Wells Fargo Raises Annual Dividend to $1.80 (2.18% Yield), Baird Targets $85
Wells Fargo pays a quarterly $0.45 dividend (2.18% yield) and has raised its payout to $1.80 (+5.9% YoY), with FY26 EPS expected at $6.92 (+10.2%). Baird upgraded Wells Fargo to Neutral with an $85 target, citing a slump that narrows downside risk and upside from regulatory relief.
1. Dividend Growth and Forecast
Wells Fargo has increased its quarterly dividend to $0.45 per share, resulting in an annual payout of $1.80, a 5.9% rise from the prior year. The current dividend yield stands at 2.18% on a 29% payout ratio, supported by expected FY26 earnings growth to $6.92 per share (+10.2%).
2. Baird Upgrade and Outlook
Baird raised Wells Fargo’s rating to Neutral with an $85 price target, noting that the recent share price decline reduces downside risk. The firm highlighted potential upside from eased regulatory asset limits, which could drive loan growth, capital markets activity and improved operational efficiency.