- Q1 2021 U.S. common dividend increases were $20.3 billion, the largest quarterly increase since Q1 2012's $26.1 billion and up from $13.9 billion in Q4 2020, $8.4 billion in Q3 2020, $6.7 billion in Q2 2020 and $12.4 billion in Q1 2020.
- Q1 2021 U.S. common dividend decreases were $2.4 billion, down from $4.3 billion in Q4 2020, $10.8 billion in Q3 2020, $49.2 billion in Q2 2020, and $18.0 billion in Q1 2020.
- Net indicated dividend rate change increased $18.0 billion, compared to $9.5 billion in Q4 2020, -$2.3 billion in Q3 2020, -$42.5 billion in Q2 2020, and -$5.5 billion in Q1 2020.
- The median Q1 2021 dividend increase in the S&P 500 was 7.69%, up from 6.56% in Q4 2020, 4.17% in Q3 2020’s, 4.84% in Q2 2020, and 7.50% in Q1 2020.
NEW YORK, April 6, 2021: S&P Dow Jones Indices announced today that indicated dividend net changes (increases less decreases) for U.S. domestic common stocks increased $18.0 billion during Q1 2021, compared to $9.5 billion in Q4 2020, -$2.3 billion in Q3 2020, -$42.5 billion in Q2 2020, - $5.5 billion in Q1 2020, and a gain of $10.6 billion in Q4 2019.
For Q1 2021, aggregate increases amounted to $20.3 billion, the largest quarterly increase since Q1 2012’s $26.1 billion, up 46.9% from Q4 2020's $13.9 billion, and up 63.7% from the $12.4 billion increase in Q1 2020. Aggregate dividend cuts decreased 45.1% to $2.4 billion from Q4 2020's $4.3 billion in cuts, and down 86.8% from the $18.0 billion in cuts for Q1 2020.
For the 12-month March 2021 period, the net dividend rate fell $17.3 billion, compared to a gain of $28.2 billion for 12-month March 2020 period, as increases were $49.3 billion versus $52.5 billion, and decreases were $66.6 billion compared to $24.4 billion for 2020 period.
"Companies that suspended their dividends have started to pay again, while others who decreased their dividends or left them unchanged in 2020 have resumed increasing payments," said Howard Silverblatt, Senior Index Analyst at S&P Dow Jones Indices. "The dollar amount of dividend increases in U.S. common stocks in Q1 2021 was the largest since Q1 of 2012 as reductions significantly declined in the quarter."
Silverblatt continued, "given the accelerating vaccine schedule and re-openings, projections call for record profits in the second half of this year, which, if the virus does not re-emerge, could fuel the way for more companies to feel secure about starting and increasing dividends. For the S&P 500, 2021 is well on its way to a record payout, with a mid-single digit gain for the year in actual cash in shareholders' pockets."
