Garmin Boosts Dividend for 2010; Plans Move to Switzerland (GRMN)

in Gold Gold Investing Gold Investment by admin — March 17, 2010 5:57 am | no comments

GPS maker Garmin Ltd. ( GRMN ) said Wednesday that it will double its annual dividend for 2010 only, and disclosed plans to move its place of incorporation from the Cayman Islands to Switzerland. The company will pay a $1.50 annual dividend this year, instead of its regular 75-cent payout. In 2011, however, it will resume its normal dividend of 75 cents. The new dividend will be paid on April 30 to shareholders of record on April 15. Shareholders are set to vote on the company’s move to Switzerland on May 20. Garmin shares were mostly flat in premarket trading Wednesday. The Bottom Line We have been avoiding shares of GRMN since our early June 2008 coverage began, when the stock was trading at $51.34. The company has a 2.12% dividend yield, based on last night’s closing stock price of $35.30. The stock has technical support in the $30 price area. If the shares can firm up, we see overhead resistance around the $37-$39 price levels. We would remain on the sidelines for now. Garmin Ltd. ( GRMN ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .