In a shareholder-friendly move, Nordson Corporation NDSN has announced a hike in its dividend payout. The company increased its quarterly dividend by 5% to 82 cents per share (annually: $3.28). The new dividend will be paid out on Sept. 25, 2025, to shareholders of record as of Sept. 11.
The move underscores NDSN’s sound financial health as it utilizes free cash flow to enhance its shareholders’ returns. This marks Nordson’s 62nd consecutive year of annual dividend increase. Prior to this, it had hiked its dividend by 15% to 78 cents per share in August 2024.
Strong cash flows allow Nordson to effectively deploy capital for making acquisitions, repurchasing shares and paying out dividends. Dividend payments totaled $88.9 million in the first six months of fiscal 2025 (ended April 30, 2025), reflecting an increase of 14.3% year over year. The company also bought back shares worth $146.3 million in the first six months of the fiscal year. We believe such disbursements highlight the company’s operational strength and commitment to enhancing shareholders’ wealth.
Zacks Rank & Price Performance
Nordson currently carries a Zacks Rank #2 (Buy). NDSN is well-positioned to benefit from the solid momentum in the Advanced Technology Solutions segment. Strong customer demand for the nonwovens, packaging, consumer non-durable and optical sensors product lines is aiding the company. The company aims to expand its market share, product offerings and customer base through strategic acquisitions.
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In the past month, the company’s shares have risen 4.1% compared with the industry’s growth of 2.6%.
The Zacks Consensus Estimate for NDSN’s fiscal 2025 (ending October 2025) earnings is pegged at $10.07 per share, up 0.4% from the 60-day-ago figure.
Other Key Picks
Some other top-ranked companies from the same space are discussed below.
Flowserve Corporation FLS currently sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
FLS delivered a trailing four-quarter average earnings surprise of 5.5%. In the past 60 days, the Zacks Consensus Estimate for FLS’ 2025 earnings has increased 4.7%.
Graham Corporation GHM currently sports a Zacks Rank of 1. GHM delivered a trailing four-quarter average earnings surprise of 64%.
In the past 60 days, the consensus estimate for Graham’s fiscal 2025 earnings has increased 15.4%.
Crane Company CR presently carries a Zacks Rank of 2. It delivered a trailing four-quarter average earnings surprise of 7.5%.
In the past 60 days, the Zacks Consensus Estimate for CR’s 2025 earnings has risen 4%.
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See This Stock Now for Free >>Flowserve Corporation (FLS) : Free Stock Analysis Report
Nordson Corporation (NDSN) : Free Stock Analysis Report
Graham Corporation (GHM) : Free Stock Analysis Report
Crane Company (CR) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
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