Preferred Bank (NASDAQ:PFBC) to Issue Quarterly Dividend of $0.80

Key Points

• Preferred Bank declared a quarterly dividend of $0.80 per share, payable October 19 to shareholders of record October 5. The dividend represents an annualized $3.20 payout and a 3.0% yield.
• The bank has increased its dividend for five consecutive years, with a 32.7% payout ratio indicating solid earnings coverage. Analysts expect a future payout ratio of approximately 29.3%.
• Preferred Bank reported quarterly EPS of $2.78, exceeding analyst expectations of $2.65, while revenue came in at $73.47 million, slightly below estimates.

Preferred Bank (NASDAQ:PFBC - Get Free Report) declared a quarterly dividend on Wednesday, September 16th. Stockholders of record on Monday, October 5th will be paid a dividend of 0.80 per share by the bank on Monday, October 19th. This represents a c) annualized dividend and a dividend yield of 3.0%. The ex-dividend date is Monday, October 5th.

Preferred Bank has raised its dividend payment by an average of 0.2%annually over the last three years and has increased its dividend annually for the last 5 consecutive years. Preferred Bank has a payout ratio of 32.7% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Preferred Bank to earn $10.94 per share next year, which means the company should continue to be able to cover its $3.20 annual dividend with an expected future payout ratio of 29.3%.

Preferred Bank Stock Performance

NASDAQ PFBC opened at $106.18 on Thursday. The stock has a fifty day simple moving average of $104.95 and a 200-day simple moving average of $98.48. The company has a current ratio of 1.08, a quick ratio of 1.08 and a debt-to-equity ratio of 0.44. The stock has a market cap of $1.53 billion, a PE ratio of 9.71 and a beta of 0.54. Preferred Bank has a twelve month low of $81.50 and a twelve month high of $112.26.

Preferred Bank (NASDAQ:PFBC - Get Free Report) last posted its earnings results on Wednesday, July 22nd. The bank reported $2.78 EPS for the quarter, beating analysts' consensus estimates of $2.65 by $0.13. Preferred Bank had a net margin of 26.54% and a return on equity of 17.27%. The company had revenue of $73.47 million for the quarter, compared to analysts' expectations of $73.60 million. Equities analysts anticipate that Preferred Bank will post 10.71 earnings per share for the current year.

Preferred Bank Company Profile

Preferred Bank NASDAQ: PFBC is a California-chartered commercial bank headquartered in Los Angeles. Founded in 1991, the bank provides banking and financial services to businesses, professionals and individuals, with a particular focus on small and middle-market companies and the Chinese-American community.

The bank offers commercial and industrial loans, commercial real estate financing, construction loans, small business lending, residential mortgage loans and consumer credit. Its deposit products include checking, savings, money market and time deposit accounts, along with treasury management, online banking and other cash-management services for business customers.

Preferred Bank serves customers through a network of branches and offices in California and the New York metropolitan area, including markets in Southern California, Northern California and communities in the New York region.

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