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Why Investar (ISTR) is a Top Dividend Stock for Your Portfolio
Investar Investar (US:ISTR) ZACKSยท2025-10-17 16:46

Company Overview - Investar (ISTR) is headquartered in Baton Rouge and operates as a holding company for Investar Bank, currently experiencing a price change of -1.91% this year [3] - The company is paying a dividend of $0.11 per share, resulting in a dividend yield of 2.04%, which is lower than the Southeast banking industry's yield of 2.41% and the S&P 500's yield of 1.52% [3] Dividend Performance - Investar's current annualized dividend of $0.44 represents a 7.3% 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 11.29% [4] - The current payout ratio is 20%, indicating that the company pays out 20% of its trailing 12-month earnings per share as dividends [4] Earnings Growth - The Zacks Consensus Estimate for Investar's earnings in 2025 is $1.93 per share, reflecting a year-over-year earnings growth rate of 2.12% [5] - Future dividend growth is expected to depend on earnings growth and the payout ratio [4] Investment Considerations - Investar is considered a compelling investment opportunity due to its strong dividend performance, despite the general trend of high-yielding stocks struggling during periods of rising interest rates [6] - The stock currently holds a Zacks Rank of 3 (Hold), indicating a neutral outlook [6]