GATX Corp Approves Share Buyback Program, Hikes Dividend; Shares Move Higher
Shares of GATX Corporation (NYSE: GMT), an independent global railcar lessor, were trading higher by more than 3 percent on Friday after the company announced a new share repurchase authorization and a 5.3 percent raise in its quarterly dividends.
GATX's board of directors has approved a new $300 million share authorization. The company noted that over the past 10 years it has invested more than $7 billion in its business and returned over $1.3 billion to investors through share repurchases and dividends.
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The company's board of directors also approved a 5.3 percent increase in its quarterly dividend to $0.40 per share. In fact, investors have received quarterly dividends without interruption since 1919.
"This dividend increase and share repurchase authorization reflect the board's positive long-term outlook for the Company and demonstrates GATX's commitment to continue returning capital to our shareholders," Brian A. Kenney, president and chief executive officer of GATX Corporation said.
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