General Dynamics Corp. said Wednesday that it will increase its quarterly dividend by 10.5% to 84 cents a share from 76 cents a share. The new dividend will be payable May 5 to shareholders of record on April 7. Based on current share prices, the new annual dividend rate implies a dividend yield of 1.74%, compared with the aggregate dividend yield of the S&P 500 of 1.99%. Separately, the defense contractor said it authorized the buyback of 10 million shares. The stock, which climbed 1.5% in afternoon trade, has rallied 9.2% over the past three months, while the S&P 500 has gained 9.5%.
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