The food company is expected to announce dividend for the current quarter that is much lower than what it used to give to its shareholders.
Recent McDonald’s news talks about how the food company has been working its way up in the dividend’s department, which seems to be one of the only sectors where the giant has been reporting positively. The food giant has only been reporting more the company is following dividend with the passing of every fiscal year and this trend since the 29 years.
The rate on which the dividend is increased by the management of the company has only been going up rather than going downwards which is something the analysts and investors have always been positive about. However, this has changed for some time now and the dividend growth has come to a dreading standstill, which is believed to continue for the next few quarters as well.
Even though McDonald’s restaurants have been growing at a very fast speed all over the country for the past few decades, the organization has also managed to face some serious highs and blows which have brought the company down on many levels.
However, the new CEO of the company not only introduced a new turnaround plan to make things better but also made sure that the new rules and plans were being followed and implemented in the best possible way so that the food company can regain its position in the industry and make the sales better again.
McDonald’s stock has been working fine as long as the dividend distribution is concerned. The largest increase in the dividend that was experienced by the company in the recent times was in 2011, but that was some time ago so the investors have turned out to be a little negative towards the company now.
The food company previously followed a system of paying dividends to the shareholders on an annual basis, but a change was brought to that as well and it started giving away dividends quarterly.
September is usually the month when the company announces the dividend distribution for its shareholders and even though the month is already more than half way done with, analysts believe that the big announcement is yet to be made. However, McDonald’s stock news indicated that instead of an increased dividend for the quarter, it is to be believed by the same analysts that the company has so far faced lows on the index.
It could be expected that this time the firm gives away a lower than usual number for distribution, which could even turn out to be a disappointment for the shareholders.