VersaBank (NASDAQ:VBNK) Raises Dividend to $0.03 Per Share

VersaBank (NASDAQ:VBNK) announced a quarterly dividend on Wednesday, March 5th, RTT News reports. Stockholders of record on Friday, April 4th will be given a dividend of 0.025 per share on Wednesday, April 30th. This represents a $0.10 annualized dividend and a dividend yield of 0.92%. This is a positive change from VersaBank’s previous quarterly dividend of $0.02.

VersaBank has a dividend payout ratio of 3.0% 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 Price Performance

Shares of VBNK stock traded down $1.06 during trading on Wednesday, hitting $10.86. 37,653 shares of the stock traded hands, compared to its average volume of 82,747. VersaBank has a 52-week low of $9.48 and a 52-week high of $18.38. The firm has a market capitalization of $353.09 million, a P/E ratio of 9.98 and a beta of 0.91. The firm’s fifty day moving average price is $13.45 and its 200-day moving average price is $14.24.

VersaBank (NASDAQ:VBNK) last posted its earnings results on Wednesday, March 5th. The company reported $0.20 EPS for the quarter, missing analysts’ consensus estimates of $0.29 by ($0.09). VersaBank had a net margin of 13.52% and a return on equity of 11.20%. As a group, equities research analysts expect that VersaBank will post 1.46 earnings per share for the current year.

Analyst Upgrades and Downgrades

Separately, Raymond James reaffirmed an “outperform” rating and issued a $17.00 target price (up previously from $15.00) on shares of VersaBank in a research report on Friday, November 8th.

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.