Canadian Banc (TSE:BK) Sets New 12-Month High - Should You Buy?

Key Points

• Canadian Banc Corp. stock reached a new 52-week high at C$13.91, closing at C$13.84 with a trading volume of nearly 94,000 shares.
• The company recently increased its monthly dividend to $0.1591 per share, reflecting a 13.7% dividend yield and a payout ratio of 49.43%.
• Canadian Banc has strong liquidity ratios, with a quick ratio of 2.23 and a current ratio of 1.98, indicating good financial stability.

Canadian Banc Corp. (TSE:BK - Get Free Report) shares hit a new 52-week high during trading on Monday . The company traded as high as C$13.91 and last traded at C$13.84, with a volume of 93987 shares changing hands. The stock had previously closed at C$13.70.

Canadian Banc Stock Up 0.3%

The company has a quick ratio of 2.23, a current ratio of 1.98 and a debt-to-equity ratio of 98.31. The firm has a market cap of C$543.14 million, a P/E ratio of 4.13 and a beta of 0.89. The stock's 50-day simple moving average is C$12.91 and its 200 day simple moving average is C$11.86.

Canadian Banc Increases Dividend

The company also recently declared a monthly dividend, which was paid on Wednesday, September 10th. Shareholders of record on Wednesday, September 10th were given a dividend of $0.1591 per share. This represents a c) dividend on an annualized basis and a yield of 13.4%. This is an increase from Canadian Banc's previous monthly dividend of $0.15. The ex-dividend date of this dividend was Friday, August 29th. Canadian Banc's payout ratio is currently 49.43%.

Canadian Banc Company Profile

The Companys investment objectives are (i) to provide holders of Preferred Shares with cumulative preferential floating rate monthly cash dividends at a rate per annum equal to the Prime Rate plus 0.75%, with a minimum annual rate of 5.0% and a maximum annual rate of 7.0% (ii) to provide holders of Class A Shares with regular floating rate monthly cash distributions targeted to be at a rate per annum equal to the Prime Rate plus 2.0%, with a minimum targeted annual rate of 5.0% and a maximum targeted annual rate of 10.0% and (iii) to return the original issue price to holders of both Preferred Shares and Class A Shares at the time of the redemption of such shares on December 1, 2012.