Financial service companies’ profitability tends to be tied to the economic cycle. These companies provide services ranging from consumer finance to investment banking. During downturns, financial services companies tend to be hit the hardest as net interest margins shrink and credit losses grows. However, during prosperous times, they report robust profits and many pay attractive dividends. If you’re a buy-and-hold investor, these healthy dividend stocks in the financial industry can generously contribute to your monthly portfolio income.
Arrow Financial Corporation (NASDAQ:AROW)
AROW has a decent dividend yield of 2.64% and their payout ratio stands at 43.91% . AROW’s last dividend payment was US$1.00, up from it’s payment 10 years ago of US$0.77. During this period, they haven’t missed a payment, as one would expect from a company increasing their dividend. More on Arrow Financial here.
The First of Long Island Corporation (NASDAQ:FLIC)
FLIC has a decent dividend yield of 2.36% and is paying out 39.04% of profits as dividends . The company’s DPS have increased from US$0.27 to US$0.60 over the last 10 years. During this period, they haven’t missed a payment, as one would expect from a company increasing their dividend. Interested in First of Long Island? Find out more here.
Camden National Corporation (NASDAQ:CAC)
CAC has a nice dividend yield of 2.17% and the company currently pays out 47.91% of its profits as dividends . Over the past 10 years, CAC has increased its dividends from US$0.67 to US$1.00. During this period, they haven’t missed a payment, as one would expect from a company increasing their dividend. Analysts are optimistic on the company’s earnings in the next 12 months, estimating a 69.76% increase in EPS. Continue research on Camden National here.
For more solid dividend paying companies to add to your portfolio, explore this interactive list of top dividend payers.
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.