Company Overview - Citizens Community Bancorp, Inc. (CZWI) is headquartered in Eau Claire and operates in the Finance sector [3] - The stock has experienced a price change of 3.65% since the beginning of the year [3] Dividend Information - The company currently pays a dividend of $0.10 per share, resulting in a dividend yield of 2.27% [3] - This yield is lower than the Financial - Savings and Loan industry's yield of 2.63% and higher than the S&P 500's yield of 1.38% [3] - The annualized dividend of $0.42 represents a 16.7% increase from the previous year [4] - Over the past 5 years, CZWI has increased its dividend 5 times, averaging an annual increase of 11.77% [4] - The current payout ratio is 25%, indicating that the company pays out 25% of its trailing 12-month EPS as dividends [4] Earnings Growth Expectations - For the fiscal year, CZWI anticipates solid earnings growth, with the Zacks Consensus Estimate for 2026 at $1.75 per share, reflecting a year-over-year growth rate of 19.86% [5] Investment Considerations - High-growth firms or tech start-ups typically do not offer dividends, while established companies with secure profits are preferred for dividend investments [6] - CZWI is considered a compelling investment opportunity due to its strong dividend profile and current Zacks Rank of 3 (Hold) [6]

Core Insights - Major U.S. stock market indices experienced a decline on February 12, 2026, due to concerns regarding AI disruption affecting various sectors, including real estate, transportation, and software [1] - A shift towards steady dividend-growth stocks is recommended for equity investors as they provide resilience and cash flow durability during a period of reevaluation of traditional growth narratives [2] Dividend Growth Stocks - Stocks with a strong history of year-over-year dividend growth are considered healthier for capital appreciation compared to simple dividend-paying stocks or those with high yields [3] - Five selected dividend growth stocks include Agnico Eagle Mines (AEM), Advanced Drainage Systems (WMS), Amphenol (APH), Tapestry (TPR), and TIM S.A. (TIMB), which are viewed as solid portfolio choices [3] Advantages of Dividend Growth - Companies with a strong history of dividend growth are typically mature and less vulnerable to market volatility, providing a hedge against economic and political uncertainties [4] - These stocks exhibit strong fundamentals, including sustainable business models, profitability, rising cash flows, solid liquidity, strong balance sheets, and attractive valuations [5] Performance Metrics - Dividend-growth stocks have historically outperformed the broader market and other dividend-paying stocks, making them a favorable investment strategy [6] - Criteria for selection include positive historical dividend, sales, and earnings growth, as well as projected earnings growth rates [7] Stock Highlights - Agnico Eagle Mines (AEM) projects a 28% revenue growth for 2026 and has a long-term EPS growth rate of 33.8%, with a dividend yield of 0.74% [9][11] - Advanced Drainage Systems (WMS) anticipates a 4% revenue growth for fiscal 2026, with a long-term earnings growth rate of 13.90% and a dividend yield of 0.42% [12] - Amphenol (APH) expects a 34.9% revenue growth for 2026, with a long-term earnings growth rate of 21.90% and a dividend yield of 0.69% [13] - Tapestry (TPR) forecasts a 9.6% revenue growth for fiscal 2026, with a long-term earnings growth rate of 12.9% and a dividend yield of 1.03% [14] - TIM S.A. (TIMB) projects a 10.3% revenue growth for 2026, with a long-term earnings growth rate of 18.7% and a dividend yield of 5.20% [15]

