Walmart pays dividends, and has done so consistently for decades

Yes. Walmart (ticker: WMT) pays a quarterly dividend to shareholders who own its stock. The company has increased its dividend every year since 1974, making it one of the longest-running dividend-paying stocks in the United States. If you own Walmart shares, you receive a payment four times per year.

The dividend amount changes periodically. Walmart's board of directors votes to raise, maintain, or occasionally adjust the per-share payout. As of early 2024, the quarterly dividend was roughly $0.67 per share, but you should check the current rate on Walmart's investor relations website or your brokerage account, since this figure shifts with board decisions.

You do not have to do anything to receive the dividend if you own the stock. Your brokerage automatically deposits it into your account on the payment date, usually in March, June, September, and December.

Key Takeaways

  • Walmart has paid dividends every quarter for over 50 years and raised the payout annually since 1974.
  • The dividend is paid four times per year directly into your brokerage account with no action required on your part.
  • The per-share amount varies and is set by Walmart's board; you can find the current rate on Walmart's investor relations page or your brokerage statement.
  • To receive a dividend payment, you must own the stock on the ex-dividend date, which is typically a few weeks before the actual payment date.

How much dividend does Walmart actually pay

Walmart's dividend is quoted in dollars per share per quarter. If you own 100 shares and the quarterly dividend is $0.67, you receive $67 that quarter, or roughly $268 per year. The exact amount depends on how many shares you own and what the board has set for that quarter.

The dividend yield—the annual payout divided by the stock price—typically falls between 1% and 2%. This means if you bought Walmart stock at $80 per share, you might receive about $1 to $1.60 per share annually in dividends, or roughly 1.25% to 2% of your purchase price each year. The yield changes constantly because the stock price moves daily, even though the dividend itself only changes a few times per year.

Walmart raises the dividend most years, but the increase is usually modest—often 2% to 5% per year. This is not a high-yield dividend stock; it is a stable, slow-growth payout that reflects Walmart's mature business and focus on returning cash to long-term shareholders.

When you receive the payment and what the ex-dividend date means

Walmart pays dividends on a set schedule: typically in March, June, September, and December. The exact dates vary year to year. To receive a payment, you must own the stock on the ex-dividend date, which is usually two business days before the official record date.

If you buy Walmart stock after the ex-dividend date, you will not receive the next upcoming dividend. If you sell before the ex-dividend date, you forfeit it. This matters if you are timing a purchase or sale around a dividend payment. Your brokerage will show you the ex-dividend date in the stock details, or you can find it on Walmart's investor relations website under "Dividend Information" or "Shareholder Returns."

The payment itself lands in your account a few weeks after the ex-dividend date. You do not need to claim it or fill out paperwork; it simply appears as a credit.

Tax treatment of Walmart dividends

Walmart dividends are taxed as may have access to dividends in most cases, which means they receive favorable tax treatment compared to ordinary income. If you have held the stock for more than 60 days around the dividend payment date, the dividend is taxed at the long-term capital gains rate (0%, 15%, or 20%, depending on your income), not your regular income tax rate.

If you hold the stock in a tax-deferred account like a 401(k) or traditional IRA, you owe no tax on the dividend when you receive it. You pay tax only when you withdraw money from the account. In a Roth IRA, dividends grow tax-free and you owe no tax on withdrawals in retirement.

Your brokerage sends you a 1099-DIV form each January showing the dividends you received that year. Keep this for your tax return. If you reinvest dividends automatically (see below), the reinvested amount is still taxable income in the year you receive it, even though you did not take the cash.

Reinvesting dividends automatically

Many brokerages offer dividend reinvestment plans (DRIPs), which automatically use your dividend payment to buy more Walmart shares instead of sending you cash. This can be useful if you want to compound your investment over time without having to manually buy shares each quarter.

Some brokerages offer DRIPs with no commission or fractional shares, meaning you can reinvest even a small dividend into a partial share. Others charge a fee or round to whole shares only. Check your brokerage's DRIP terms before enrolling.

Keep in mind that reinvested dividends are still taxable income in the year you receive them, even though you did not take the cash. You still owe tax on the full dividend amount, whether you reinvest it or not.

Walmart dividend history and reliability

Walmart has raised its dividend every year since 1974—a streak of over 50 years. This consistency is one reason the stock is popular with retirees and income-focused investors. The company has weathered recessions, supply chain disruptions, and competitive pressure while maintaining and growing its payout.

That said, no dividend is may provide. Walmart's board could vote to freeze or cut the dividend if the business faced severe financial stress. During the 2008 financial crisis, Walmart maintained its dividend while many other retailers cut theirs, but that does not mean it could never happen. A dividend is a return of company profits, not a promise.

If you rely on dividend income, Walmart is considered a relatively safe choice compared to smaller or more volatile companies. But you should never assume any dividend will last forever or grow at a predictable rate.

Frequently Asked Questions

What if I buy Walmart stock right before the ex-dividend date?

You will not receive the upcoming dividend if you buy after the ex-dividend date. The ex-dividend date is typically two business days before the record date. If you want to receive a specific dividend payment, you must own the stock before that ex-dividend date. Your brokerage will show you the ex-dividend date in the stock details.

Can I live off Walmart dividends?

Walmart's dividend yield is typically 1% to 2%, so you would need a very large position to generate meaningful income. For example, a $100,000 investment might produce $1,000 to $2,000 per year in dividends. Most people use Walmart dividends as part of a broader income strategy, not as a sole source of cash.

Do I pay taxes on dividends if I hold the stock in a 401(k)?

No. Dividends in a 401(k) or traditional IRA grow tax-deferred. You pay tax only when you withdraw money from the account in retirement. In a Roth IRA, dividends are never taxed, even in retirement.

What happens to my dividend if Walmart's stock price drops?

The dividend payment per share stays the same unless Walmart's board votes to change it. The stock price and the dividend are separate. If the stock price falls, your dividend yield (the annual payout divided by the stock price) rises, but you still receive the same dollar amount per share each quarter.

How do I find the ex-dividend date for Walmart?

Check your brokerage account—most show the ex-dividend date in the stock details or a dividend calendar. You can also visit Walmart's investor relations website and look for "Dividend Information" or "Shareholder Returns." The ex-dividend date is usually listed alongside the payment date and record date.