Several prominent stock market players just declared, or announced intentions to declare, large dividend increases. This is particularly true among some of the United States' biggest banks. Many banks announced big capital return plans after they passed the Federal Reserve’s 2025 bank stress tests in resounding fashion. These tests evaluate how well these banks can handle a severe recession.
After passing, many big banks announced huge buyback programs. However, many also outlined their intentions to boost dividends by as much as 33%. These dividends need approval from each company's Board of Directors. However, this is really just a formality, as dividend increase proposals are almost never struck down. Investors can feel confident that the proposed increases will lead to more income in the future. Let's break down these dividend boosters. All dividend yield and return figures use data as of the July 3 close.
