Polaris Industries designs and sells off-road vehicles, including the Sportsman ATV. Photo courtesy Greg Goebel/flickr.com.
About Polaris Industries
Polaris Industries designs and manufactures off-road vehicles, all-terrain vehicles, snowmobiles and motorcycles for distribution around the world. The company also supplies replacement parts for its vehicles in the aftermarket. Polaris is headquartered in Minnesota and was formed in 1994. It is the successor to Polaris Industries Partners L.P., which began manufacturing snowmobiles in 1954.
Polaris divides its business by product lines: Off-Road Vehicles, Snowmobiles, Motorcycles, Small Vehicles, and Parts, Garments & Accessories (PG&A). About two-thirds of Polaris’ sales come from the Off-Road Vehicles segment, which includes all-terrain vehicles. The Parts, Garments & Accessories segment (which sells products like winches, bumpers, plows, racks, etc.) contribute about 16% of total company sales. The remaining sales are split evenly between Snowmobiles, Motorcycles and Small Vehicles, each of which contribute less than 10% to the company’s total sales.
Polaris has manufacturing facilities in the U. S. in Minnesota, Iowa, Wisconsin, and internationally in Mexico, Poland and France. The company’s products are sold through distributors and independent dealers, and also directly to the military and the government.
The company is a member of the S&P Mid Cap 400 index and trades under the ticker symbol PII.
Polaris Industries’ Dividend and Stock Split History
Polaris Industries has increased dividends since changing its company structure in 1994. The company announces annual dividend increases at the end of January, with the stock going ex-dividend at the beginning of March.
Polaris has compounded its payout at an average rate of 7.4% over the last 5 years and 12.2% over the last 10 years.
Over the last 23 years, Polaris has split its stock 4 times. Three of them were 2-for-1 splits: August 1993, March 2004 and September 2011. The company also split its stock 3-for-2 in October 1995. A single share of stock purchased before August 1993 would now be 12 shares.
Polaris Industries’ Direct Purchase and Dividend Reinvestment Plans
Polaris Industries has both direct purchase and dividend reinvestment plans. You must already be an investor in the company to participate in the plans. If you own shares of Polaris Industries’ stock in your brokerage account, you’ll have to have them transferred into your name in order to join the plans. The minimum amount for additional direct purchases is $25. The dividend reinvestment plan does not allow for partial reinvestment of dividends.
The direct purchase plan is favorable to investors, as Polaris covers the transaction and per share fees for additional purchases, either directly or through the reinvestment of dividends. When you sell your shares, you’ll pay a transaction fee of between $15 and $30, depending on the type of sell order you request, plus a commission of 10 cents per share. You’ll also pay an additional $5 to have the money directly deposited into your account. All fees are deducted from the sales proceeds.
Helpful Links
Polaris Industries’ Investor Relations Website
Current quote and financial summary for Polaris Industries (finviz.com)
Information on the direct purchase and dividend reinvestment plans for Polaris Industries