Why Did BBVA Plunge 5.73% Despite Dividend Hike?

On April 7, 2025, Bank Bilbao Vizcaya experienced a significant drop of 5.73% in pre-market trading, reflecting a notable decline in investor sentiment.

BBVA's recent announcement of a supplementary dividend of €0.41 per share, scheduled for April 10, marks a 5.1% increase from the previous year's payout. This dividend, combined with the €0.29 interim dividend distributed in October, brings the total cash dividend for 2024 to €0.70 per share. Additionally, the bank has initiated a new €993 million share buyback program, aiming to return €5.03 billion to shareholders this year. This move underscores BBVA's commitment to enhancing shareholder returns, a strategy that has seen over €18 billion distributed through dividends and share buybacks since 2021.

Onur Genç, the CEO of BBVA, highlighted the strategic integration of BBVA and Sabadell, emphasizing the potential for scale and long-term value creation in Spain. This integration is expected to strengthen BBVA's market position and drive future growth.

BBVA's recent dividend declaration on March 24th, with stockholders of record on April 9th, further solidifies its commitment to shareholder value. The bank's focus on profitability and capital strength has enabled it to consistently increase returns to shareholders, despite recent market volatility.