Bank of New York Mellon Corp (NYSE:BK) announced a quarterly dividend on Thursday, October 18th, RTT News reports. Stockholders of record on Tuesday, October 30th will be paid a dividend of 0.28 per share by the bank on Friday, November 9th. This represents a $1.12 annualized dividend and a dividend yield of 2.28%.

Bank of New York Mellon has increased its dividend by an average of 9.2% per year over the last three years and has raised its dividend annually for the last 5 consecutive years. Bank of New York Mellon has a payout ratio of 26.8% meaning its dividend is sufficiently covered by earnings. Analysts expect Bank of New York Mellon to earn $4.46 per share next year, which means the company should continue to be able to cover its $1.12 annual dividend with an expected future payout ratio of 25.1%.

Shares of BK opened at $49.15 on Thursday. The company has a market cap of $50.99 billion, a PE ratio of 13.65, a PEG ratio of 1.59 and a beta of 1.05. Bank of New York Mellon has a 1 year low of $48.12 and a 1 year high of $58.99. The company has a debt-to-equity ratio of 0.82, a quick ratio of 0.69 and a current ratio of 0.69.

Bank of New York Mellon (NYSE:BK) last released its quarterly earnings results on Thursday, July 19th. The bank reported $1.03 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $1.02 by $0.01. Bank of New York Mellon had a return on equity of 11.40% and a net margin of 25.08%. The company had revenue of $4.14 billion for the quarter, compared to analyst estimates of $4.13 billion. During the same quarter in the prior year, the firm posted $0.88 EPS. Bank of New York Mellon’s quarterly revenue was up 4.6% compared to the same quarter last year. As a group, equities analysts forecast that Bank of New York Mellon will post 4.18 EPS for the current fiscal year.

Bank of New York Mellon announced that its board has authorized a stock buyback plan on Thursday, June 28th that authorizes the company to buyback $2.40 billion in outstanding shares. This buyback authorization authorizes the bank to reacquire up to 4.4% of its stock through open market purchases. Stock buyback plans are generally a sign that the company’s board believes its stock is undervalued.

BK has been the topic of a number of recent research reports. Zacks Investment Research downgraded Bank of New York Mellon from a “buy” rating to a “hold” rating in a research report on Wednesday, June 20th. Raymond James downgraded Bank of New York Mellon from an “outperform” rating to a “market perform” rating in a research report on Thursday, July 12th. Sandler O’Neill reissued a “hold” rating on shares of Bank of New York Mellon in a research report on Friday, July 13th. Keefe, Bruyette & Woods set a $56.00 price target on Bank of New York Mellon and gave the stock a “hold” rating in a research report on Thursday, July 19th. Finally, ValuEngine downgraded Bank of New York Mellon from a “hold” rating to a “sell” rating in a research report on Friday, July 20th. Three analysts have rated the stock with a sell rating, nine have assigned a hold rating and five have issued a buy rating to the company’s stock. The company presently has an average rating of “Hold” and an average price target of $58.58.

About Bank of New York Mellon

The Bank of New York Mellon Corporation provides a range of financial products and services to institutions, corporations, and high net worth individuals in the United States and internationally. The company operates through two segments, Investment Management and Investment Services. It offers investment management, custody, foreign exchange, fund broker-dealer, collateral and liquidity, clearing, corporate trust, global payment, trade finance, and cash management services, as well as securities finance and depositary receipts.

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Dividend History for Bank of New York Mellon (NYSE:BK)

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