Annual Dividend: Nestle (NSRGY)
Swiss global food and beverage giant Nestle (NSRGY) screams “chocolate” here in the U.S., but it has a huge brand portfolio that also includes water (Pure Life), coffee (Nescafe), dairy (Carnation) and ice cream (Dreyer’s). And while it trades over the counter, it’s not some questionable small-cap — NSRGY boasts a market cap of nearly U.S. $200 billion, and its American depository receipts (ADRs) trade hands at nearly a million shares daily.
Like many international companies, Nestle doesn’t pay quarterly. In fact, should you invest in Nestle, you’re looking at lump sum dividend payments once a year … but Nestle has paid dividends every year since 1959, so you don’t have to worry about the dividend evaporating. Its most recent payout was for $1.81, good for a yield of roughly 2.5% on current prices.For timing purposes, Nestle historically pays dividends five days after its annual general meeting, traditionally held in April.
Also, keep in mind that because NSRGY is an ADR, there’s currency risk to consider, too. Nestle dividend payments are made in the Swiss franc, with U.S. dividends converted accordingly.
Marc Bastow is an Assistant Editor at InvestorPlace.com. As of this writing, he did not hold a position in any of the aforementioned securities.