M&T Bank (MTB) Announces a 4% Increase in Quarterly Dividend

Core Viewpoint - M&T Bank Corporation (MTB) has announced a 4% increase in its quarterly cash dividend to $1.35 per share, reflecting a commitment to returning value to shareholders while maintaining adequate earnings for growth initiatives [1][2]. Dividend and Payout - The new dividend will be paid on June 28 to shareholders of record as of June 3 [1]. - MTB's current dividend yield is 3.52%, based on a closing price of $153.38 on May 21, with a payout ratio of 35% of earnings [2]. Share Repurchase Program - MTB has a share repurchase program authorized for $3 billion, having repurchased 3.8 million shares for $600 million in 2023 [3]. - As of March 31, 2024, there is $1.2 billion remaining in the repurchase authorization, but management has paused repurchase activities due to uncertainty regarding new capital rules [3]. Liquidity Position - As of March 31, 2024, MTB reported total cash and due from banks of $33.83 billion against total debt of $16.24 billion, indicating a strong liquidity position that supports ongoing capital distribution activities [4]. - Over the past six months, MTB's shares have increased by 22.6%, compared to the industry's growth of 29.3% [4].