StockNews.AI
BK
StockNews.AI
49 days

BNY Announces Intention to Increase Quarterly Common Stock Dividend by 13 Percent to $0.53 per Share

1. BNY plans a 13% dividend increase to $0.53 per share. 2. The Federal Reserve's stress test shows BNY's strong financial position. 3. BNY's SCB requirement remains at 2.5%, no regulatory impact expected. 4. The company maintains its share repurchase program, pending market factors. 5. BNY oversees $53.1 trillion in assets, showcasing its global financial importance.

8m saved
Insight
Article

FAQ

Why Bullish?

The increase in dividends generally signals confidence in financial stability and profitability, potentially attracting more investors and positively affecting share prices. Historical examples show that similar announcements have led to price increases in the past, like with JPMorgan's dividend growth in strong market conditions.

How important is it?

The dividend increase and strong performance in stress tests strongly indicate future stability and growth, which is critical for investors. Given BNY's role in global finance, these developments are likely to encourage investment inflows.

Why Long Term?

The dividend increase and stable SCB indicate long-term corporate health. Companies often experience sustained share price appreciation following such announcements, making it a positive outlook.

Related Companies

JPMCWFC
, /PRNewswire/ -- The Bank of New York Mellon Corporation ("BNY") (NYSE: BK), a global financial services company, today announced its intention to increase its quarterly cash dividend on its common shares by 13% from $0.47 to $0.53 per share, commencing as early as the third quarter of 2025, subject to approval by the company's Board of Directors. On June 27, 2025, the Federal Reserve released the results of its 2025 bank stress test, which underscore BNY's resilient business model and strong balance sheet. The Federal Reserve also notified the company that its preliminary Stress Capital Buffer ("SCB") requirement will remain 2.5%, equal to the regulatory floor. This SCB is expected to be effective from October 1, 2025, to September 30, 2026, under the current capital plan rule. Since the introduction of the SCB requirement in 2020, BNY's SCB has consistently remained at the 2.5% floor. The company does not anticipate any impact on its SCB requirement based on the Federal Reserve's notice of proposed rulemaking to reduce the volatility of the SCB requirement issued on April 17, 2025. "BNY plays an important role in global financial markets, serving our clients with innovative and resilient platforms that enable them to grow their businesses and navigate an increasingly complex world. The results of the Federal Reserve's annual bank stress test demonstrate our strength and ability to support clients through extreme economic stress scenarios," said Robin Vince, Chief Executive Officer of BNY. "Our work to operate as a platform company is delivering real value and significant momentum. We are pleased to announce our intention to increase BNY's common dividend and we remain focused on delivering greater value for our shareholders and clients." The company continues to be authorized to repurchase common shares under its existing share repurchase program approved by the Board of Directors, as announced in April 2024. The timing, manner and amount of repurchases are subject to various factors, including the company's capital position and prevailing market conditions. About BNY BNY is a global financial services company that helps make money work for the world – managing it, moving it and keeping it safe.  For more than 240 years BNY has partnered alongside clients, putting its expertise and platforms to work to help them achieve their ambitions.  Today BNY helps over 90% of Fortune 100 companies and nearly all the top 100 banks globally access the money they need.  BNY supports governments in funding local projects and works with over 90% of the top 100 pension plans to safeguard investments for millions of individuals, and so much more.  As of March 31, 2025, BNY oversees $53.1 trillion in assets under custody and/or administration and $2.0 trillion in assets under management. BNY is the corporate brand of The Bank of New York Mellon Corporation (NYSE: BK). Headquartered in New York City, BNY has been named among Fortune's World's Most Admired Companies and Fast Company's Best Workplaces for Innovators.  Additional information is available on www.bny.com.  Follow on LinkedIn or visit the BNY Newsroom for the latest company news. This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements, which may be expressed in a variety of ways, including the use of future or present tense language, relate to, among other things, BNY's repurchases of common stock, common stock dividends, capital base, performance, ability to meet regulatory requirements and expectations regarding the Federal Reserve's April 17, 2025 notice of proposed rulemaking. These statements are not guarantees of future results or occurrences, are inherently uncertain and are based upon current beliefs and expectations of future events, many of which are, by their nature, difficult to predict, outside of BNY's control and subject to change. Actual results may differ, possibly materially, from the anticipated results expressed or implied in these forward-looking statements as a result of a number of important factors, including, but not limited to, the factors identified above and the risk factors and other uncertainties set forth in BNY's Annual Report on Form 10-K for the year ended December 31, 2024, the Quarterly Report on Form 10-Q for the quarter ended March 31, 2025 and BNY's other filings with the Securities and Exchange Commission. All statements in this press release speak only as of the date on which such statements are made, and BNY undertakes no obligation to update any statement to reflect events or circumstances after the date on which such forward-looking statement is made or to reflect the occurrence of unanticipated events. Contacts: MediaAnneliese Diedrichs+44 7930 135 524[email protected]  InvestorsMarius Merz+1 212 298 1480[email protected]  SOURCE BNY WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM? 440k+ Newsrooms & Influencers 9k+ Digital Media Outlets 270k+ Journalists Opted In

Related News