Covered, compounding — at a fuller payout. A 3.17% yield on a 57.86% trailing payout is covered, but fuller than most House cards — $0.42 a quarter, raised 5% in September 2026 from $0.40, marking 11 straight annual increases. The common equity tier 1 ratio of 9.93% at June 30, 2026 supports the rate, but a fuller payout leaves less cushion than a lower-payout payer.
Key risk: Comerica integration — buybacks are paused while the acquisition beds in, so any integration slip or credit surprise lands on a dividend that already pays out nearly three-fifths of earnings.
Changes if: The trailing payout pushes well past 57.86%, or the dividend stops growing. Payout coverage is the tripwire here.
- !Payout-coverage check: 57.86% trailing payout ratio — covered, but fuller than a low-payout payer, so less is retained if earnings dip.
- ✓Yield check: 3.17% indicated — $0.42/qtr × 4 at the $52.98 close on Oct. 23, 2026. Real, earned yield, not a special or a return of capital.
- ✓Dividend growth check: 11 straight annual increases; the latest raise lifted the quarterly dividend from $0.40 to $0.42 in September 2026.
What this grade doesn't say: It screens the dividend only — covered, real, compounding. It says nothing about valuation or price: a well-covered payer can still be overpriced, and its price can still fall.