Fastenal Company

(NASDAQ Global Select)
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Somewhat Bullish +45

Fastenal Co's Dividend Analysis

Dividend AI-generated analysis

πŸ“… Fastenal Co announced a $0.26 per share cash dividend payable on November 25, 2026, with an ex-dividend date of October 28, 2026.

πŸ† The company is recognized as a dividend aristocrat, having increased its dividend every year since 1996 and maintaining payments since 1991.

πŸ’° Fastenal Co currently offers a 12-month trailing and forward dividend yield of 1.98% based on current market data.

πŸ“ˆ Over the past three years, the company achieved an annual dividend growth rate of 12.20%, with a decade-long average growth rate of 12.60%.

πŸ“Š Fastenal Co holds a perfect profitability rank of 10 out of 10 and has reported positive net income for each year over the past decade.

πŸš€ Revenue per share combined with a 3-year revenue growth rate indicates a strong financial model, growing approximately 5.50% annually on average.

πŸ’Ή The company's earnings increased by approximately 5.00% per year on average over the past three years, outperforming roughly 64% of global competitors.

⚠️ Fastenal Co's dividend payout ratio stands at 0.78 as of September 30, 2026, which may suggest a thinner cushion for future dividend sustainability compared to peers.

🌍 The company continues to expand its on-site and vending operations as its primary growth strategy while growing its digital footprint through e-commerce.

πŸ“‰ Despite strong profitability ranks, the modest 1.98% yield combined with a high payout ratio requires value investors to weigh the trade-off between dependable raises and current income levels.

Bullish Signals
  • Fastenal Co is classified as a dividend aristocrat, having increased its dividend every year since 1996 and maintained a consistent payment record since 1991.
  • The company holds a perfect profitability rank of 10 out of 10 and has reported positive net income for each year over the past decade.
  • Fastenal Co's revenue has increased by approximately 5.50% per year on average, outperforming approximately 65.29% of global competitors.
  • The company's earnings grew by approximately 5.00% per year on average over the past three years, exceeding the performance of roughly 64% of global competitors.
  • Fastenal Co's 5-year yield on cost is approximately 3.46%, reflecting a history of significant dividend growth relative to share price.
Risk Factors
  • Fastenal Co's dividend payout ratio is 0.78 as of September 30, 2026, which leaves a thinner cushion than many income investors prefer for future sustainability.
  • The company's current dividend yield of 1.98% is modest compared to the high growth rates seen in its dividend history, potentially limiting immediate income appeal.
Full Analysis
Fastenal Co (NASDAQ:FAST) recently announced a total dividend of $0.26 per share, with an ex-dividend date set for October 28, 2026, and a payment date of November 25, 2026. The company, a distributor of industrial and construction supplies operating in the US, Canada, Mexico, and Europe, serves manufacturing, construction, government, and commercial customers through its extensive network of branches, on-site locations, and vending machines. Fastenal Co has maintained a consistent dividend payment record since 1991 and is classified as a dividend aristocrat for increasing its dividend annually since 1996. As of the reporting period, the company offers a 12-month trailing and forward dividend yield of 1.98%, with historical annual dividend growth rates ranging from approximately 11.80% to 12.60% over the past three to ten years. Financial analysis indicates that Fastenal Co has a dividend payout ratio of 0.78 as of September 30, 2026, which some investors may view as leaving a thinner cushion for future sustainability despite the company's perfect profitability and growth ranks. The company demonstrates strong revenue and earnings growth, averaging roughly 5% annually over the past three years, outperforming a significant majority of global competitors in both revenue per share and EPS growth metrics.