Given the billions of dollars that Apple now pays to shareholders annually, it might seem surprising to learn that the company didn't even pay a dividend for decades. The recent release of the iPhone 11 has gone relatively well, and moves to emphasize the company's services offerings are gaining momentum. Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. During the tech boom of the mid-1990s, Apple discontinued its modest initial payout, and shareholders had to deal with having no income from their Apple stock until the early 2010s. With a payout of roughly 30% of earnings, Apple paid a 2% dividend yield. As the Fool's Director of Investment Planning, Dan oversees much of the personal-finance and investment-planning content published daily on Fool.com. That won't do much to increase Apple's yield, but it will give dividend investors the confidence that they'll continue to participate in the company's growth. Apple authorized an additional $75 billion in stock buybacks at the same time that it boosted its dividend, and CFO Luca Maestri repeated Apple's commitment to move toward a cash-flow neutral stance in determining its capital-return policy. Last increase refers to ex-dividend date. A company that pays out close to half its earnings as dividends and retains the other half of earnings has ample room to grow its business and pay out more dividends in the future. Number of Consecutive Years With Dividend Increases. The next Apple Inc dividend is expected to go ex in 2 months and to be paid in 2 months. Tax reform in late 2017 toppled the last barriers standing in the way of the company returning capital to shareholders, and Apple has aggressively boosted its dividend in recent years -- 2019 marked the eighth straight year for a higher dividend from Apple. Apple Stock Will Jump to $125, According to This Analyst, Copyright, Trademark and Patent Information. Over the past year, Apple (NASDAQ:AAPL) has successfully regained its perch as the most valuable stock in the world. Cumulative Growth of a $10,000 Investment in Stock Advisor, Will Apple Raise Its Dividend in 2020? Apple Is Down Nearly 20% From Its Post-Split High: Time to Buy? Returns as of 09/24/2020. Let's conquer your financial goals together...faster. Find the latest dividend history for Apple Inc. Common Stock (AAPL) at Nasdaq.com. Apple has committed itself to rewarding shareholders with returns of capital, and dividends have become a key part of the company's capital-allocation strategy. The per-share payout has more than doubled in seven years, but the gain in the stock price has greatly surpassed the dividend growth rate. In 2018, a 16% dividend hike followed favorable changes in tax laws, giving shareholders even more confidence in the income Apple stock could give them. See you at the top! Other product lines, such as the Apple Watch and AirPods wearable devices, have seen surges in demand recently, helping to create new growth opportunities for the tech giant. Stock Advisor launched in February of 2002. Investors in Apple currently have to settle for a yield of just 1.2%, but it's hard to blame the company for that. With a background as an estate-planning attorney and independent financial consultant, Dan's articles are based on more than 20 years of experience from all angles of the financial world. Dividend Uptrend A stock’s Dividend Uptrend rating is dependent on the company’s price-to-earnings (P/E) ratio to evaluate whether or not a stock’s dividend is likely to trend upward. Some investors, however, weren't entirely satisfied with the size of that increase and wondered whether they can count on the company to keep its streak alive in 2020. If those parts of Apple's business remain healthy, they could drive the cash flow necessary for future dividend increases. The Ascent is The Motley Fool's new personal finance brand devoted to helping you live a richer life. Even so, HP has a good track record of boosting its dividend, with a current yield of 2.7% -- more than 50% greater than that of Apple. Market data powered by FactSet and Web Financial Group. Below, we'll look more closely at Apple's dividend prospects in the coming year. The … At that point, though, Apple made up for lost time by implementing a dividend in 2012. Apple's products are so popular that the tech giant generates truly astounding amounts of cash flow. 2. With a market capitalization above $1 trillion, the iPhone maker has managed to reinvigorate its core product line while also expanding into new areas like wearables and service offerings. Apple authorized an additional $75 billion in stock buybacks at the same time that it boosted its dividend, and CFO Luca Maestri repeated Apple's commitment to move toward a … Yet in 2019, Apple disappointed some dividend investors. Given Apple's recent success, investors should expect dividend growth to return to around 10%, suggesting a boost to around $0.85 per share that would likely come in the spring.