PNC Financial raises quarterly dividend 6% to $1.70 per share

Published 03/07/2025, 16:30
PNC Financial raises quarterly dividend 6% to $1.70 per share

PITTSBURGH - The PNC Financial Services Group, Inc. (NYSE:PNC), currently trading at $196.01, announced Thursday a 6% increase in its quarterly cash dividend on common stock to $1.70 per share, up from the previous $1.60 per share. According to InvestingPro data, this marks the company’s 14th consecutive year of dividend increases, with an attractive current yield of 3.27%.

The dividend will be payable on August 5, 2025, to shareholders of record as of July 15, 2025, according to a press release statement from the company.

"The increase in our dividend reflects our continued financial strength and our board’s confidence in our strategy and outlook," said William S. Demchak, PNC chairman and chief executive officer. With a market capitalization of $77.54 billion and a P/E ratio of 13.83, InvestingPro analysis suggests PNC is currently trading above its Fair Value.

The board of directors also declared quarterly cash dividends on several series of preferred stocks. Series B shareholders will receive 45 cents per share payable September 10, while Series T will pay $850.00 per share ($8.50 per depositary share). Series U will distribute $1,500.00 per share ($15.00 per depositary share), Series V will pay $1,550.00 per share ($15.50 per depositary share), and Series W will provide $1,562.50 per share ($15.6250 per depositary share).

PNC Financial Services Group is one of the largest diversified financial institutions in the United States, offering retail and business banking services, specialized corporate services, and wealth management. The company has maintained dividend payments for 55 consecutive years, demonstrating remarkable financial stability. For deeper insights into PNC’s financial health and growth potential, including 8 additional exclusive ProTips, visit InvestingPro.

In other recent news, PNC Financial Services Group announced its plans to increase its quarterly cash dividend by 6%, raising it to $1.70 per share, following strong results from the Federal Reserve’s 2025 Comprehensive Capital Analysis and Review. The bank’s Common Equity Tier 1 ratio stood at 10.6%, significantly exceeding regulatory requirements. In a separate development, Wolfe Research downgraded PNC Financial’s stock rating from Outperform to Peerperform, citing valuation concerns. Despite the downgrade, Wolfe Research projects low double-digit annual earnings per share growth for PNC through 2027, reflecting continued solid financial performance.

Additionally, RBC Capital reduced its price target for PNC Financial from $205 to $195 while maintaining an Outperform rating, highlighting the bank’s robust commercial banking operations and diversified fee-based businesses. PNC also launched a new mobile payment solution, PNC Mobile Accept, aimed at small businesses to facilitate easier card transactions. In executive news, PNC’s COO, E William Parsley III, will step down effective July 1, 2025, as part of a planned reorganization. Lastly, PNC’s shareholders showed strong support for the current board and executive compensation structure during the recent annual meeting, ratifying all director nominees and approving executive pay.

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