Deere's stock surges after dividend raised by 17%

Shares of Deere & Co. DE, +2.52% climbed 2.8% successful midday trading Wednesday, aft the construction, agriculture and turf attraction instrumentality shaper raised its dividend by 16.7%. The institution said it volition wage a dividend of $1.05 a share, up from a erstwhile dividend of 90 cents a share, connected Nov. 8 to shareholders of grounds connected Sept. 30. Based connected existent banal prices, the caller yearly dividend would connote a dividend output of 1.11%, which compares with the output for the iShares Industrial Select Sector ETF XLI, +0.72% of 1.22% and the implied output for the S&P 500 SPX, +0.30% of 1.33%, according to FactSet. "The latest summation successful our quarterly dividend is simply a reflection of Deere's caller beardown show and the occurrence of our caller strategy and operating model," said Chief Executive John May. "It besides shows our assurance successful the company's aboriginal direction." Deere's banal has tally up 40.6% twelvemonth to date, portion the concern ETF has precocious 18.5% and the S&P 500 has climbed 19.8%.