Why Banco Santander (SAN) is a Great Dividend Stock Right Now

Company Overview - Banco Santander (SAN) is based in Madrid and operates in the Finance sector, with a significant share price increase of 96.71% this year [3] - The company currently pays a dividend of $0.09 per share, resulting in a dividend yield of 2.02%, which is lower than the Banks - Foreign industry's yield of 3.32% and the S&P 500's yield of 1.45% [3] Dividend Performance - The annualized dividend of Banco Santander is $0.18, reflecting a 20% increase from the previous year [4] - Over the past five years, the company has raised its dividend four times, achieving an average annual increase of 35.07% [4] - The current payout ratio is 18%, indicating that the company distributes 18% of its trailing 12-month earnings per share as dividends [4] Earnings Growth Expectations - For the fiscal year, Banco Santander anticipates solid earnings growth, with the Zacks Consensus Estimate for 2025 projected at $0.97 per share, representing a 16.87% increase from the previous year [5] - The company is viewed as an attractive dividend play and a compelling investment opportunity, currently holding a Zacks Rank of 2 (Buy) [6]