RPM International raised its quarterly dividend to 57 cents per share on October 8, extending one of the longest payout growth streaks in the market to 53 consecutive years. The maker of Rust-Oleum paints and DAP adhesives declared the increase at its annual meeting in Medina, Ohio, two days after reporting record fiscal first-quarter sales of $2.22 billion.
The details of the RPM dividend increase
The new rate is payable October 30, 2026 to shareholders of record October 20. At recent prices near $97 per share, the payout yields about 2.3 percent.
The raise lifts the annualized dividend from $2.16 to $2.28 per share, an increase of 5.6 percent. On 100 shares, the quarterly check grows from $54 to $57.
Five years of October raises
| Declared | New quarterly rate | Increase |
|---|---|---|
| October 2023 | $0.46 | +9.5% |
| October 2024 | $0.51 | +10.9% |
| October 2025 | $0.54 | +5.9% |
| October 2026 | $0.57 | +5.6% |
What the income looks like per $100,000
| Measure | Old rate | New rate |
|---|---|---|
| Annual dividend per share | $2.16 | $2.28 |
| Shares per $100,000 at $97 | Approximately 1,031 | Approximately 1,031 |
| Annual income per $100,000 | About $2,227 | About $2,351 |
| Extra income per year | About $124 per $100,000 invested | |
Why the stock has slipped despite the raise
RPM shares have fallen roughly 8.6 percent over the past three months, leaving the stock down about 6.5 percent year to date. The pullback has pushed the yield well above its five-year average near 1.8 percent.
The payout remains well covered. RPM pays out roughly 41 percent of trailing earnings as dividends, and the dividend has grown at an average pace near 7 percent annually over the past five years.
Business momentum behind the payout
The dividend raise followed record fiscal first-quarter sales of $2.22 billion, reported October 6. RPM’s fiscal year ends May 31, so the quarter covered the summer months of June through August.
RPM sells through consumer brands including Rust-Oleum, DAP, and Tremco. The mix skews toward repair and maintenance products, demand that holds steadier through housing cycles than new construction does.
What to watch
The ex-dividend date falls on October 20, so buyers need shares before that session to collect the October 30 payment. Based on three years of scheduling, the next declaration should arrive in early January.
Two questions matter going forward. Whether repair and remodeling demand holds through a slower economy. And whether the board extends its streak of raises to a 54th year next October, which would put the company within reach of Dividend King status for longevity.
Common mistakes income investors make with dividend streaks
Three errors show up repeatedly when investors buy payout streaks. Chasing the longest streak while ignoring valuation, which often means paying peak multiples for companies at the top of their cycle. Assuming a long streak signals safety, when even six-decade payers can freeze dividends in a severe downturn. And buying shares the week before an ex-dividend date without checking whether the run-up already priced the payment in.
The steadier approach is simpler. Confirm the payout ratio sits below 60 percent, check whether free cash flow covers the dividend, and buy in installments rather than all at once.
Bottom line
A 53rd consecutive increase, a payout near 41 percent of earnings, and a yield above its recent norm make RPM one of the steadier income holdings in specialty chemicals. The smaller size of this raise reflects a slower economy, not weaker dividend coverage.
Stay ahead with our weekly newsletter
Get stock picks, market analysis, and strategy updates delivered to your inbox every week.
Subscribe to AlphaBetaStock’s free newsletter for daily market insights.