Financial Data and Key Metrics Changes - The company reported record financial results for Q4 2025, with adjusted EBITDA up CAD 83 million compared to Q4 2024, DCF up CAD 0.06, and EPS increased CAD 0.13 [23][24] - The debt to adjusted EBITDA ratio stands at 4.8, maintaining the leverage range of 4.5-5 times, which supports a strong investment-grade credit profile [26][27] Business Line Data and Key Metrics Changes - In the liquids segment, strong mainline volumes and lower power costs contributed to year-over-year increases in earnings [23] - The gas transmission business experienced a strong fourth quarter, with contributions from the acquisition of an interest in Matterhorn and favorable spreads at Aitken Creek [24] - The gas distribution segment saw growth driven by rate escalations, customer growth, and favorable weather conditions [24] Market Data and Key Metrics Changes - The mainline transported approximately 3.1 million barrels per day on average, with significant demand leading to apportionment for all but three of the last 12 months [13][23] - The Texas Eastern pipeline hit new peak records, transporting over 15 BCF per day in January, indicating strong demand for gas transmission [7][23] Company Strategy and Development Direction - The company sanctioned CAD 14 billion of capital across all businesses in 2025, with a growth backlog that has increased by 35% since the last Investor Day [5][11] - Future growth is expected to be driven by CAD 10-20 billion of growth projects over the next 24 months, enhancing energy security and affordability [11][30] - The company aims for 5% growth through the end of the decade, supported by a secured growth capital of CAD 39 billion [30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving the 5% growth target, citing positive developments in the Western Canadian Sedimentary Basin and increasing production [36][37] - The company is optimistic about the demand for natural gas and the potential for further expansions in gas transmission and renewable power projects [12][19] Other Important Information - The company has increased its dividend for 31 consecutive years, highlighting its commitment to returning capital to shareholders [5][26] - The current backlog of projects is valued at CAD 39 billion, extending through 2033, showcasing the company's ability to execute on growth opportunities [27] Q&A Session Summary Question: Investment capacity increase and growth trajectory - The investment capacity increased by CAD 1 billion, and management is confident in achieving the 5% growth target, reconciling capacity growth with EBITDA growth [33][34] Question: Venezuelan geopolitical impact on projects - Management indicated that while Venezuelan production may impact the market, Canadian crude will continue to find demand, supporting ongoing projects like MLO 2 and MLO 3 [39][40] Question: Project backlog and funding sources - Management expressed confidence in managing the CAD 10-20 billion project backlog, noting that capacity will grow as EBITDA increases [45][46] Question: Expansion capabilities and tariffs - Management confirmed that existing infrastructure allows for significant expansion capabilities at Ingleside, and tariffs for expansions are expected to remain competitive [56][61] Question: Gas transmission growth sustainability - The gas transmission segment is expected to continue growing due to high demand for natural gas and ongoing projects, with a strong pipeline capacity across the country [70][75]

Core Viewpoint - Trian CEO Nelson Peltz expressed skepticism towards index ETFs, indicating they lack a focus on individual company performance and investment quality [1]. Group 1 - Nelson Peltz, as CEO of Trian, shared insights during an interview with the Wall Street Journal, emphasizing his investment philosophy [1]. - The interview highlighted Peltz's preference for active investment strategies over passive index ETFs, which he believes do not prioritize the underlying companies [1]. - Scott Kaufman, known as Treading Softly, has over a decade of experience in the financial sector and serves as the lead analyst for Dividend Kings, focusing on high-quality dividend growth and undervalued investment opportunities [1].

Core Viewpoint - Kadant Inc. (KAI) has raised its annual dividend by 6.25% to $1.36, with a payout ratio of 15.9%, indicating a focus on growth despite a low yield of 0.4% compared to peers in the industrial sector [1] Dividend Profile: Steady Growth, Low Yield - The annual dividend of $1.36 is based on four quarterly payments of $0.34, marking a consistent increase over the past decade [1] - The payout ratio of 15.9% allows for significant reinvestment in growth initiatives, supported by an 11.3% return on equity [1] Growth Trajectory: Consistency Over Acceleration - Kadant has increased its dividend for over 10 consecutive years, with a total increase of 172% from $0.125 in 2013 to $0.34 today [1] - The 10-year compound annual growth rate (CAGR) of 9.2% surpasses inflation, although recent growth rates have moderated [1] Valuation Context: Premium Pricing for Quality - The stock trades at a trailing P/E ratio of 39.2x and a forward P/E of 33.3x, reflecting investor confidence in long-term growth [1] - Despite a 4% decline over the past year, shares have increased by 19.8% year-to-date, indicating positive market sentiment [1] Dividend Scorecard: Grade B - Strengths include a strong history of dividend growth and a low payout ratio, providing flexibility for future increases [1] - Weaknesses involve a low yield of 0.4%, which may deter income-focused investors, and recent earnings volatility with a 12.3% decline year-over-year [1] Peer Context - Kadant's dividend profile is more growth-oriented compared to mature income-focused industrials, with a historical growth rate of 9.2% that exceeds many large-cap peers [1] What Investors Should Watch - The next dividend declaration is anticipated in early May 2026, which will be a key indicator of management's confidence following Q1 2026 results [1] - The predictable payment schedule and high insider ownership (84.6%) suggest alignment between management and long-term shareholders [1]

