Jamie Dimon, chief govt officer of JPMorgan Chase & Co., in the course of the America Enterprise Discussion board in Miami, Florida, US, on Thursday, Nov. 6, 2025.
Eva Marie Uzcategui | Bloomberg | Getty Photographs
JPMorgan Chase on Wednesday unveiled a brand new $50 billion share repurchase program and raised its quarterly dividend after the Federal Reserve discovered the trade remained effectively capitalized underneath its annual stress check.
The largest U.S. financial institution by belongings stated it’ll improve its quarterly dividend 10% to $1.65 per share, topic to board approval, and licensed the buyback program efficient July 1.
“The Board’s meant dividend improve is supported by our constant funding in our enterprise and robust monetary efficiency,” JPMorgan CEO Jamie Dimon stated in a press release. “As at all times, we’re ready for a variety of situations, together with the hypothetical 2026 supervisory severely antagonistic state of affairs.”
Goldman Sachs likewise elevated its quarterly payouts, saying that its dividend will rise 11% to $5 per share, citing the agency’s robust earnings and capital place.
Wells Fargo stated it expects to boost its dividend by 11% to 50 cents per share, whereas Morgan Stanley boosted its payout 15% to $1.15 per share, whereas additionally reauthorizing a $20 billion buyback program.
Financial institution of America CEO Brian Moynihan stated in a press release that the financial institution will make an announcement on the agency’s dividend subsequent month.
The bulletins adopted the discharge of the Federal Reserve’s annual stress check, which discovered that every one 32 massive banks remained above their minimal capital necessities even after a hypothetical recession producing greater than $708 billion in projected losses throughout the trade.
Not like in earlier years, nevertheless, the outcomes won’t have an effect on banks’ capital necessities. The Fed stated earlier this yr it will hold stress capital buffers unchanged by way of 2027 whereas it overhauls the testing methodology, that means banks entered Wednesday with a transparent understanding of their capital necessities.
Whereas analysts had anticipated the train to have little fast impression, in an indication of confidence, banks opted to proceed with payout will increase, regardless of the regulatory limbo.
In a notice forward of the outcomes, KBW described this yr’s stress check as “going by way of the motions,” arguing that buyers are extra targeted on the pending Basel III Endgame proposal anticipated later this yr than on the Fed’s annual train.
This story is creating. Please examine again for updates.