SunTrust Banks, Inc. (NYSE:STI) announced a quarterly dividend on Tuesday, August 13th, RTT News reports. Stockholders of record on Friday, August 30th will be given a dividend of 0.56 per share by the financial services provider on Monday, September 16th. This represents a $2.24 dividend on an annualized basis and a dividend yield of 3.68%. This is an increase from SunTrust Banks’s previous quarterly dividend of $0.50.
SunTrust Banks has increased its dividend payment by an average of 25.1% per year over the last three years and has raised its dividend annually for the last 6 consecutive years. SunTrust Banks has a payout ratio of 40.1% meaning its dividend is sufficiently covered by earnings. Research analysts expect SunTrust Banks to earn $5.53 per share next year, which means the company should continue to be able to cover its $2.24 annual dividend with an expected future payout ratio of 40.5%.
STI stock opened at $60.79 on Wednesday. The company has a market capitalization of $27.12 billion, a P/E ratio of 10.66, a P/E/G ratio of 1.28 and a beta of 1.48. SunTrust Banks has a twelve month low of $46.05 and a twelve month high of $75.08. The company has a current ratio of 0.98, a quick ratio of 0.97 and a debt-to-equity ratio of 0.85. The business’s fifty day moving average price is $63.70.
In related news, Vice Chairman Mark A. Chancy sold 20,973 shares of the company’s stock in a transaction dated Monday, July 22nd. The stock was sold at an average price of $65.21, for a total value of $1,367,649.33. Following the completion of the sale, the insider now owns 246,630 shares in the company, valued at $16,082,742.30. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Robert Ryan Richards sold 1,844 shares of the company’s stock in a transaction dated Thursday, May 23rd. The shares were sold at an average price of $62.58, for a total value of $115,397.52. Following the completion of the sale, the insider now owns 2,083 shares of the company’s stock, valued at approximately $130,354.14. The disclosure for this sale can be found here. Corporate insiders own 0.42% of the company’s stock.
STI has been the subject of a number of recent research reports. ValuEngine upgraded SunTrust Banks from a “sell” rating to a “hold” rating in a research report on Wednesday, May 1st. Morgan Stanley dropped their target price on SunTrust Banks from $73.00 to $68.00 and set an “equal weight” rating for the company in a research report on Monday, April 22nd. Finally, Argus set a $81.00 target price on SunTrust Banks and gave the stock a “buy” rating in a research report on Friday, July 19th. One investment analyst has rated the stock with a sell rating, thirteen have assigned a hold rating and four have given a buy rating to the company. SunTrust Banks presently has a consensus rating of “Hold” and an average price target of $69.45.
SunTrust Banks Company Profile
SunTrust Banks, Inc operates as the holding company for SunTrust Bank that provides various financial services for consumers, businesses, corporations, institutions, and not-for-profit entities in the United States. It operates in two segments, Consumer and Wholesale. The Consumer segment provides deposits and payments; home equity and personal credit lines; auto, student, and other lending products; credit cards; discount/online and full-service brokerage products; professional investment advisory products and services; and trust services, as well as family office solutions.
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