Exxon Mobil Joins Dividend Hikes... Upside In High Oil Prices (XOM, CVX)

Energy

Published: April 25, 2012 1:53 pm

Last Updated: April 27, 2020 9:02 pm

Exxon Mobil Corporation (NYSE: XOM) is confirming exactly what an earlier report predicted earlier this week. Dow Jones had a report that the DJIA components would raise their dividends again in 2012 and by about 8%. Today’s news is even better than expected.

The dividend hike just announced by Exxon Mobil is a hike of 21% from $0.47 per share to $0.57 per share per quarter. The prior dividend yield rate of 2.2% will now go up to 2.63% based upon the $86.65 price of the stock.

Exxon’s rival Chevron Corporation (NYSE: CVX) is only about half of its size but is a DJIA component and it has a dividend yield of close to 3.2% for income-oriented investors. Today’s hike from Exxon Mobil does not exactly close the entire gap between the two dividends, but it will likely be two more quarters or so before Chevron moves its dividend higher.

Today’s move moves Exxon Mobil more into the middle of the pack of the 30 DJIA components rather than closer to the bottom-third of the 30 components. More dividend hikes will be coming down the road from Exxon Mobil. More share buybacks are likely coming down the pipe too.

JON C. OGG

The Average American Is Losing Momentum On Their Savings Every Day (Sponsor)

If you’re like many Americans and keep your money ‘safe’ in a checking or savings account, think again. The average yield on a savings account is a paltry .4%¹ today. Checking accounts are even worse.

But there is good news. To win qualified customers, some accounts are paying more than 7x the national average. That’s an incredible way to keep your money safe and earn more at the same time. Our top pick for high yield savings accounts includes other benefits as well. You can earn up to 4.00% with a Checking & Savings Account today Sign up and get up to $300 with direct deposit. No account fees. FDIC Insured.

Click here to see how much more you could be earning on your savings today. It takes just a few minutes to open an account to make your money work for you.

Our top pick for high yield savings accounts includes other benefits as well. You can earn up to 4.00% with a Checking & Savings Account from Sofi. Sign up and get up to $300 with direct deposit. No account fees. FDIC Insured.

¹https://www.fdic.gov/national-rates-and-rate-caps