BHP Group Ltd (ASX: BHP) has always been a prominent member of the S&P/ASX 200 Index (ASX: XJO), and by extension, the ASX share market. That's what you get when a company, founded in 1851 and with the nickname 'the Big Australian', grows to become one of the largest mining companies in the world.
But BHP's presence on both the ASX and in the minds of investors, has only increased in recent years. For one, BHP shares have spent the past five years growing by more than 100% in value. Then we had the miner's unification program earlier this year. This saw BHP end its dual-listing on the London Stock Exchange, and rehome exclusively to the ASX.
That made BHP the largest ASX 200 share on our share market by a mile, blowing past Commonwealth Bank of Australia (ASX: CBA). These days, if you put $100 into an ASX 200 Index fund, more than $11 of that $100 would go straight into BHP shares alone.
But BHP has been drawing attention for yet another reason in recent years too. That would be the massive dividends it has been shovelling into investors' pockets.
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BHP shares: paying out dividends like a slot machine
Record high iron ore prices over the past two or so years have seen BHP's profitability explode. BHP has in turn used these profits to fund monster dividend payments. Its last final dividend was a monster payment of $2.7153 per share, fully franked and paid out in September last year. That was more than double 2020's final dividend of 75.46 cents per share.
But now BHP is about to pay out its next dividend. And it's a payment of similar proportions. BHP's 2021 interim dividend was a hefty $1.31 payment, also fully franked. But BHP will dole out an even larger interim dividend on Monday (28 March). This payment will be worth $2.1073 per share, and will also come fully franked.
Unfortunately, if you don't already own BHP shares, you won't be eligible for this record dividend. The company's ex-dividend date for this payment was back on 24 February, so anyone who bought into BHP on or after that date is ineligible.
But for longer-term BHP shareholders, Monday will no doubt be a happy day indeed.
At the current BHP share price, this ASX 200 mining giant has a market capitalisation of $249.57 billion, with a dividend yield of 9.61%.
