How Dividend Growth Will Impact Principal Financial Group (PFG) Investors

Principal Financial Group is paying a quarterly dividend of $0.84 per share, equal to a 3.08% yield, with the annualized dividend 9.1% higher than last year and supported by a payout ratio of about 37%. The combination of a moderate payout ratio and expectations for materially higher 2026 earnings per share suggests Principal Financial Group is leaning on earnings capacity rather than balance sheet stretch to support its dividend profile. We will look at how Principal Financial Group's...