SEI Investments Announces Dividend Hike: Is It Sustainable?

SEI Investments Company’s SEIC board of directors has announced a semi-annual cash dividend of 52 cents per share, representing an increase of 6.1% from the prior payout. The dividend will be paid out on Jan. 12, 2026, to shareholders on record as of Dec. 29, 2025.The company has been raising its dividends for the last 24 years. Before this, SEIC increased its dividend by 6.5% to 49 cents per share in December 2024. The company has a five-year annualized dividend growth rate of 7%. Currently, the company's payout ratio is 18% of earnings.Based on its yesterday’s closing price of $83.08, SEIC’s current dividend yield is 1.25%.SEI Investments’ Share Repurchase ProgramApart from regular dividend hikes, the company has a share repurchase program. In October, SEIC’s board of directors approved a $600 million increase to its stock buyback program, bringing the total available authorization to approximately $773.2 million as of Oct. 20, 2025. Before this, the company announced an increase in share buyback authorization by $400 million in October 2024.Is SEIC's Capital Distribution Plan Sustainable?SEI Investments has a strong balance sheet. As of Sept. 30, 2025, the company had a total debt of $43.8 million, significantly lower than the cash and cash equivalents of $792.8 million.Supported by its earnings strength and solid liquidity position, the company is expected to continue with efficient capital deployment activities. Through this, SEI Investments will keep enhancing shareholder value.SEIC’s Zacks Rank & Price PerformanceShares of SEI Investments have lost 4.2% compared with the industry’s decline of 11.7% over the past three months. Image Source: Zacks Investment ResearchCurrently, SEIC carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.Other Finance Stocks That Took Similar StepsFranklin Resources, Inc. BEN announced enhanced capital distribution plans, including a dividend hike and a new share buyback program. BEN's board of directors has declared a quarterly cash dividend of 33 cents per share, marking an increase of 3.1% from the prior payout. The new dividend will be paid out on Jan. 9, 2025, to shareholders on record as of Dec. 30, 2025.Also, Franklin’s board authorized an additional 20.8 million shares for repurchases, bringing the total available shares to 40 million. The buyback plan doesn’t have an expiration date.Truist Financial Corp.’s TFC board of directors has approved a new share repurchase plan. Under the new authorization, the company may repurchase up to $10 billion of its shares. The program takes effect immediately and has no stated expiration date.This new program will replace TFC’s existing share repurchase plan of $5 billion announced in 2023. As of Dec. 16, 2025, roughly $1.5 billion shares were available for buyback.Zacks Naming Top 10 Stocks for 2026Want to be tipped off early to our 10 top picks for the entirety of 2026? History suggests their performance could be sensational.From 2012 (when our Director of Research Sheraz Mian assumed responsibility for the portfolio) through November, 2025, the Zacks Top 10 Stocks gained +2,530.8%, more than QUADRUPLING the S&P 500’s +570.3%.Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2026. Don’t miss your chance to get in on these stocks when they’re released on January 5. Be First to New Top 10 Stocks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Franklin Resources, Inc. (BEN): Free Stock Analysis Report SEI Investments Company (SEIC): Free Stock Analysis Report Truist Financial Corporation (TFC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks