OFG Bancorp (NYSE:OFG) Raises Dividend to $0.30 Per Share

OFG Bancorp (NYSE:OFG) declared a quarterly dividend on Wednesday, January 29th,RTT News reports. Investors 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 boost from OFG Bancorp’s previous quarterly dividend of $0.25.

OFG Bancorp has increased 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 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 Stock Up 0.3 %

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

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

OFG Bancorp announced that its Board of Directors has approved a stock repurchase plan on Monday, October 28th that allows the company to repurchase $50.00 million in outstanding shares. This repurchase authorization allows the bank to repurchase up to 2.6% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s management believes its shares are undervalued.

Insider Buying and Selling

In other news, CEO Jose Rafael Fernandez sold 50,000 shares of the company’s stock in a transaction that occurred on Wednesday, December 4th. The stock was sold at an average price of $45.24, for a total value of $2,262,000.00. Following the completion of the sale, the chief executive officer now directly owns 284,775 shares in the company, valued at $12,883,221. This represents a 14.94 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 3.11% of the stock is owned by company insiders.

Wall Street Analyst Weigh In

Several brokerages have recently weighed in on OFG. Wells Fargo & Company upped their target price on OFG Bancorp from $45.00 to $48.00 and gave the stock an “overweight” rating in a research note on Thursday, January 23rd. Piper Sandler reduced their price objective on shares of OFG Bancorp from $49.00 to $47.00 and set an “overweight” rating for the company in a research report on Thursday, October 17th. Finally, Keefe, Bruyette & Woods lifted their target price on shares of OFG Bancorp from $53.00 to $55.00 and gave the company an “outperform” rating in a research report on Thursday, January 23rd.

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.