OFG Bancorp (NYSE:OFG) Announces Dividend Increase – $0.30 Per Share

OFG Bancorp (NYSE:OFG) declared a quarterly dividend on Wednesday, January 29th,RTT News reports. Stockholders of record on Monday, March 31st will be given a dividend of 0.30 per share by the bank on Tuesday, April 15th. This represents a $1.20 annualized dividend and a dividend yield of 2.77%. This is a positive change from OFG Bancorp’s previous quarterly dividend of $0.25.

OFG Bancorp has raised its dividend payment by an average of 35.7% per year over the last three years. OFG Bancorp has a payout ratio of 22.7% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect OFG Bancorp to earn $4.38 per share next year, which means the company should continue to be able to cover its $1.00 annual dividend with an expected future payout ratio of 22.8%.

OFG Bancorp Price Performance

Shares of OFG stock opened at $43.34 on Thursday. The stock’s 50-day moving average is $43.54 and its 200 day moving average is $43.39. OFG Bancorp has a 1-year low of $33.19 and a 1-year high of $47.66. The company has a debt-to-equity ratio of 0.26, a current ratio of 0.85 and a quick ratio of 0.86. The company has a market cap of $1.99 billion, a P/E ratio of 10.27 and a beta of 1.02.

OFG Bancorp (NYSE:OFG) last released its quarterly earnings results on Wednesday, January 22nd. The bank reported $1.09 earnings per share for the quarter, beating analysts’ consensus estimates of $0.97 by $0.12. OFG Bancorp had a net margin of 22.71% and a return on equity of 15.80%. During the same period in the previous year, the company posted $0.98 EPS. Research analysts predict that OFG Bancorp will post 4.07 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

OFG has been the subject of several analyst reports. Piper Sandler decreased their price objective on OFG Bancorp from $49.00 to $47.00 and set an “overweight” rating for the company in a report on Thursday, October 17th. Keefe, Bruyette & Woods increased their price target on OFG Bancorp from $53.00 to $55.00 and gave the company an “outperform” rating in a research note on Thursday, January 23rd. Finally, Wells Fargo & Company boosted their price target on OFG Bancorp from $45.00 to $48.00 and gave the stock an “overweight” rating in a research note on Thursday, January 23rd.

Insider Activity

In related news, CEO Jose Rafael Fernandez sold 50,000 shares of OFG Bancorp stock in a transaction dated Wednesday, December 4th. The stock was sold at an average price of $45.24, for a total transaction of $2,262,000.00. Following the completion of the sale, the chief executive officer now owns 284,775 shares of the company’s stock, valued at $12,883,221. The trade was a 14.94 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Corporate insiders own 3.11% of the company’s stock.

OFG Bancorp declared that its board has initiated a stock buyback program on Monday, October 28th that permits the company to repurchase $50.00 million in outstanding shares. This repurchase authorization permits the bank to repurchase up to 2.6% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company’s management believes its shares are undervalued.

OFG Bancorp Company Profile

OFG Bancorp, a financial holding company, provides a range of banking and financial services. It operates through three segments: Banking, Wealth Management, and Treasury. The company offers checking and savings accounts, and individual retirement accounts; certificate of deposits, as well as time deposit products; commercial, consumer, auto leasing, and mortgage lending services; credit cards; cash management; financial planning and insurance services; and corporate and individual trust, and retirement services.