Preferred Bank Announces 7.1% Increase in Quarterly Cash Dividend to $0.75 Per Share

Preferred Bank announces a 7.1% increase in quarterly cash dividend to $0.75 per share, payable January 23, 2025.

Quiver AI Summary

Preferred Bank, a major independent commercial bank in California, announced a 7.1% increase in its quarterly cash dividend, raising it from $0.70 to $0.75 per share, with the new dividend scheduled for payment on January 23, 2025, to shareholders of record as of January 9, 2025. The bank, which is chartered by the State of California and insured by the FDIC, operates from its main office in Los Angeles and has multiple branches in California, as well as locations in New York and Texas. Preferred Bank provides a wide range of banking services, focusing on personalized deposit and loan products for various customers, including small businesses and high net worth individuals, while also benefiting from its historical roots as a Chinese-American bank and its ongoing appeal to a diverse clientele.

Potential Positives

• The Board of Directors has increased the quarterly cash dividend to $0.75 per share, reflecting confidence in the company’s financial health and commitment to returning value to shareholders.
• This 7.1% increase in the dividend demonstrates strong profitability and growth prospects, which can attract more investors.
• The dividend payment on January 23, 2025, provides a positive cash flow for shareholders who can benefit from regular income.
• Preferred Bank's strong presence with multiple branches and a diverse range of banking services indicates robust operational capacity and market reach.

Potential Negatives

• While the dividend increase signals financial health, it may raise concerns about a lack of significant investment opportunities for the bank if it is opting to distribute surplus cash rather than reinvesting it back into the business.

FAQ

What is the new quarterly dividend amount for Preferred Bank?

The new quarterly cash dividend for Preferred Bank is $0.75 per share, up from $0.70.

When is the dividend payable?

The dividend will be payable on January 23, 2025, to holders of record on January 9, 2025.

Where is Preferred Bank located?

Preferred Bank is headquartered in Los Angeles, California, with multiple branches across California and additional locations in New York and Texas.

What types of services does Preferred Bank offer?

Preferred Bank provides a wide range of deposits, loans, and personalized banking services for commercial and consumer customers.

What demographic does Preferred Bank primarily serve?

While originally founded as a Chinese-American Bank, Preferred Bank now serves a diversified mainstream market but retains a strong base among Chinese clientele.

Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.

$PFBC Hedge Fund Activity

We have seen 103 institutional investors add shares of $PFBC stock to their portfolio, and 110 decrease their positions in their most recent quarter.

Here are some of the largest recent moves:

• OBERWEIS ASSET MANAGEMENT INC/ removed 95,000 shares (-100.0%) from their portfolio in Q3 2024
• PROSHARE ADVISORS LLC added 91,279 shares (+inf%) to their portfolio in Q3 2024
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Full Release

LOS ANGELES, Dec. 26, 2024 (GLOBE NEWSWIRE) --

Preferred Bank (NASDAQ: PFBC)

, one of the largest independent commercial banks in California, today reported that the Board of Directors has increased the quarterly cash dividend to $0.75 per share from the previous $0.70 per share, an increase of 7.1%. The dividend is payable on January 23, 2025 to holders of record on January 9, 2025.

About Preferred Bank

Preferred Bank is one of the larger independent commercial banks headquartered in California. The Bank is chartered by the State of California, and its deposits are insured by the Federal Deposit Insurance Corporation, or FDIC, to the maximum extent permitted by law. The Bank conducts its banking business from its main office in Los Angeles, California, and through twelve full-service branch banking offices in the California cities of Alhambra, Century City, City of Industry, Torrance, Arcadia, Irvine (2 branches), Diamond Bar, Pico Rivera, Tarzana and San Francisco (2 branches) and one branch in Flushing, New York and one branch in the Houston suburb of Sugar Land, Texas. Additionally, the Bank operates a Loan Production Office in Sunnyvale, California and a satellite office in Manhattan, New York. Preferred Bank offers a broad range of deposit and loan products and services to both commercial and consumer customers. The Bank provides personalized deposit services as well as real estate finance, commercial loans and trade finance to small and mid-sized businesses, entrepreneurs, real estate developers, professionals and high net worth individuals. Although originally founded as a Chinese-American Bank, Preferred Bank now derives most of its customers from the diversified mainstream market but does continue to benefit from the significant migration to California of ethnic Chinese from China and other areas of East Asia.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.