Unity Bancorp, Inc. (NASDAQ:UNTY) to Issue Dividend Increase – $0.16 Per Share

Unity Bancorp, Inc. (NASDAQ:UNTY) declared a quarterly dividend on Thursday, February 26th. Stockholders of record on Friday, March 6th will be given a dividend of 0.16 per share by the financial services provider on Friday, March 20th. This represents a c) annualized dividend and a dividend yield of 1.2%. The ex-dividend date is Friday, March 6th. This is a 6.7% increase from Unity Bancorp’s previous quarterly dividend of $0.15.

Unity Bancorp has increased its dividend by an average of 0.1%annually over the last three years and has increased its dividend annually for the last 12 consecutive years. Unity Bancorp has a payout ratio of 10.9% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect Unity Bancorp to earn $5.44 per share next year, which means the company should continue to be able to cover its $0.60 annual dividend with an expected future payout ratio of 11.0%.

Unity Bancorp Stock Down 1.9%

Shares of UNTY traded down $1.01 during mid-day trading on Friday, reaching $52.34. The company had a trading volume of 12,493 shares, compared to its average volume of 46,787. The company has a debt-to-equity ratio of 0.72, a quick ratio of 1.15 and a current ratio of 1.15. The company has a market capitalization of $525.46 million, a price-to-earnings ratio of 9.22 and a beta of 0.66. The firm has a 50-day moving average price of $53.56 and a 200 day moving average price of $51.24. Unity Bancorp has a 52 week low of $36.65 and a 52 week high of $57.30.

Unity Bancorp (NASDAQ:UNTY) last announced its quarterly earnings data on Tuesday, January 13th. The financial services provider reported $1.41 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.35 by $0.06. Unity Bancorp had a return on equity of 16.19% and a net margin of 30.76%.The business had revenue of $33.70 million during the quarter, compared to analysts’ expectations of $33.39 million. On average, sell-side analysts forecast that Unity Bancorp will post 4.83 EPS for the current year.

Wall Street Analysts Forecast Growth

Several analysts recently commented on the stock. Weiss Ratings reissued a “buy (b)” rating on shares of Unity Bancorp in a research report on Wednesday, January 21st. Keefe, Bruyette & Woods raised their price target on shares of Unity Bancorp from $60.00 to $65.00 and gave the company an “outperform” rating in a research report on Wednesday, January 14th. Piper Sandler upped their price objective on Unity Bancorp from $64.00 to $65.00 and gave the company an “overweight” rating in a research report on Thursday, January 15th. Finally, Wall Street Zen downgraded Unity Bancorp from a “buy” rating to a “hold” rating in a research note on Saturday, November 15th. Three analysts have rated the stock with a Buy rating, Based on data from MarketBeat, the company has an average rating of “Buy” and a consensus price target of $65.00.

Unity Bancorp Company Profile

Unity Bancorp, Inc is a bank holding company headquartered in Morrisville, Pennsylvania, trading on the NASDAQ under the ticker UNTY. Through its primary subsidiary, Unity Bank, the company delivers a comprehensive suite of commercial and retail banking services to individuals, businesses and municipal clients in its regional markets.

Founded in 1906, Unity Bank maintains a network of conveniently located branches across Bucks County and adjacent areas of southeastern Pennsylvania. The company’s deposit portfolio includes checking and savings accounts, money market accounts and certificates of deposit, while its loan offerings encompass commercial real estate, construction and land development, agricultural and consumer lending solutions.

Beyond traditional deposit and lending activities, Unity Bancorp provides cash management and merchant services, as well as internet and mobile banking platforms designed to streamline day-to-day financial operations.