Why Preferred Bank (PFBC) is a Great Dividend Stock Right Now

Company Overview - Preferred Bank (PFBC) is headquartered in Los Angeles and has experienced a price change of -2.35% this year [3] - The bank currently pays a dividend of $0.80 per share, resulting in a dividend yield of 3.47%, which is higher than the Banks - West industry's yield of 2.76% and the S&P 500's yield of 1.35% [3] Dividend Performance - The current annualized dividend of Preferred Bank is $3.20, reflecting a 6.7% increase from the previous year [4] - Over the past 5 years, the bank has increased its dividend 5 times, achieving an average annual increase of 23.36% [4] - The current payout ratio is 30%, indicating that the bank pays out 30% of its trailing 12-month earnings per share as dividends [4] Earnings Expectations - The Zacks Consensus Estimate for Preferred Bank's earnings in 2026 is $10.55 per share, with an expected increase of 1.34% from the previous year [5] - The bank is anticipated to experience earnings expansion this fiscal year [5] Investment Appeal - Preferred Bank is considered an attractive dividend play and a compelling investment opportunity, holding a Zacks Rank of 2 (Buy) [6]