The Bank of Nova Scotia is one of the Big Five Banks in Canada, and one of the oldest financial institutions in the country. Founded in 1832, the bank has grown to become one of the largest banks in North America. For investors, one of the most important aspects of the bank is its dividend history, which is one of the longest in the world. In this article, we will explore Bank of Nova Scotia's dividend history, and how it has changed over the years.
Bank of Nova Scotia's Dividend History
The Bank of Nova Scotia has paid dividends to its shareholders since 1868, making it one of the longest-serving dividend-paying companies in the world. Over the years, the bank has increased its dividend payout steadily, with the exception of a few years during the two World Wars. From 1951 to 2019, the bank has paid a consistent quarterly dividend. The company has also paid a special dividend in some years, such as in 2008, when it paid a one-time special dividend of $1.50 per share.
Dividend Growth Rate
The Bank of Nova Scotia has increased its dividend steadily over the years. From 1951 to 2019, the annual dividend growth rate has been 5.9%. This is a very solid growth rate, and it shows that the bank is committed to growing its dividend over time. The bank has also been able to maintain its dividend payout ratio, which is the percentage of profits that are paid out as dividends, at a very stable level.
Dividend Yield
The dividend yield of Bank of Nova Scotia has been relatively stable over the years. The current dividend yield is 4.7%, which is slightly higher than the average dividend yield of the S&P 500 index. This indicates that the bank is a relatively safe dividend stock, and investors can expect to receive a steady income from the stock.
Conclusion
The Bank of Nova Scotia has a long and impressive dividend history. The bank has increased its dividend steadily over the years, and has maintained a relatively stable dividend yield. For investors looking for a steady income stock, the Bank of Nova Scotia is a great choice. The bank's long dividend history also makes it a great choice for long-term investors who want to benefit from the bank's steady dividend growth.