JPM vs PNC: Dividend Yield, Growth & Safety Comparison
Jpmorgan Chase & Co (JPM) and Pnc Financial Services Group, Inc. (PNC) are both in the Financials sector, making them natural rivals for dividend investors. PNC edges ahead on yield at 2.75% versus JPM's 1.82%. For dividend growth, JPM leads with a 5-year CAGR of 18.6% versus PNC's 16.0%. Both stocks carry a "Safe" dividend safety rating.
Key Metrics Comparison
| Metric | JPM | PNC |
|---|
| Dividend Yield | 1.82% | 2.75% |
| Annual Dividend | $5.80 | $6.60 |
| 5-Year CAGR | 18.6% | 16.0% |
| Payout Ratio | 29% | 40% |
| Consecutive Years | 0 | 0 |
| Price | $301.96 | $229.30 |
Yield Comparison
Pnc Financial Services Group, Inc. (PNC) currently yields 2.75%, which is solid for the broader market. That's 0.92% more than Jpmorgan Chase & Co (JPM), which yields 1.82%. In dollar terms, PNC pays $6.60/share annually versus JPM's $5.80/share.
Dividend Growth
Over the past five years, JPM has grown its dividend at a 18.6% CAGR compared to PNC's 16.0%. JPM: Dividend growth is accelerating — the 3-year CAGR of 34.9% exceeds the 5-year rate of 18.6% and the 10-year rate of 16.5%. PNC: Dividend growth is accelerating — the 3-year CAGR of 19.8% exceeds the 5-year rate of 16.0% and the 10-year rate of 17.0%.
Dividend Safety
JPM's dividend safety is rated "Safe." The payout ratio of 29% is well within sustainable levels, leaving room for future increases. Earnings cover the dividend 3.5x. PNC's dividend safety is rated "Safe." The payout ratio of 40% is well within sustainable levels, leaving room for future increases. Earnings cover the dividend 2.5x. JPM's payout ratio of 29% is more conservative than PNC's 40%, suggesting more room for future increases.
Income Comparison
A $10,000 investment in PNC generates approximately $275/year in dividend income, compared to $182/year from JPM — a difference of $93/year. At $100,000, that gap widens to $930/year.
Verdict
- Best for income: PNC
- Best for growth: JPM
- Best for safety: JPM
Frequently Asked Questions
Which has a higher dividend yield, JPM or PNC?
Pnc Financial Services Group, Inc. (PNC) has a higher dividend yield of 2.75% compared to Jpmorgan Chase & Co (JPM) at 1.82%.
Is JPM or PNC a better dividend growth stock?
Jpmorgan Chase & Co has the stronger dividend growth with a 5-year CAGR of 18.6%, compared to Pnc Financial Services Group, Inc.'s 16.0%.
Which is safer for dividend income, JPM or PNC?
Jpmorgan Chase & Co's dividend safety is rated "Safe" while Pnc Financial Services Group, Inc. is rated "Safe." The payout ratio of 29% is well within sustainable levels, leaving room for future increases. Earnings cover the dividend 3.5x. The payout ratio of 40% is well within sustainable levels, leaving room for future increases. Earnings cover the dividend 2.5x.
How much income does $10,000 in JPM vs PNC generate?
A $10,000 investment in JPM generates approximately $182/year in dividends, while the same amount in PNC generates about $275/year.
Which has a lower payout ratio, JPM or PNC?
Jpmorgan Chase & Co has a lower payout ratio of 29% compared to Pnc Financial Services Group, Inc.'s 40%. A lower payout ratio generally indicates more room for dividend growth and better sustainability.
JPM vs PNC: which is better for retirement income?
It depends on your priorities. PNC for current income, JPM for dividend growth, JPM for safety. Many retirement investors hold both for diversification.
JPM Dividend Analysis | PNC Dividend Analysis | All Comparisons | Comparison Tool