TowneBank (NASDAQ:TOWN) Increases Dividend to $0.18 Per Share

TowneBank (NASDAQ:TOWN) declared a quarterly dividend on Thursday, May 23rd, Wall Street Journal reports. Shareholders of record on Friday, June 28th will be given a dividend of 0.18 per share by the bank on Wednesday, July 10th. This represents a $0.72 annualized dividend and a yield of 2.64%. The ex-dividend date is Thursday, June 27th. This is a positive change from TowneBank’s previous quarterly dividend of $0.16.

TowneBank has raised its dividend by an average of 9.3% annually over the last three years and has raised its dividend annually for the last 7 consecutive years. TowneBank has a payout ratio of 35.3% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect TowneBank to earn $2.00 per share next year, which means the company should continue to be able to cover its $0.72 annual dividend with an expected future payout ratio of 36.0%.

TowneBank stock opened at $27.26 on Wednesday. The company has a quick ratio of 0.99, a current ratio of 1.02 and a debt-to-equity ratio of 0.47. The company has a market capitalization of $1.96 billion, a P/E ratio of 13.77 and a beta of 1.08. TowneBank has a 12 month low of $22.88 and a 12 month high of $33.70. The company has a 50-day moving average price of $26.39.

TowneBank (NASDAQ:TOWN) last posted its earnings results on Thursday, April 25th. The bank reported $0.44 EPS for the quarter, missing the consensus estimate of $0.49 by ($0.05). The firm had revenue of $133.85 million during the quarter, compared to the consensus estimate of $138.13 million. TowneBank had a net margin of 22.24% and a return on equity of 9.31%. On average, equities research analysts forecast that TowneBank will post 1.94 EPS for the current year.

A number of brokerages have recently issued reports on TOWN. BidaskClub downgraded TowneBank from a “buy” rating to a “hold” rating in a research report on Friday, March 1st. ValuEngine downgraded TowneBank from a “hold” rating to a “sell” rating in a research report on Wednesday, March 6th. Finally, Zacks Investment Research downgraded TowneBank from a “hold” rating to a “sell” rating in a research report on Tuesday, April 30th. Five research analysts have rated the stock with a hold rating, The stock has an average rating of “Hold” and an average price target of $34.00.

TowneBank Company Profile

TowneBank provides retail and commercial banking services for small- and medium-size businesses, professionals, and individuals. The company operates in three segments: Banking, Realty, and Insurance. It accepts various deposits products, including demand deposits, savings accounts, money rate savings, certificates of deposit, and individual retirement accounts, and negotiable order of withdrawal accounts.

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Dividend History for TowneBank (NASDAQ:TOWN)

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