Medtronic Dividends

Dividend Aristocrat Overview: Medtronic plc

Medtronic operates in over 140 countries, including Ukraine, shown here.
Photo: Flickr.com/U.S. Embassy Kyiv

About Medtronic plc

Medtronic’s mission is to develop and market medical technologies that extend and enhance the lives of people around the world.  The company is organized into three separate divisions: Cardiac and Vascular Group, Diabetes Group, and Restorative Therapies Group.  Medtronic employs 46,000 people, holds over 26,000 patents and operates in over 140 countries around the world.

Medtronic was founded in 1949 and went public in 1959.  The company’s shares were traded over-the-counter until 1964 when the company was listed on the NASDAQ.  The shares began trading on the NYSE in 1977.  The U.S.-based Medtronic merged with Irish company Covidien plc in early 2015 to form Medtronic plc.

The company is a member of the S&P 500 index and trades under the ticker symbol MDT.

Medtronic’s Dividend and Stock Split History

Medtronic has increased dividends annually since 1977 and met the Dividend Aristocrat criteria of 25 consecutive years of dividend growth in 2002.  The company usually announces annual dividend increases in June with the stock going ex-dividend in July.

Medtronic has compounded its payout at an average rate of 12.1% over the last 5 years and 14.1% over the last 10 years.

Since coming public, Medtronic has split its stock two for one 10 times.  These splits occurred in August 1967, January 1969, September 1972, July 1980, August 1989, August 1991, September 1994, September 1995, August 1997, and September 1999.

Medtronic’s Direct Purchase and Dividend Reinvestment Plans

Medtronic offers both a direct purchase and a dividend reinvestment plan.  Investors interested in participating in either of these plans can find information at the Wells Fargo Shareholder Services website.  The minimum investment amount is $250 for new investors and $25 for additional investments.

The plans have both purchase and sales fees.  First, there is a $10 initial setup fee for new investors.  The transaction fee for check or direct debit purchases ranges between $1 and $3 depending on the method.  The transaction fee for dividend reinvestments is 5% of the purchase amount, up to $5.  Medtronic pays the commissions on purchases.

Sales fees range between $10 and $30, depending on the type of sale (batch, market, limit, or stop order), plus a $0.10 per share commission.  Investors will be charged $5 to directly deposit the proceeds into their bank account.  Other fees may apply as well, and investors should review the plan documents before participating in the plans.

Helpful Links

Medtronic’s Investor Relations Website

Current quote and financial summary for Medtronic, Inc.

Information on the direct purchase and dividend reinvestment plans for Medtronic

Want to learn about more great dividend growth stocks?

Check out the list of current S&P Dividend Aristocrats.

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