VersaBank (NASDAQ:VBNK) to Issue Quarterly Dividend of $0.03

VersaBank (NASDAQ:VBNK - Get Free Report) announced a quarterly dividend on Wednesday, June 4th, RTT News reports. Shareholders of record on Friday, July 4th will be paid a dividend of 0.025 per share on Thursday, July 31st. This represents a $0.10 annualized dividend and a yield of 0.96%. The ex-dividend date is Thursday, July 3rd.

VersaBank has a payout ratio of 3.8% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect VersaBank to earn $2.23 per share next year, which means the company should continue to be able to cover its $0.07 annual dividend with an expected future payout ratio of 3.1%.

VersaBank Stock Performance

VBNK traded down $0.41 during trading on Thursday, hitting $10.40. The stock had a trading volume of 228,161 shares, compared to its average volume of 70,174. The company has a market capitalization of $338.20 million, a PE ratio of 9.45 and a beta of 0.99. VersaBank has a twelve month low of $8.51 and a twelve month high of $18.38. The stock has a 50 day simple moving average of $10.79 and a two-hundred day simple moving average of $12.60.

VersaBank (NASDAQ:VBNK - Get Free Report) last announced its earnings results on Wednesday, June 4th. The company reported $0.18 earnings per share for the quarter, missing the consensus estimate of $0.21 by ($0.03). The firm had revenue of $21.87 million during the quarter, compared to analyst estimates of $20.77 million. VersaBank had a net margin of 13.52% and a return on equity of 11.20%. On average, equities research analysts anticipate that VersaBank will post 1.46 EPS for the current year.

Wall Street Analyst Weigh In

A number of research analysts have issued reports on the stock. Roth Mkm cut shares of VersaBank from a "buy" rating to a "neutral" rating and decreased their price target for the stock from $22.00 to $10.40 in a report on Thursday, March 6th. Raymond James reaffirmed an "outperform" rating and issued a $13.00 price target (down previously from $15.00) on shares of VersaBank in a report on Thursday. Finally, Roth Capital set a $10.40 price target on shares of VersaBank in a report on Thursday, March 6th.

Institutional Inflows and Outflows

An institutional investor recently raised its position in VersaBank stock. Royal Bank of Canada boosted its holdings in shares of VersaBank (NASDAQ:VBNK - Free Report) by 107.2% in the first quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 56,371 shares of the company's stock after purchasing an additional 29,169 shares during the period. Royal Bank of Canada owned about 0.17% of VersaBank worth $585,000 as of its most recent filing with the Securities and Exchange Commission (SEC). 56.86% of the stock is owned by hedge funds and other institutional investors.

VersaBank Company Profile

VersaBank provides various banking products and services in Canada and the United States. It offers deposit products, such as web-based chequing accounts, guaranteed investment certificates, registered retirement savings plans, and tax-free savings accounts, as well as deposit insurance products. The company also provides lending services, including point of sale financing that covers purchasing loan and lease receivables from finance companies operating in various industries; commercial banking services comprising commercial real estate, public sector/infrastructure financing, and condominium financing; and residential mortgages.