Analyzing Bankwell Financial Group’s Dividend Yield and Sustainability
Are you looking for a reliable dividend stock to add to your portfolio? Look no further than Bankwell Financial Group, Inc. (NASDAQ:BWFG). With a dividend payout of $0.20 on the 23rd of August, yielding a typical 2.9%, this company has a solid track record of dividend payments over the past 9 years.
But what sets Bankwell Financial Group apart from other dividend stocks? Let’s take a closer look at their earnings and dividend sustainability. With a payout ratio of 27%, the company has the ability to cover its dividends without straining its balance sheet. Additionally, with an estimated EPS growth of 18.5% next year, the future payout ratio is expected to remain at a comfortable 27%.
While Bankwell Financial Group has been steadily increasing its dividend payments by 17% annually, it’s important to note that the company is still building its track record. However, with a low payout ratio and slow but steady earnings growth of 4.3% per year, there is potential for the dividend to continue growing in the future.
In summary, Bankwell Financial Group is a solid choice for dividend investors, despite not raising its dividend this year. The company’s history of reasonable dividend levels and potential for future growth make it an attractive option. However, investors should be aware of the company’s past payout ratio fluctuations and consider other factors when evaluating this stock.
If you’re interested in learning more about Bankwell Financial Group or other high-yield dividend stocks, check out our latest analysis and curated list of dividend stocks. And remember, while dividends are important, they are just one aspect to consider when investing in a company. Make sure to conduct thorough research and consider all factors before making any investment decisions.
Disclaimer: The information provided in this article is for informational purposes only and should not be considered as financial advice. The content is based on general research and may not be accurate, reliable, or up-to-date. Before making any financial decisions, it is recommended to consult with a professional financial advisor or conduct thorough research to verify the accuracy of the information presented. The author and publisher disclaim any liability for any financial losses or damages incurred as a result of relying on the information provided in this article. Readers are encouraged to independently verify the facts and information before making any financial decisions.