Why Tompkins Financial (TMP) is a Great Dividend Stock Right Now

Company Overview - Tompkins Financial (TMP) is headquartered in Ithaca and operates in the Finance sector, with a year-to-date stock price change of 3.44% [3] - The company currently pays a dividend of $0.62 per share, resulting in a dividend yield of 3.53%, which is significantly higher than the Banks - Northeast industry's yield of 2.54% and the S&P 500's yield of 1.52% [3] Dividend Performance - The current annualized dividend of Tompkins Financial is $2.48, reflecting a 1.6% increase from the previous year [4] - Over the past five years, the company has increased its dividend four times, achieving an average annual increase of 4.01% [4] - The company's payout ratio stands at 50%, indicating that it distributes 50% of its trailing 12-month earnings per share as dividends [4] Earnings Growth - The Zacks Consensus Estimate for Tompkins Financial's earnings in 2025 is projected at $5.46 per share, which corresponds to a year-over-year earnings growth rate of 9.86% [5] Investment Appeal - Tompkins Financial is positioned as an attractive investment opportunity due to its strong dividend yield and solid earnings growth prospects [7] - The stock holds a strong Zacks Rank of 2 (Buy), indicating favorable market sentiment [7]