NEW YORK - American Express Company (NYSE: NYSE:AXP) has announced an increase in its quarterly dividend, a move that aligns with the company's previously disclosed financial strategy. The board of directors has approved a $0.10 hike, which translates to a 17% rise in the dividend on common stock. This increase raises the payout to $0.70 per share from the previous $0.60.
Shareholders on record as of April 5, 2024, will be eligible for the new dividend, which is scheduled for distribution on May 10, 2024. This decision follows the company's fourth-quarter earnings release for 2023, during which the planned dividend enhancement was initially mentioned.
American Express, a global payments company, offers a wide range of products and services. These include personal and business cards, travel and gift services, as well as merchant services. The company also focuses on corporate sustainability and has a commitment to diversity and inclusion.
The increase in dividend is part of American Express's ongoing efforts to provide value to its shareholders and reflects the company's financial health and outlook. While the dividend raise is a sign of the company's confidence in its financial stability, it is also a routine part of many companies' financial practices to periodically review and adjust dividend payouts in accordance with their earnings and financial strategies.
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