The 5 Lowest-Yielding Regional Bank Stocks

Regional banks are known for paying respectable dividends, as few banks can prudently use all of the capital they generate from earnings. But some regional bank stocks still yield more than others. Among the lowest-yielding regional bank stocks are:

  • SunTrust Banks
  • KeyCorp
  • PNC Financial
  • M&T Bank
  • Capital One Financial

The reasons that these five regional bank stocks yield less than their industry counterparts vary. For KeyCorp, SunTrust Banks, and PNC Financial, it's because they had to slash their dividend payouts during the financial crisis. In M&T Bank's case, while the Buffalo, New York-based lender didn't have to cut its distribution during the crisis, it hasn't raised its payout since then. And Capital One Financial, the youngest company of the group, only recently began zeroing in on dividends to allocate capital.

The net result is that all five of these companies seem poised to grow their quarterly payouts aggressively over the years ahead.

To see exactly where these five banks rank in terms of their dividend yields, simply scroll through the brief slideshow below.

Source: Dividend yield data for SunTrust Banks, KeyCorp, PNC Financial, M&T Bank, and Capital One Financial was sourced from Yahoo! Finance.

The article The 5 Lowest-Yielding Regional Bank Stocks originally appeared on Fool.com.

John Maxfield has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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