Whether it's through stocks, bonds, ETFs, or other types of securities, all investors love seeing their portfolios score big returns. But for income investors, generating consistent cash flow from each of your liquid investments is your primary focus.

While cash flow can come from bond interest or interest from other types of investments, income investors hone in on dividends. A dividend is the distribution of a company's earnings paid out to shareholders; it's often viewed by its dividend yield, a metric that measures a dividend as a percent of the current stock price. Many academic studies show that dividends make up large portions of long-term returns, and in many cases, dividend contributions surpass one-third of total returns.

Based in Carmichaels, CB Financial Services (CBFV Quick QuoteCBFV - Free Report) is in the Finance sector, and so far this year, shares have seen a price change of -3.5%. The holding company for Pennsylvania-based Community Bank is currently shelling out a dividend of $0.28 per share, with a dividend yield of 3.33%. This compares to the Banks - Northeast industry's yield of 2.44% and the S&P 500's yield of 1.47%.

Looking at dividend growth, the company's current annualized dividend of $1.12 is up 9.8% from last year. Over the last 5 years, CB Financial Services has increased its dividend 1 times on a year-over-year basis for an average annual increase of 1.24%. Looking ahead, future dividend growth will be dependent on earnings growth and payout ratio, which is the proportion of a company's annual earnings per share that it pays out as a dividend. CB Financial Services's current payout ratio is 39%, meaning it paid out 39% of its trailing 12-month EPS as dividend.

Looking at this fiscal year, CBFV expects solid earnings growth. The Zacks Consensus Estimate for 2026 is $3.09 per share, with earnings expected to increase 14.02% from the year ago period.

Investors like dividends for many reasons; they greatly improve stock investing profits, decrease overall portfolio risk, and carry tax advantages, among others. However, not all companies offer a quarterly payout.

For instance, it's a rare occurrence when a tech start-up or big growth business offers its shareholders a dividend. It's more common to see larger companies with more established profits give out dividends. Income investors must be conscious of the fact that high-yielding stocks tend to struggle during periods of rising interest rates. With that in mind, CBFV is a compelling investment opportunity. Not only is it a strong dividend play, but the stock currently sits at a Zacks Rank of #3 (Hold).