This is Why First Financial Bankshares (FFIN) is a Great Dividend Stock

Core Insights - Income investors prioritize generating consistent cash flow from liquid investments, with dividends being a key focus for this group [1][2] - Dividends significantly contribute to long-term returns, often exceeding one-third of total returns in many cases [2] Company Overview - First Financial Bankshares (FFIN), based in Abilene, operates in the Finance sector and has experienced a price change of 0.14% this year [3] - The company currently pays a dividend of $0.19 per share, resulting in a dividend yield of 2.11%, which is higher than the Banks - Southwest industry's yield of 1.12% and the S&P 500's yield of 1.49% [3] Dividend Growth - FFIN's annualized dividend of $0.76 has increased by 5.6% from the previous year [4] - Over the past five years, the company has raised its dividend four times, averaging an annual increase of 7.93% [4] - The current payout ratio is 44%, indicating that the company pays out 44% of its trailing 12-month earnings per share as dividends [4] Earnings Growth - The Zacks Consensus Estimate for FFIN's earnings in 2025 is $1.81 per share, reflecting a year-over-year growth rate of 16.03% [5] Investment Considerations - FFIN is viewed as an attractive dividend option and a compelling investment opportunity, holding a Zacks Rank of 2 (Buy) [6]