KeyCorp (NYSE:KEY) is set to pay a dividend of $0.205 on September 13th, with a dividend yield of 5.4%, which is higher than the industry average. KeyCorp has a history of paying dividends for over 10 years, but recent earnings reports show that the company may not have enough earnings to cover its dividend payout, raising concerns about sustainability. However, analysts forecast a 131.8% increase in EPS over the next 3 years, with a future payout ratio estimated to be 50%, which could make the dividend more sustainable.
KeyCorp has a consistent track record of dividend payments, showing steady growth from $0.22 in 2014 to $0.82 in recent years, indicating a yearly growth rate of around 14%. Despite this, the company’s earnings per share has decreased by 15% annually over the past five years, which could impact dividend growth potential.
Overall, KeyCorp may not be an ideal dividend stock due to high dividend payments that may not be sustainable in the long term. Investors should consider other factors besides dividends when analyzing the company. It is important to note that the information provided is based on historical data and analyst forecasts, and does not constitute financial advice.