NEW YORK (TheStreet) -- Shares of CIT Group Inc. (CIT) are up 0.33% to $45.31 in early morning trade after the bank holding company today said that it intends to increase its quarterly dividend 50% to 15 cents, the Wall Street Journal reports.
The increase would raise the company's dividend yield to about 1.3% from 0.9%, based on Tuesday's closing share price of $45.16.
Last year the company resumed paying dividends for the first time since 2009 after the Federal Reserve Bank of New York removed limits it had placed on the company to compel it to improve its risk management and corporate governance, the Journal said.
TheStreet Ratings team rates CIT GROUP INC as a Sell with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation:
"We rate CIT GROUP INC (CIT) a SELL. This is driven by multiple weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its unimpressive growth in net income, generally disappointing historical performance in the stock itself and feeble growth in its earnings per share."
Highlights from the analysis by TheStreet Ratings Team goes as follows: