The Goodyear Tire & Rubber Company (GT Quick QuoteGT - Free Report) announced that its board approved a 14.3% increase in its quarterly cash dividend on common stock to 16 cents per share. The earlier payout was 14 cents per share. The dividend hike represents an annual rate of 58 cents per share for 2018, while for 2019 the rate is 64 cents. The revised dividend will be paid on Dec 3 to shareholders of record as of Nov 1, 2018.

Prior to this hike, Goodyear’s board approved a dividend hike of 40% to 14 cents per share in October 2017. In subsequent quarters, the same amount was paid to shareholders.

The company pays regular dividends and engages in share buyback programs to return value to shareholders. In the last reported quarter, it repurchased 3 million shares for $75 million under the previously announced $2.1-billion share repurchase program. Moreover, the company aims to make a capital deployment of $3.5-$4 billion from 2017 and 2020.

Goodyear is a leading tire manufacturing company, which offers products under various brands across the globe. It manufactures tires at its 48 facilities, which are spread across 22 countries around the world.

A few other stocks in the auto space are Allison Transmission Holdings, Inc. (ALSN Quick QuoteALSN - Free Report) , Advance Auto Parts, Inc. (AAP Quick QuoteAAP - Free Report) and AB Volvo (VLVLY Quick QuoteVLVLY - Free Report) . The long-term growth rate of Allison Transmission, Advance Auto and Volvo are 10%, 12.3% and 15%, respectively.

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