RPM International increases dividend
On October 5, 2017, RPM International (RPM) announced an increase in its regular quarterly cash dividend of $0.32 per share—a rise of 6.7% over its quarterly dividend one year ago. This represents RPM’s 44th-straight year of dividend increases.
The newly announced dividend will be paid to shareholders on October 31, 2017. Shareholders who hold the stock as of October 16, 2017, are eligible for the dividend.
According to RPM’s latest fiscal 1Q18 earnings report, ~135.72 million diluted shares are outstanding. RPM will be paying a dividend of $43.4 million as a dividend every quarter.
RPM’s stock performance
RPM rose 0.6% for the week ended October 6, 2017, and closed at $51.63. RPM underperformed peers Sherwin-Williams (SHW), PPG Industries (PPG), and Axalta (AXTA), which returned 7.1%, 4.3%, and 5.6%, respectively. RPM also underperformed the PowerShares DWA Basic Materials Momentum Portfolio (PYZ), which returned 2.3% during the same period.
PYZ had 1.2% of its portfolio in RPM as of October 6, 2017.
RPM is trading 1.4% below its 100-day moving average price of $52.35. On a YTD (year-to-date) basis, RPM has returned -4.8%. However, analysts are optimistic about RPM and have recommended a price target of $56.70 over the next 12 months, implying a return potential of 9.8% over its closing price as of October 6, 2017.
RPM’s RSI (relative strength index) level of 58 indicates that the stock is neither overbought nor oversold.