 2011. A new record-high total of 120 publicly traded companies cut their dividends in April 2020, an increase of 67 over the... Read more