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Southern States Bancshares (SSBK) Renews Share Buyback Plan
Southern States Bancshares, Inc. (SSBK - Free Report) recently announced that its board of directors approved the renewal of the company’s stock repurchase program.
With this, the bank is authorized to repurchase up to $10 million of its common stock.
The original program authorized SSBK to repurchase up to $10 million of its common stock in 2022, which expired on Dec 31, 2022. Under this program, the company repurchased 345,502 shares for $7.4 million.
In addition to share buybacks, the company pays regular quarterly dividends.
On Jan 19, 2023, SSBK announced a quarterly cash dividend of 9 cents per share. The dividend was paid out on Feb 16, 2023 to stockholders of record at the close of business on Jan 6.
Considering the last day’s closing price, SSBK’s dividend yield currently stands at 1.33%. The yield is not only attractive to investors, but also represents a steady income stream.
Such efforts not only reflect the company’s commitment toward returning value to shareholders but also mirror its healthy position to endure severe economic downturns.
The company’s loans increased 26.8% year over year in 2022, while deposits rose 10.5%, thereby strengthening its balance sheet position.
Given a decent balance sheet position and earnings strength, SSBK is expected to continue with efficient capital deployment activities in the future. Through this, it will keep enhancing shareholders’ value.
Over the past six months, shares of SSBK have gained 3.2% against the industry’s decline of 6.7%.
Image Source: Zacks Investment Research
Currently, SSBK carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Enhanced Capital Deployment Plans of Other Banks
Since the beginning of 2023, banks like Prosperity Bancshares, Inc. (PB - Free Report) and Zions Bancorporation (ZION - Free Report) announced their share repurchase plans.
Prosperity Bancshares’ board of directors authorized a share repurchase program under which it can repurchase up to 5%, which is 4.6 million of its shares. PB’s program expires on Jan 17, 2024.
Similarly, Zions Bancorp’s board of directors authorized a share repurchase for the first quarter of 2023. ZION's program is worth up to $50 million in shares.