Wells Fargo Raises Annualized Dividend 5.9% to $1.80, Yield 2.02%

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Wells Fargo currently pays a quarterly $0.45 dividend per share, yielding 2.02%, versus the Financial Investment Bank average of 0.89% and the S&P 500’s 1.38%. Its annualized $1.80 payout is up 5.9% year-over-year on a 29% payout ratio, with EPS expected to reach $6.89 in 2026.

1. Current Dividend Payout

Wells Fargo pays a quarterly dividend of $0.45 per share, translating to an annualized $1.80 distribution and a 2.02% yield. This compares with the Financial Investment Bank industry’s 0.89% average yield and the S&P 500’s 1.38%.

2. Historical Dividend Growth

The company’s annualized payout has risen 5.9% year-over-year and has seen four year-over-year increases in the past five years, averaging 36.7% growth during that period.

3. Payout Ratio and Earnings Outlook

With a payout ratio of 29%, Wells Fargo distributes less than a third of trailing 12-month earnings per share. Consensus forecasts for 2026 project EPS of $6.89, implying 9.7% growth that could support further dividend increases.

4. Income Investor Considerations

In a rising rate environment, high-yield stocks may underperform, but Wells Fargo’s secure profits and moderate payout ratio offer income investors a compelling risk-adjusted opportunity.

Sources

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