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BankUnited (BKU) Rewards Shareholders With 7.4% Dividend Hike
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BankUnited, Inc (BKU - Free Report) has increased its quarterly dividend. The company announced a quarterly cash dividend of 29 cents per share, marking an increase of 7.4% from the prior payout. This dividend will be paid out on Apr 30, 2024, to shareholders of record as of Apr 12.
Prior to this, BKU hiked its dividend by 8% to 27 cents per share on Feb 23, 2023. The company has increased its dividend payout four times in the past five years. Also, the company has five-year annualized dividend growth of 5.67%. Currently, the company’s payout ratio is 38% of earnings.
Based on the closing price of $27.05 on Feb 23, BankUnited currently has a dividend yield of 4.3%, which is impressive compared with the industry’s yield of 3.87%.
The bank also has a share repurchase program in place. In September 2022, BKU's board of directors authorized the repurchase of up to an additional $150 million worth of shares with no expiration date. This was followed by another similar authorization announced in May 2022. As of Dec 31, 2023, 20.2 million shares remained available under the authorization. Although management has decided to suspend buybacks until economic stability is evident, the bank’s strong earnings are expected to maintain its efficient capital distribution activities in the future.
The company had a total debt of $5.82 billion and cash and cash equivalents of $588.2 million as of Dec 31, 2023. BankUnited’s decent liquidity and strong balance sheet position are likely to help sustain its dividend payouts in the long run.
In the past three months, shares of BKU have gained 2.8% compared with the industry’s 18.2% growth. Image Source: Zacks Investment Research
Earlier this month, WaFd, Inc. (WAFD - Free Report) announced a quarterly cash dividend of 26 cents per share, marking an increase of 4% from the prior payout. This dividend will be paid out on Mar 8, 2024, to shareholders of record as of Feb 23.
Prior to this, WAFD hiked its dividend by 4.2% to 25 cents per share on Mar 10, 2023. The company has increased its dividend payout five times in the past five years.
Southside Bancshares, Inc. (SBSI - Free Report) announced a quarterly cash dividend of 36 cents per share, which is 2.9% higher than the prior payout. This dividend will be paid out on Feb 29, 2024, to shareholders on record as of Feb 15.
Prior to this, SBSI increased its dividend by 2.9% to 35 cents per share in February 2023. The current dividend marks the fourth hike in the past three years.
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BankUnited (BKU) Rewards Shareholders With 7.4% Dividend Hike
BankUnited, Inc (BKU - Free Report) has increased its quarterly dividend. The company announced a quarterly cash dividend of 29 cents per share, marking an increase of 7.4% from the prior payout. This dividend will be paid out on Apr 30, 2024, to shareholders of record as of Apr 12.
Prior to this, BKU hiked its dividend by 8% to 27 cents per share on Feb 23, 2023. The company has increased its dividend payout four times in the past five years. Also, the company has five-year annualized dividend growth of 5.67%. Currently, the company’s payout ratio is 38% of earnings.
Based on the closing price of $27.05 on Feb 23, BankUnited currently has a dividend yield of 4.3%, which is impressive compared with the industry’s yield of 3.87%.
The bank also has a share repurchase program in place. In September 2022, BKU's board of directors authorized the repurchase of up to an additional $150 million worth of shares with no expiration date. This was followed by another similar authorization announced in May 2022. As of Dec 31, 2023, 20.2 million shares remained available under the authorization. Although management has decided to suspend buybacks until economic stability is evident, the bank’s strong earnings are expected to maintain its efficient capital distribution activities in the future.
The company had a total debt of $5.82 billion and cash and cash equivalents of $588.2 million as of Dec 31, 2023. BankUnited’s decent liquidity and strong balance sheet position are likely to help sustain its dividend payouts in the long run.
In the past three months, shares of BKU have gained 2.8% compared with the industry’s 18.2% growth.
Image Source: Zacks Investment Research
Currently, BKU carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Other Banks Taking Similar Steps
Earlier this month, WaFd, Inc. (WAFD - Free Report) announced a quarterly cash dividend of 26 cents per share, marking an increase of 4% from the prior payout. This dividend will be paid out on Mar 8, 2024, to shareholders of record as of Feb 23.
Prior to this, WAFD hiked its dividend by 4.2% to 25 cents per share on Mar 10, 2023. The company has increased its dividend payout five times in the past five years.
Southside Bancshares, Inc. (SBSI - Free Report) announced a quarterly cash dividend of 36 cents per share, which is 2.9% higher than the prior payout. This dividend will be paid out on Feb 29, 2024, to shareholders on record as of Feb 15.
Prior to this, SBSI increased its dividend by 2.9% to 35 cents per share in February 2023. The current dividend marks the fourth hike in the past three years.