Bank of N.T. Butterfield & Son Limited (The) (NYSE:NTB) Declares Dividend Increase - $0.50 Per Share

Key Points

• Bank of N.T. Butterfield & Son announced a quarterly dividend increase to $0.50 per share, reflecting a 13.6% rise from the previous dividend of $0.44.
• The bank has a dividend payout ratio of 33.5%, indicating its dividends are well-supported by earnings, with projected earnings of $4.85 per share for the next year.
• In stock market activity, shares of Bank of N.T. Butterfield & Son recently traded at $45.89, with analysts expressing a positive outlook and target prices ranging between $50.00 and $54.00.

Bank of N.T. Butterfield & Son Limited (The) (NYSE:NTB - Get Free Report) announced a quarterly dividend on Tuesday, July 29th, Wall Street Journal reports. Shareholders of record on Monday, August 11th will be paid a dividend of 0.50 per share by the bank on Monday, August 25th. This represents a c) dividend on an annualized basis and a yield of 4.5%. The ex-dividend date of this dividend is Monday, August 11th. This is a 13.6% increase from Bank of N.T. Butterfield & Son's previous quarterly dividend of $0.44.

Bank of N.T. Butterfield & Son has a payout ratio of 33.5% indicating that its dividend is sufficiently covered by earnings. Research analysts expect Bank of N.T. Butterfield & Son to earn $4.85 per share next year, which means the company should continue to be able to cover its $1.76 annual dividend with an expected future payout ratio of 36.3%.

Bank of N.T. Butterfield & Son Price Performance

Shares of NTB stock traded down $0.82 during mid-day trading on Friday, hitting $44.69. The stock had a trading volume of 168,552 shares, compared to its average volume of 156,540. The firm has a market capitalization of $2.12 billion, a P/E ratio of 8.97 and a beta of 0.64. Bank of N.T. Butterfield & Son has a 12-month low of $33.04 and a 12-month high of $46.89. The firm's 50-day moving average is $44.26 and its two-hundred day moving average is $40.59.

Bank of N.T. Butterfield & Son (NYSE:NTB - Get Free Report) last posted its earnings results on Monday, July 28th. The bank reported $1.26 EPS for the quarter, beating analysts' consensus estimates of $1.15 by $0.11. The business had revenue of $146.30 million for the quarter, compared to the consensus estimate of $146.91 million. Bank of N.T. Butterfield & Son had a net margin of 27.05% and a return on equity of 21.16%. During the same quarter last year, the firm posted $1.09 EPS. Analysts expect that Bank of N.T. Butterfield & Son will post 4.4 EPS for the current year.

Wall Street Analysts Forecast Growth

A number of brokerages have recently issued reports on NTB. Wells Fargo & Company lifted their price target on Bank of N.T. Butterfield & Son from $46.00 to $54.00 and gave the company an "overweight" rating in a report on Thursday, July 10th. Keefe, Bruyette & Woods raised their price target on shares of Bank of N.T. Butterfield & Son from $48.00 to $50.00 and gave the company a "market perform" rating in a report on Friday, July 11th. Finally, Raymond James Financial reiterated an "outperform" rating and set a $50.00 price objective (up previously from $44.00) on shares of Bank of N.T. Butterfield & Son in a research note on Tuesday, July 8th.

Bank of N.T. Butterfield & Son Company Profile

The Bank of N.T. Butterfield & Son Ltd. provides community banking and wealth management business. The firm operates through the following geographical segments: Bermuda, the Cayman Islands, Channel Islands and the UK, and Other. The Bermuda and Cayman segments offer retail banking and wealth management.