TransUnion hikes dividend by 26.7%

TransUnion (TRU) will hike its quarterly dividend by 26.7 percent to 9.5 cents per share in 2021. This is the first increase since TRU started paying a quarterly dividend of $0.075 per share in the second quarter of 2018.

The next dividend will be payable on June 10, 2021 to shareholders of record at the close of business on May 26, 2021. Based on the company’s new full year dividend of $0.38 per share the dividend yield for TRU is 0.4% at the current stock price of $104. The annual dividend payment to shareholders will jump to $72 million. The ex-dividend date for the next TransUnion dividend is May 25, 2021.

TransUnion states that the company maintains the Board of Directors’ targeted annual payout of 10% to 15% of Adjusted Diluted Earnings per Share based on the company’s most recent public guidance.

TransUnion is a risk and information solutions provider to businesses and consumers. The company provides consumer reports, risk scores, analytical services and decision capabilities to businesses. Businesses embed its solutions into their process workflows to acquire new customers, assess consumer ability to pay for services, identify cross-selling opportunities, measure and manage debt portfolio risk, collect debt, verify consumer identities and investigate potential fraud. Consumers use its solutions to view their credit profiles and access analytical tools that help them understand and manage their personal information and take precautions against identity theft. The company has been paying a dividend to shareholders since 2018.