Benzinga | Sep 24, 2021 06:01AM EDT

McDonald's Hikes Dividend By 7%, Resumes Buyback

* McDonald's Corp (NYSE:MCD) Board of Directors has raised the quarterly cash dividend to $1.38 per share of common stock, payable on December 15, 2021, to shareholders of record at the close of business on December 1, 2021.

* The dividend rate represents a 7% increase over its previous quarterly dividend and brings the Q4 dividend payout to over $1 billion.

* The new dividend of $1.38 per share is equivalent to $5.52 annually.

* McDonald's has also announced the resumption of its share repurchase program.

* On December 31, 2019, the company's board approved a share repurchase program that authorized up to $15 billion of common stock. The company did not repurchase any shares in the open market during the June quarter. The company has a $14.1 billion value of shares that may yet to be purchased under the plan.

* Price Action: MCD shares closed higher by 0.68% at $244.78 on Thursday.