Core Viewpoint - Lowe's has extended its 65-year streak of dividend increases with a recent payout of $1.20 per share, reflecting a solid growth trajectory despite a modest yield of 1.65% compared to peers [1] Dividend Growth - The quarterly dividend increased from $1.15 to $1.20 between Q2 and Q3 2025, marking a 4.3% quarterly growth - Over the past two years, the annual dividend rose from $4.35 in 2023 to $4.70 in 2025, representing an 8% increase [1][2] - Lowe's maintains a 39% payout ratio based on trailing twelve-month earnings of $12.17 per share, indicating room for future increases [1] Retail Sector Comparison - Lowe's yield of 1.65% is lower than Home Depot's 2.36% and Target's 4.01%, but it has outperformed these competitors in total return, with a 21.22% year-to-date gain [1] - Home Depot's recent quarterly dividend increased from $2.25 to $2.30, while Walmart offers a 0.72% yield and Target's stock has declined 6% over the past year [1] Valuation and Analyst Perspective - Analysts show cautious optimism, with Citigroup raising its price target to $285 and TD Cowen to $295, citing dividend growth appeal [1] - Lowe's trades at 23.59 times trailing earnings, which is a premium compared to Target but below Home Depot [1] Business Momentum and Headwinds - Lowe's launched the MyLowe's Rewards Kids Club to engage families in DIY projects and opened a new location in Celina, Texas ahead of schedule [1] - The housing market presents risks due to affordability pressures, but consumer behavior may still support demand for home improvement [1][2] - Insider activity shows mixed signals, with CEO Marvin Ellison selling shares while institutional investors have differing views on their stakes [1]

Core Insights - Low-cost dividend ETFs are recommended for long-term buy-and-hold strategies, providing good dividend growth and yields with minimal fees [2][3] - These ETFs can serve as a stable foundation for investment portfolios, especially in uncertain market conditions [3] Vanguard Dividend Appreciation Index Fund ETF (VIG) - VIG is known for its low expense ratio, recently reduced to 0.04%, equating to $4 per $10,000 invested [4][8] - The ETF focuses on companies that grow their dividends faster than average, with a 5-year dividend growth rate of 9.15% annually and a current dividend yield of 1.55% [6][8] - VIG has a manageable tech exposure, which has not negatively impacted its safety [5] Other Notable ETFs - SPDR Portfolio S&P 500 High Dividend ETF (SPYD) offers a yield of over 4%, with 21% allocation to Real Estate and only 0.94% in tech [8] - Schwab US Dividend Equity ETF (SCHD) has returned 14.5% year-to-date in 2026, matching VIG's 9.15% dividend growth while maintaining lower tech exposure [8]

