On 2/27/14, Regions Financial Corp's 6.375% Non-Cumulative Perpetual Preferred Stock, Series A (RF.PRA) will trade ex-dividend, for its quarterly dividend of $0.3984, payable on 3/17/14. As a percentage of RF.PRA's recent share price of $24.11, this dividend works out to approximately 1.65%, so look for shares of RF.PRA to trade 1.65% lower — all else being equal — when RF.PRA shares open for trading on 2/27/14. On an annualized basis, the current yield is approximately 6.63%, which compares to an average yield of 5.76% in the "Financial" preferred stock category, according to Preferred Stock Channel.
As of last close, RF.PRA was trading at a 3.80% discount to its liquidation preference amount. Investors should keep in mind that the shares are not cumulative, meaning that in the event of a missed payment, the company does not have to pay the balance of missed dividends to preferred shareholders before resuming a common dividend. The chart below shows the one year performance of RF.PRA shares, versus RF:
Below is a dividend history chart for RF.PRA, showing historical dividends prior to the most recent $0.3984 on Regions Financial Corp's 6.375% Non-Cumulative Perpetual Preferred Stock, Series A:
According to the ETF Finder at ETF Channel, Regions Financial Corp (RF) makes up 4.37% of the KBW Bank Portfolio ETF (KBWB) which is trading lower by about 0.3% on the day Tuesday.