CRCT Stock: Special Dividends Turn Modest Yielder into High-Income Opportunity
July 4, 2025
Cricut Delivering Eye-Popping Payouts?
When it comes to income investing, most people focus on companies that pay dividends like clockwork—monthly or quarterly—with a predictable, stable yield. These usually consist of utilities, real estate investment trusts (REITs), and big consumer brands.
But that kind of thinking can also limit income opportunities.
Every so often, a dividend opportunity comes along that doesn’t fit the textbook definition of an “income stock,” but still delivers some eye-popping payouts to shareholders.
These are the companies that issue special dividends—one-time payments that could dramatically boost one’s total income.
One such special dividend-payer is Cricut Inc (NASDAQ:CRCT).
On the surface, CRCT stock might not seem like a typical income play. The regular dividend is low. But if you take a look at the special dividends the company has paid in the past, and is paying now, this small-cap name becomes a lot more interesting.
What Does Cricut Do?
Headquartered in South Jordan, Utah, Cricut operates as a consumer technology company that focuses on empowering do-it-yourself creators in the U.S., Canada, the United Kingdom, Ireland, Australia, New Zealand, Western Europe, the Middle East, Latin America, South Africa, and Asia. At their core, Cricut’s products allow users to turn their ideas into professional-looking handmade goods.
The company operates through two business segments: Platform and Products.
Cricut offers a variety of connected machines, accessories, and materials. These tools help users create everything from personalized birthday cards and custom mugs to T-shirts and large-scale interior decorations. The machines are designed to cut, write, score, and add decorative effects on a wide range of materials, including paper, leather, wood, adhesive vinyl, and iron-on vinyl.
To complement its products, Cricut offers “Cricut Design Space,” a cloud-based software that works seamlessly with its connected machines. This platform allows users to create and manage projects across desktop and mobile devices.
Beyond all of this, the company also sells a wide range of accessories and materials, including “Cricut EasyPress,” “Cricut Mug Press,” hand tools, machine replacement blades, and project materials like vinyl and iron-on products. (Source: “Profile,” Yahoo! Finance, June 26, 2025.)
Regular & Special Dividends Boost Yield
Now let’s get to the part that matters the most to income investors: dividends.
At first glance, CRCT stock doesn’t look like much of an income play. The company pays a regular semi-annual dividend, but it is quite low. Its $0.10 semi-annual dividend amounts to $0.20 per share.
Just this makes the dividend yield on CRCT stock about three percent.
But here’s where things get interesting…
Cricut has a history of rewarding shareholders with one-time special dividends. These special dividends aren’t on a set schedule, but when they do happen, they could make a huge difference to an investor’s total annual yield.
For instance, while presenting its financial results for the first quarter of 2025, Cricut approved a large special dividend of $0.75 per share.
Kimball Shill, the company’s chief financial officer, said, “Given the confidence in the sustainability of our profitable operations, the board of directors approved three capital allocation items: a special dividend of $0.75 per share, the recurring semi-annual dividend of $0.10 per share, and replenishing our stock repurchase program up to $50 million.”
So, when we add $0.75 per share to the $0.20 per share investors get for the regular semi-annual dividend, we are looking at a dividend yield of 14.3% with CRCT stock.
Chart Courtesy of StockCharts.com
CRCT Stock on the Cusp of a Breakout?
Beyond the dividend, there are a few things worth watching on the CRCT stock chart, and they paint a bullish outlook.
First, you’ll notice that the stock price is trading above its 50-day and 200-day moving averages (MAs). These trend indicators suggest that short-term and long-term trends are pointing upwards and investor sentiment is bullish.
Next, take a close look at how CRCT stock is reacting around current price levels. It is currently close to a big resistance level. If the price is able to break above this resistance, there could be a breakout in play, which could mean a big move to the upside.
Lastly, pay attention to the volume. In mid-May, there was a big spike around when the company reported its financial results. Since then, the price has trended upwards. This is telling me that there’s accumulation happening, and investors like what they see happening at the company.
The Lowdown on CRCT Stock
At first glance, CRCT stock doesn’t look like an income play. The company’s regular dividend yield currently sits around just three percent, which is well below what we focus on here at Income Investors.
However, just considering the regular dividend would be missing the full story.
When you factor in the special dividends CRCT stock has a history of paying out, having dramatically upped its dividend yield from about three percent to over 14%. And this puts Cricut in a different income category altogether.
Certainly, these special dividends aren’t guaranteed. They’re irregular by design and depend on the company’s cash flow and management’s capital allocation decisions. But for investors who don’t mind a little unpredictability, the upside can be worth it.