Core Viewpoint - Pentair has achieved its 50th consecutive annual dividend increase, with an 8.0% raise in 2026, indicating strong growth potential despite a modest yield compared to traditional dividend aristocrats [1][2] Dividend Performance - The current quarterly dividend is $0.27 per share, translating to an annualized payout of $1.08, resulting in a yield of approximately 1.01% [1] - The 8.0% increase in 2026 follows an 8.7% increase in 2025, showcasing a significant acceleration compared to typical mid-single-digit increases from competitors like Johnson & Johnson (4.8%) and Procter & Gamble (5.0%) [1][2] Cash Flow and Payout Ratio - Pentair's payout ratio stands at 20.2%, significantly lower than Johnson & Johnson's 50.5%, indicating a conservative approach to dividend payments [1] - Operating cash flow for fiscal 2025 was $814.8 million, with only $164.3 million paid out in dividends, allowing for a coverage ratio of 4.55 times [1] Earnings and Profitability - The company reported a net income of $653.8 million in fiscal 2025, a 4.5% increase from the previous year, on revenue of $4.18 billion [1] - Operating margin improved to 20.5%, and the operating cash flow to net income ratio was 1.25x, indicating strong cash conversion [1] Total Return and Growth Potential - Over the past five years, Pentair shares have returned 103.18%, outperforming Johnson & Johnson (68.0%) and Procter & Gamble (43.58%) [1] - The stock is currently down 1.73% year-to-date, presenting potential entry opportunities for investors [1] Historical Context of Dividend Growth - Pentair's dividend growth streak spans 50 years, with total growth of 237.5% from a quarterly payment of $0.08 in 1999 to $0.27 today [1] - The company has maintained its dividend through various economic challenges, including the 2008 financial crisis and the pandemic [1] Investment Outlook - Pentair is positioned as a 'Growth Aristocrat' with a strong dividend scorecard, reflecting its low payout ratio and robust financial coverage [1] - Analysts currently rate Pentair as a 'Buy' with a target price indicating an 11.4% upside [1]

Core Viewpoint - Graco has demonstrated a strong commitment to returning cash to shareholders through consistent dividend payments, achieving a 27-year track record with a 9.4% five-year compound annual growth rate in dividends, despite a modest current yield of 1.19% [1][2] Dividend Profile - Graco paid a quarterly dividend of $0.295 per share, marking a 7.3% year-over-year increase from $0.275 in Q1 2025 [1] - The company's payout ratio stands at 26.8%, indicating a sustainable dividend policy supported by strong cash flow [1] - Graco's dividend yield is lower than that of traditional income stocks, such as AT&T (4.05%) and Verizon (5.77%), but offers higher growth potential [1] Financial Foundation - Graco generated $683.6 million in operating cash flow in fiscal 2025, with a dividend payout of $183.4 million, resulting in a coverage ratio of 3.7x [1] - The company reported a net income of $521.8 million on revenue of $2.24 billion, achieving a net profit margin of 23.3% [1] - Free cash flow amounted to $637.9 million after capital expenditures, leaving $454.6 million available for shareholder returns [1] Peer Comparison - Compared to Bristol Myers Squibb, which has a higher yield of 4.09% but faces patent cliff concerns, Graco's strategy focuses on consistent dividend growth [1] - CVS Health maintained a dividend yield of 3.51% but lowered its cash flow guidance, highlighting the risks associated with high yields in challenging industries [1] - AbbVie and American Tower also provide higher yields but come with specific industry risks [1] Valuation and Total Return Context - Graco trades at 31x trailing earnings and 30x forward earnings, reflecting market confidence but limiting margin of safety for dividend investors [1] - The stock has delivered a total return of 13.45% over the past year and 16.66% year-to-date through February 12, 2026 [1] - An investor who purchased Graco five years ago has seen a stock price increase of 41.05% alongside steadily increasing dividends [1] Sustainability Verdict - Graco's dividend sustainability is supported by a low payout ratio, strong net margins, and minimal interest expenses, indicating a healthy balance sheet [1] - Management's outlook for Q4 2025 remains optimistic, suggesting confidence in future cash generation [2] - The company has the capacity and track record to continue its dividend growth strategy, appealing to dividend growth investors [2]

Cautionary Statements Use of Non-GAAP Financial Measures 2025 Results and Guidance | Feb. 12, 2026 2 In this presentation, Ameren has presented adjusted earnings per share, which is a non-GAAP measure and may not be comparable to those of other companies. A reconciliation of GAAP to non-GAAP information is included in this presentation. Generally, adjusted earnings or losses include earnings or losses attributable to Ameren common shareholders and exclude income or loss from significant discrete items that ...