LITTLE ROCK - Bank OZK (NASDAQ:OZK) has announced an increase in its quarterly cash dividend, continuing a consistent trend of dividend growth. The bank's Board of Directors declared a dividend of $0.39 per share on its common stock, which represents a 2.63% increase from the previous quarter. This increase marks the fifty-fifth consecutive quarter of dividend growth for the bank. The upcoming dividend is scheduled to be paid on April 19 to shareholders who are on record as of April 12.
In addition to the common stock dividend, Bank OZK also declared a quarterly cash dividend for its 4.625% Series A Non-Cumulative Perpetual Preferred Stock (NASDAQ:OZKAP). The dividend amount for the preferred stock is set at $0.28906 per share for the period from February 15 through May 14. Holders of the Series A Preferred Stock on record as of May 6 will receive the dividend payment on May 15.
Bank OZK's consistent dividend increases have earned it a spot on the S&P High Yield Dividend Aristocrats® index (Ticker: SPHYDA) since January 2018. This index includes companies from the S&P Composite 1500® that have a history of raising their common stock dividends every year for at least two decades and meet specific market capitalization and liquidity criteria.
Bank OZK, established in 1903, operates across eight states with approximately 240 offices and reported total assets of $34.24 billion as of December 31, 2023. The bank is known for delivering innovative financial solutions and maintaining a strong commitment to excellence.
InvestingPro Insights
Bank OZK's (NASDAQ:OZK) announcement of its dividend increase is a testament to its financial robustness and commitment to shareholder returns. This is further supported by its remarkable track record of raising dividends, which is reflected in one of the InvestingPro Tips: the bank has maintained dividend payments for 28 consecutive years. This consistent performance aligns with its inclusion in the S&P High Yield Dividend Aristocrats® index and underscores the bank's reliability as an income-generating investment.
Another InvestingPro Tip highlights that Bank OZK is trading at a low P/E ratio relative to its near-term earnings growth. As of the last twelve months up to Q4 2023, the bank's P/E ratio stood at 7.55, which may appeal to value investors looking for potentially undervalued stocks. Additionally, the bank's revenue has grown by 18.55% over the same period, indicating a solid top-line expansion that could be a precursor to future earnings growth.
InvestingPro Data metrics provide further context to Bank OZK's financial standing. The bank's market capitalization is currently at $5.07 billion USD, and its price to book ratio as of Q4 2023 is 1.06, suggesting that the stock is reasonably valued in terms of its net asset value. The dividend yield as of the latest data stands at 3.34%, which is quite attractive in the current interest rate environment.
For investors seeking more comprehensive analysis and additional tips on Bank OZK, there are further insights available on InvestingPro. By using the coupon code PRONEWS24, readers can get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. With 5 more InvestingPro Tips listed, investors can make more informed decisions backed by in-depth data and expert analysis.
Bank OZK's next earnings date is set for April 17, 2024, which will provide investors with updated information on the bank's performance and future outlook. In the meantime, the bank's strong dividend history and favorable valuation metrics may position it as an attractive option for income-focused investors.
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