Arrow Financial Co. (NASDAQ:AROW) Announces Dividend Increase to $0.28 Per Share

Arrow Financial Co. (NASDAQ:AROW) announced a dividend increase on Saturday, February 1st. Shareholders who are on record as of Tuesday, February 11th, will receive a dividend of $0.28 per share. This dividend will be paid on Monday, February 24th. This marks a notable increase from the company's previous dividend of $0.25, providing a yield of 4.21%. The ex-dividend date, which is the last day to purchase shares to be eligible for the dividend, is set for Monday, February 10th.

Arrow Financial has consistently upped its dividend over the last three years, with an average increase of 4.4% annually. The company maintains a payout ratio of 37.8%, which suggests that its dividend payments are well-supported by its earnings. Analysts forecast that Arrow Financial will earn approximately $2.70 per share next year, indicating that the company should remain capable of sustaining its $1.12 annual dividend, with an expected future payout ratio of 41.5%.

Arrow Financial Stock Performance

On Friday, the stock opened at $26.61. The company has a market capitalization of $445.45 million, with a price-to-earnings ratio of 13.58. Additionally, Arrow Financial's stock has a beta of 0.77, showing less volatility compared to the market. Current trading indicators reveal a fifty-day simple moving average of $29.23 and a 200-day simple moving average of $29.49. The company has experienced a 52-week low of $21.50 and a high of $34.63.

Recent Earnings and Financial Health

Arrow Financial recently reported its earnings on Thursday, January 30th, showing earnings per share (EPS) of $0.47 for the quarter. This fell short of market expectations, which had anticipated an EPS of $0.59, resulting in a difference of $0.12. The company posted a net margin of 15.00% and a return on equity of 8.59%. Analysts predict that Arrow Financial will achieve an EPS of 2.11 for the current year.

Insider Transactions

In other news regarding Arrow Financial, Director Raymond F. O’Connor sold 2,000 shares of the company’s stock in a transaction that took place on December 2nd. The sale occurred at an average price of $32.69, totaling approximately $65,380. Following the sale, O’Connor possesses 37,859 shares valued around $1,237,610.71, indicating a 5.02% reduction in their holdings. This transaction has been disclosed in a filing made to the SEC.

Analyst Ratings Developments

Recently, Arrow Financial has been the subject of several updates from market analysts. Hovde Group lowered their target price on Arrow Financial from $34.50 to $32.00 and rated the stock as 'market perform' in a report published on December 27th. Additionally, Piper Sandler began coverage on Arrow Financial, issuing a 'neutral' rating with a $32.00 price target.

About Arrow Financial

Arrow Financial Corporation operates as a bank holding company offering both commercial and consumer banking services. It provides various deposit products such as demand deposits and time deposits, along with several lending options, including commercial loans and real estate financing.

dividend, finance, stocks