CHARLOTTE, N.C. - Truist Financial Corporation (NYSE: NYSE:TFC) has announced dividends for both its common and various series of preferred stock. The regular quarterly cash dividend of $0.52 per common share is scheduled for payment on December 2, 2024, to shareholders on record as of November 8, 2024.
Additionally, dividends on several series of preferred stock were declared, with record dates set for November 8, 2024. These include the Series I, J, L, M, O, P, and R Non-Cumulative Perpetual Preferred Stock, with payment dates ranging from December 2 to December 16, 2024. The dividends per share for Series I, J, and L are rounded to the hundred-thousandths for readability, while Series M and Series P preferred stock dividends are declared and paid semiannually.
Truist, a top-10 commercial bank in the United States by assets, which totaled $523 billion as of September 30, 2024, operates with a focus on inspiring and building better lives and communities. The company offers a broad spectrum of financial products and services through its various business divisions, including retail and small business banking, commercial banking, corporate and investment banking, wealth management, payments, and specialized lending. Based in Charlotte, North Carolina, Truist is committed to leading market share in several high-growth markets across the country.
This dividend declaration is part of Truist's ongoing financial activities and reflects the company's commitment to returning value to its shareholders. The information is based on a press release statement from Truist Financial Corporation.
In other recent news, Truist Financial Corporation has reported robust results for the third quarter of 2024, with a GAAP net income of $1.3 billion or $0.99 per share. The adjusted earnings per share stood at $0.97, a result of a 2.4% increase in adjusted revenue, primarily from investment banking and trading. RBC Capital Markets has reiterated an Outperform rating on the stock and increased the price target to $46.00 following these results.
Truist Financial's recent activities include the sale of Truist Insurance Holdings in the second quarter of 2024, which bolstered the bank's capital position and enabled a restructuring of its bond portfolio. The bank also launched a substantial $5.0 billion stock repurchase program, with $500 million worth of shares already repurchased in the third quarter and plans for an additional $500 million in repurchases in the fourth quarter.
In other developments, Truist Financial reported a $25 million loan loss provision related to Hurricane Helene, a 3% increase in consumer and small business banking loan production, and a 4% rise in wholesale banking lending production. However, the bank anticipates a 1.5% decrease in revenue for Q4 2024, with net interest income projected to decline due to lower commercial loan balances.
Analysts from RBC Capital and other firms noted that Truist is focusing on expanding client relationships post-merger and plans to maintain an elevated level of $500 million in buybacks for the foreseeable future. The company is also increasing investments in risk infrastructure, particularly in cyber and data management. These are the recent developments that investors should be aware of.
InvestingPro Insights
Truist Financial Corporation's recent dividend announcement aligns with its strong track record of shareholder returns. According to InvestingPro data, Truist boasts a dividend yield of 4.9% as of the latest available information. This attractive yield is supported by the company's impressive dividend history, with InvestingPro Tips highlighting that Truist has maintained dividend payments for 52 consecutive years and has raised its dividend for 9 consecutive years.
Despite recent challenges in the banking sector, Truist's market position remains solid, with a market capitalization of $57.75 billion. The company's price-to-book ratio of 0.98 suggests that the stock may be trading close to its book value, potentially indicating an attractive valuation for investors considering the company's long-term dividend growth potential.
Looking ahead, InvestingPro Tips indicate that analysts expect Truist to return to profitability this year, with net income projected to grow. This positive outlook could provide further support for the company's dividend policy and overall financial health.
For investors seeking a more comprehensive analysis, InvestingPro offers 7 additional tips for Truist Financial Corporation, providing deeper insights into the company's financial outlook and market position.
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