Truist announces planned capital distributions and stress capital buffer requirement following release of 2024 CCAR results

Core Insights - Truist Financial Corporation has released the results of its annual company-run stress test, which complies with regulations from the Federal Reserve and the Federal Deposit Insurance Corporation [1] - The Federal Reserve has set a preliminary stress capital buffer (SCB) requirement for Truist at 2.8%, with the final requirement to be announced by August 31, 2024 [2] - Truist's board has authorized a $5 billion share repurchase program to be executed through 2026, with repurchases expected to start in Q3 2024 [3] Financial Position - The sale of Truist Insurance Holdings and recent balance sheet repositioning have strengthened Truist's liquidity and capital, raising the Q1 2024 pro-forma CET1 ratio to 11.4% [4] - The company plans to maintain its quarterly common stock dividend at $0.52 per share, pending board approval [3] Strategic Initiatives - The share repurchase program allows Truist to buy back shares through various methods, with management having discretion over the terms [8] - The company emphasizes its diverse business mix and disciplined risk management as key factors in its financial stability and capacity to serve clients [4] Company Overview - Truist Financial Corporation is a leading U.S. commercial bank with total assets of $535 billion as of March 31, 2024, and operates in various high-growth markets [9]