The J.M. Smucker Co. Declares Dividend

Rhea-AI Summary

The J.M. Smucker Co. (NYSE: SJM) has declared a $1.06 per share dividend on its common shares, to be paid on March 1, 2024, to shareholders of record as of February 16, 2024.

Positive

• The company's Board of Directors has approved a dividend, indicating confidence in the company's financial position.

Negative

• None.

Insights

Financial Analyst

The announcement of a $1.06 per share dividend by The J.M. Smucker Co. reflects a commitment to returning value to shareholders. In assessing the sustainability of such dividends, one must consider the company's payout ratio and free cash flow. The payout ratio, which is the percentage of earnings paid to shareholders as dividends, should ideally be sustainable over the long term without compromising the company's growth prospects.

Furthermore, the consistency of dividend payments can be a sign of financial health and stability. Investors typically view companies with a steady or increasing dividend payment history as less risky, which can have a positive impact on the stock's desirability and valuation. However, it is crucial to balance these payments with the need for reinvestment into the company for future growth.

Market Research Analyst

The dividend declaration by The J.M. Smucker Co. can also be interpreted as a signal to the market about the company's current performance and future expectations. Dividends are often perceived as a distribution of profits and a stable or increasing dividend may indicate confidence in the company's earning power. It is important to analyze this move in the context of the company's industry and the broader market trends.

For instance, if the industry is facing downward pressures yet Smucker's maintains or increases its dividend, it could imply a strong competitive position. Conversely, if the overall industry is thriving but Smucker's dividend remains stagnant or decreases, it could raise concerns about the company's relative performance and strategic positioning.

ORRVILLE, Ohio, Jan. 19, 2024 /PRNewswire/ -- The J.M. Smucker Co. (NYSE: SJM) today announced its Board of Directors approved a $1.06 per share dividend on the common shares of the Company. The dividend will be paid on Friday, March 1, 2024, to shareholders of record at the close of business on Friday, February 16, 2024.

About The J.M. Smucker Co.
At The J.M. Smucker Co., it is our privilege to make food people and pets love by offering a diverse family of brands available across North America. We are proud to lead in the coffee, peanut butter, fruit spreads, frozen handheld, sweet baked goods, dog snacks, and cat food categories by offering brands consumers trust for themselves and their families each day, including Folgers^®, Dunkin'^®, Café Bustelo^®, Jif^®, Smucker's^® Uncrustables^®, Smucker's^®, Hostess^®, Voortman^®, Milk-Bone^®, and Meow Mix^®. Through our unwavering commitment to producing quality products, operating responsibly and ethically and delivering on our Purpose, we will continue to grow our business while making a positive impact on society. For more information, please visit jmsmucker.com.

The J.M. Smucker Co. is the owner of all trademarks referenced herein, except for Dunkin'^®, which is a trademark of DD IP Holder LLC. The Dunkin'^® brand is licensed to The J.M. Smucker Co. for packaged coffee products sold in retail channels, such as grocery stores, mass merchandisers, club stores, e-commerce and drug stores, and in certain away from home channels. This information does not pertain to products for sale in Dunkin'^® restaurants.

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SOURCE The J.M. Smucker Co.

FAQ

What is the dividend amount declared by The J.M. Smucker Co. (NYSE: SJM)?

The company has declared a $1.06 per share dividend on its common shares.

When will the dividend be paid to shareholders of The J.M. Smucker Co. (NYSE: SJM)?

The dividend will be paid on March 1, 2024.

Who is eligible to receive the dividend from The J.M. Smucker Co. (NYSE: SJM)?

Shareholders of record at the close of business on February 16, 2024, are eligible to receive the dividend.