On 2/27/18, Wells Fargo & Co.'s Non-Cumulative Perpetual Class A Preferred Stock, Series N (WFC.PRN) will trade ex-dividend, for its quarterly dividend of $0.325, payable on 3/15/18. As a percentage of WFC.PRN's recent share price of $24.47, this dividend works out to approximately 1.33%, so look for shares of WFC.PRN to trade 1.33% lower — all else being equal — when WFC.PRN shares open for trading on 2/27/18. On an annualized basis, the current yield is approximately 5.34%, which compares to an average yield of 5.60% in the "Financial" preferred stock category, according to Preferred Stock Channel.
As of last close, WFC.PRN was trading at a 2.56% discount to its liquidation preference amount, versus the average premium of 4.02% in the "Financial" category. 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 WFC.PRN shares, versus WFC:
Below is a dividend history chart for WFC.PRN, showing historical dividends prior to the most recent $0.325 on Wells Fargo & Co.'s Non-Cumulative Perpetual Class A Preferred Stock, Series N :
According to the ETF Finder at ETF Channel, Wells Fargo & Co. (WFC) makes up 8.01% of the iShares U.S. Financial Services ETF (IYG) which is trading relatively unchanged on the day Friday.