Wells Fargo Dividend Increase

Wells Fargo & Co (WFC) announced today that the Federal Reserve Board (FRB) has not objected to the company’s 2015 Capital Plan under the recently concluded Comprehensive Capital Analysis and Review (CCAR) of the nation’s largest banks. Wells Fargo proposed raising the dividend by 7.1% from the quarterly $0.35 to $0.375 per share, subject to consideration and approval by its Board of Directors at its regularly scheduled meeting in April.

From the press release statement:

We are pleased to receive the Federal Reserve Board’s non-objection to our capital plan to increase our common stock dividend and continue our strong share repurchase activity,” said Chairman and CEO John Stumpf. “This result again demonstrates the benefit of our diversified business model and conservative risk discipline, which have positioned us well to return capital to shareholders within our targeted range while maintaining strong capital levels.

My portfolio consists of 41 shares of WFC and increases my annual dividend from $57.40 to $61.50, an increase of $4.10.

Further reading: I just completed a dividend stock analysis of Wells Fargo earlier this week and the stock appears under-to-fairly valued. Click here to read the details.

8 thoughts on “Wells Fargo Dividend Increase

  1. Congrats on the raise, R2R! WFC is on my “missed it last year” list when I was hoping for a drop that never came. It’s tough for me to initiate a position in the mid-50s when I watched it for so long in the high 40s. A slide in the banking sector would pique my interest.

    Gotta love dividend raise season!

    Best,
    DWC

    • I hear you…ive had that problem with so many companies and hate that feeling of having gotten away from me. Hopefully a correction will provide more opportunities in the future

      Best wishes
      R2R

  2. JC says:

    I enjoyed that 7% raise from WFC and the 10% from JPM was nice as well. Too bad BAC didn’t give a raise this time around but I expect another one later this year. Dividend increases sure are great.

    • I was hoping for a bigger increase considering they had a decent one last year. I’d rather see a higher div increase than a buyback, but thats the flavor of the times, I suppose. Im sure BAC will raise their dividends soon.

      best wishes
      R2R

  3. Congrats on the increase. Unfortunately, I don’t have any position on this stock, though I would like to initiate one. I don’t have much exposure in the banking sector other than Citi. I am hoping that Citi increases the dividend (by at least 10 times) after they passed the stress test earlier this week.

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