Norwood Financial (US:NWFL) ZACKSยท2025-10-01 16:46Company Overview - Norwood Financial Corp. (NWFL) is headquartered in Honesdale and has experienced a price change of -6.56% this year [3] - The company currently pays a dividend of $0.31 per share, resulting in a dividend yield of 4.88%, which is significantly higher than the Banks - Northeast industry's yield of 2.62% and the S&P 500's yield of 1.49% [3] Dividend Performance - The current annualized dividend of $1.24 represents a 3.3% increase from the previous year [4] - Over the past 5 years, NWFL has increased its dividend 5 times, achieving an average annual increase of 4.67% [4] - The company's current payout ratio is 57%, indicating that it pays out 57% of its trailing 12-month earnings per share as dividends [4] Earnings Growth and Future Outlook - NWFL is expected to see earnings growth this fiscal year, with the Zacks Consensus Estimate for 2025 at $2.68 per share, reflecting a year-over-year growth rate of 38.86% [5] - Future dividend growth will depend on earnings growth and the payout ratio [4] Investment Considerations - NWFL is considered a compelling investment opportunity due to its strong dividend profile and current Zacks Rank of 3 (Hold) [6] - Income investors are attracted to dividends for their potential to enhance stock investing profits and reduce overall portfolio risk [5]