Ally Financial Inc. (NYSE: ALLY) has recently made an announcement that will undoubtedly please its shareholders. In a press release distributed today, the company’s board of directors has declared a quarterly cash dividend for its stockholders.
For every share of the company’s common stock, shareholders will receive $0.30. This dividend will be payable on November 15, 2023, to all stockholders who are on record as of November 1, 2023.
But that’s not all. The announcement also contained information about dividend payments related to the company’s Series B and Series C preferred stock securities. These dividends will also be payable on November 15, 2023.
Specifically, shareholders of Ally’s 4.700% Fixed-Rate Reset Non-Cumulative Perpetual Preferred Stock, Series B, are set to receive approximately $15.9 million in total, which breaks down to $11.75 per share. The eligibility cut-off for this dividend is set for October 31, 2023.
Similarly, those holding shares of Ally’s 4.700% Fixed-Rate Reset Non-Cumulative Perpetual Preferred Stock, Series C, can expect a dividend amounting to roughly $11.8 million in total. This also translates to $11.75 per share, with the same record date of October 31, 2023.
Ally Financial has been consistently showing its commitment to return value to its shareholders, and these recent dividend declarations are a testament to that dedication.
$0.30 for the 8th Consecutive Quarter
ALLY is on track to pay a $0.30 dividend for 8 consecutive quarters now. This dividend grower has stalled out due to the Federal Reserve’s commitment to crushing inflation. The Fed has relentlessly raised rates since 2022. Meanwhile, ALLY has shored up cash in case of rough seas ahead in the form of defaults from borrowers.
The 5 year dividend growth rate was at 24.6% before the recent dividend announcement.
