Wells Fargo Announces Cash Dividends on Preferred Stock
Wells Fargo & Company Declares Quarterly Dividends on Six Series of Preferred Stock
Wells Fargo & Company (NYSE: WFC), one of the largest financial institutions in the United States, has officially announced its decision to declare quarterly dividends on six different series of its preferred stock. The company, which has a long-standing history of providing financial services across various sectors, continues its commitment to shareholders through these dividend declarations. The announced dividends will be paid out on March 17, 2025, to all holders of record as of the close of business on February 28, 2025.
Preferred stock dividends play a crucial role in the investment landscape, offering a stable return to investors while providing the company with a financing mechanism that does not dilute common shareholders’ equity. Wells Fargo’s announcement underscores its financial health and ongoing profitability, despite market fluctuations and economic conditions. The following sections provide a detailed breakdown of the declared dividends for each series of preferred stock.
Dividend Breakdown by Series
Series L – 7.50% Noncumulative Perpetual Convertible Class A Preferred Stock
Wells Fargo has declared a quarterly cash dividend of $18.75 per share for its 7.50% noncumulative perpetual convertible Class A preferred stock, Series L. This particular class of preferred stock carries a liquidation preference of $1,000 per share and is traded on the New York Stock Exchange under the symbol “WFCPrL”. The Series L dividend payment is set for March 17, 2025, and will be disbursed to holders of record as of February 28, 2025.
Investors holding Series L preferred stock benefit from its convertible feature, which means these shares can potentially be converted into common stock under specific conditions. This offers a level of flexibility that is not typically available in nonconvertible preferred shares. Additionally, the relatively high dividend yield of 7.50% reflects the company’s efforts to attract long-term investors who seek income-generating investments.
Series Y – 5.625% Noncumulative Perpetual Class A Preferred Stock
A quarterly cash dividend of $351.56 per share has been declared for Wells Fargo’s 5.625% noncumulative perpetual Class A preferred stock, Series Y. This equates to $0.35156 per depositary share, where each depositary share represents a 1/1,000 fractional interest in a share of Series Y preferred stock. The Series Y preferred stock trades on the New York Stock Exchange under the symbol “WFCPrY”.
The dividend payment for Series Y stock will also be made on March 17, 2025, to shareholders who hold the stock as of the February 28, 2025, record date. Series Y stock offers investors a moderate dividend yield of 5.625%, making it an appealing option for those looking for income-generating investments with relatively stable returns.
Series Z – 4.75% Noncumulative Perpetual Class A Preferred Stock
Wells Fargo has declared a quarterly cash dividend of $296.88 per share for its 4.75% noncumulative perpetual Class A preferred stock, Series Z. This translates to $0.29688 per depositary share, with each depositary share representing a 1/1,000 interest in a share of Series Z preferred stock. The stock is actively traded on the New York Stock Exchange under the symbol “WFCPrZ”.
As with the other preferred stock dividends, the payment date is set for March 17, 2025, while the record date is February 28, 2025. The 4.75% dividend yield for Series Z shares positions it as a moderately conservative investment, ideal for investors seeking consistent income with lower volatility compared to common stock.
Series AA – 4.70% Noncumulative Perpetual Class A Preferred Stock
A quarterly cash dividend of $293.75 per share has been declared on Wells Fargo’s 4.70% noncumulative perpetual Class A preferred stock, Series AA. This equates to $0.29375 per depositary share, with each depositary share representing a 1/1,000 interest in a share of Series AA preferred stock. Investors can find this stock trading on the New York Stock Exchange under the symbol “WFCPrA”.
The dividend is payable on March 17, 2025, to all holders of record as of February 28, 2025. With a dividend yield of 4.70%, Series AA shares cater to income-focused investors who value consistent returns with a moderate level of risk.
Series CC – 4.375% Noncumulative Perpetual Class A Preferred Stock
For its 4.375% noncumulative perpetual Class A preferred stock, Series CC, Wells Fargo has declared a quarterly cash dividend of $273.44 per share. This is equivalent to $0.27344 per depositary share, where each depositary share represents a 1/1,000 interest in a share of Series CC preferred stock. The stock trades on the New York Stock Exchange under the symbol “WFCPrC”.
The dividend payment for Series CC is scheduled for March 17, 2025, with a record date of February 28, 2025. The relatively lower dividend yield of 4.375% suggests that this series may appeal to investors looking for steady, albeit lower, income from their investments.
Series DD – 4.25% Noncumulative Perpetual Class A Preferred Stock
Finally, Wells Fargo has declared a quarterly cash dividend of $265.63 per share on its 4.25% noncumulative perpetual Class A preferred stock, Series DD. This translates to $0.26563 per depositary share, where each depositary share represents a 1/1,000 interest in a share of Series DD preferred stock. Series DD shares are actively traded on the New York Stock Exchange under the symbol “WFCPrD”.
The dividend is payable on March 17, 2025, to shareholders recorded as of February 28, 2025. With a dividend yield of 4.25%, Series DD represents the lowest yielding preferred stock among the six announced series, making it a suitable option for investors with a more conservative risk appetite.
Wells Fargo’s latest dividend declaration reflects the company’s ongoing commitment to providing shareholder value and financial stability. By offering a range of preferred stock series with varying dividend yields, the company ensures that investors have multiple options to align with their individual risk and income preferences.
The six series of preferred stock differ in terms of yield, liquidation preference, and trading symbols, providing a diversified set of opportunities for those looking to earn consistent returns from dividends. These payouts further solidify Wells Fargo’s reputation as a reliable and stable institution in the financial markets.
Investors seeking stable income streams through preferred stock investments can benefit from this announcement, as it underscores the bank’s robust financial position and dedication to rewarding shareholders. As the dividend payment date approaches, shareholders and prospective investors should review their investment portfolios to optimize their returns from Wells Fargo’s preferred stock offerings.
