Walt Disney Boosts Annual Dividend

Walt Disney said its board has approved a plus 14% increase in its annual cash dividend to 40 cents per share.
By Michael Baron ,

NEW YORK (

TheStreet

) --

Walt Disney

(DIS) - Get Report

said late Wednesday its board has approved an increase in its annual dividend of more than 14%.

In

a press release

issued after the closing bell, the Dow component said its annual payout would rise 5 cents to 40 cents a share from a prior level of 35 cents.

"The Walt Disney Company had a strong year both creatively and financially in 2010," said Robert Iger, the company's president and CEO, in a statement. "We are pleased to be able to raise our shareholder dividend while continuing to invest for future growth."

Disney's stock closed Wednesday at $37.12, up 1.7% for the day. Year-to-date, the stock has risen more than 13% vs. a gain of 8% for the Dow. The shares reached their 52-week high of $37.98 back in early May, but recently climbed back above $37 following a spike higher in the wake of the company's fiscal fourth-quarter report on Nov. 11.

>>>Check out TheStreet's Dividend Calendar

In a bullish technical sign, the stock has moved past both its 50-day moving average of $36.17 and its 200-day moving average of $34.32.

The higher dividend is payable on Jan. 18 to shareholders of record on Dec. 13. At the current share price, the forward annual yield on the higher dividend payout would be 1.1%.

--

Written by Michael Baron in New York.

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