U.S. Global Investors Continues GROW Dividends in April, Shares Update on Increased Stock Buyback Program

Rhea-AI Summary

U.S. Global Investors (GROW) announced the continuation of its monthly dividend of $0.0075 through June 2022, reflecting a yield of 1.69% based on its April 22 close of $5.32. The company has maintained monthly dividends for over 12 years and has increased them twice in the past year. Additionally, GROW's share buyback program was expanded to $5 million, nearly doubling the shares repurchased compared to the previous quarter. Assets under management rose nearly 10% to $4.16 billion since the year began, while GROW stock outperformed market indices, rising over 18% in Q1 2022.

Positive

• Monthly dividend maintained at $0.0075, providing a 1.69% yield.
• Share buyback program increased to $5 million, almost doubling shares repurchased.
• Assets under management increased by nearly 10% to $4.16 billion.
• GROW stock rose over 18% in Q1 2022, outperforming the Russell 2000 and Dow Jones Asset Managers Index.

Negative

• None.

San Antonio, TX, April 26, 2022 (GLOBE NEWSWIRE) -- U.S. Global Investors, Inc. (NASDAQ: GROW) (the “Company”), a registered investment advisory firm with longstanding experience in global markets and specialized sectors, continued its payment of monthly dividends in April.

The monthly dividend of $0.0075 is authorized through June 2022 and will be considered for continuation at that time by the Board. The April dividend record date was April 11, and the payment date was April 25.

The Company has paid a monthly dividend for more than 12 years straight and has increased its dividend twice in the past calendar year. At the April 22, 2022, closing price of $5.32, the $0.0075 monthly dividend equals a 1.69% yield on an annualized basis.

The continuation of future cash dividends will be determined by the Board, at its sole discretion, after review of the company’s financial performance and other factors, and is dependent on earnings, operations, capital requirements, general financial condition of the company and general business conditions.

GROW Stock Buybacks Close to Double the Number from December Quarter

As a reminder, the Company in February increased the limit to its annual share buyback program 82%, from $2.75 million to $5 million. The Company strategically repurchases stock on down days using an algorithm.

As a result, the Company bought back close to double the number of shares of GROW in the March 2022 quarter compared to the December 2021 quarter. Buybacks increased 86% quarter-over-quarter. This is part of the Company’s two-pillar strategy to enhance shareholder value by increasing the dividend as well as the buyback amount per year.

In addition, the Company is pleased to report that assets under management (AUM) have increased from the beginning of the calendar year. As of April 25, 2022, AUM stood at $4.16 billion, a nearly 10% increase from AUM of $3.79 billion as of December 31, 2021.

In the first quarter of 2022, GROW stock performed well, rising more than 18% as of March 31. That was well ahead of the small-cap Russell 2000, which fell approximately 8% during the same period, and the Dow Jones U.S. Asset Managers Index, which declined more than 13%.    

Like the dividends, continuation of the increased buyback program will be determined by the Board and is dependent on a number of factors, including financial performance.

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About U.S. Global Investors, Inc.

The story of U.S. Global Investors goes back more than 40 years when it began as an investment club. Today, U.S. Global Investors, Inc. (www.usfunds.com) is a registered investment adviser that focuses on niche markets around the world. Headquartered in San Antonio, Texas, the Company provides money management and other services to U.S. Global Investors Funds, U.S. Global ETFs and other international clients.

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Holdings may change daily. Holdings are reported as of the most recent quarter-end. The following securities mentioned in the article were held by one or more accounts managed by U.S. Global Investors as of 03/31/2022: American Airlines Group Inc., Delta Air Lines Inc., United Airlines Holdings Inc., Southwest Airlines Co. 

The Russell 2000 Index is a small-cap stock market index that makes up the smallest 2,000 stocks in the Russell 3000 Index. The Dow Jones U.S. Asset Managers Index is a market cap-weighted index of the largest publicly traded asset management firms in the U.S.

Attachment

• U.S. Global Investors Stock (GROW) vs. Small-Caps and Asset Managers

FAQ

What is the monthly dividend amount for GROW in April 2022?

The monthly dividend for GROW in April 2022 is $0.0075.

When was the payment date for the April 2022 dividend for GROW?

The payment date for the April 2022 dividend was April 25, 2022.

How much has GROW increased its share buyback program?

GROW increased its share buyback program limit by 82% to $5 million.

What was the performance of GROW stock in the first quarter of 2022?

In Q1 2022, GROW stock rose over 18%, outperforming the Russell 2000 and Dow Jones U.S. Asset Managers Index.

What is the current assets under management for GROW?

As of April 25, 2022, GROW's assets under management stood at $4.16 billion.