First United Corporation (NASDAQ:FUNC) to Issue Dividend Increase – $0.28 Per Share

First United Corporation (NASDAQ:FUNC) announced a quarterly dividend on Wednesday, September 23rd. Stockholders of record on Monday, October 19th will be given a dividend of 0.28 per share by the bank on Monday, November 2nd. This represents a c) annualized dividend and a dividend yield of 2.6%. The ex-dividend date is Monday, October 19th. This is a 7.7% increase from First United’s previous quarterly dividend of $0.26.

First United has increased its dividend payment by an average of 0.1%per year over the last three years and has raised its dividend annually for the last 6 consecutive years. First United has a payout ratio of 26.3% indicating that its dividend is sufficiently covered by earnings. Equities research analysts expect First United to earn $4.80 per share next year, which means the company should continue to be able to cover its $1.04 annual dividend with an expected future payout ratio of 21.7%.

First United Trading Up 0.6%

FUNC traded up $0.28 during midday trading on Thursday, hitting $43.03. 1,757 shares of the company were exchanged, compared to its average volume of 19,055. The firm’s 50 day moving average price is $44.21 and its 200-day moving average price is $40.96. First United has a 1-year low of $33.54 and a 1-year high of $46.30. The firm has a market capitalization of $277.58 million, a P/E ratio of 11.15 and a beta of 0.51. The company has a quick ratio of 0.91, a current ratio of 0.91 and a debt-to-equity ratio of 0.15.

First United (NASDAQ:FUNC) last released its earnings results on Monday, July 20th. The bank reported $1.13 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.05 by $0.08. First United had a net margin of 20.05% and a return on equity of 13.69%. The company had revenue of $65.27 million for the quarter, compared to the consensus estimate of $23.55 million. As a group, equities analysts forecast that First United will post 4.5 EPS for the current fiscal year.

Insiders Place Their Bets

In other First United news, EVP Robert L. Fisher II sold 5,250 shares of the firm’s stock in a transaction dated Tuesday, July 28th. The stock was sold at an average price of $45.29, for a total transaction of $237,772.50. Following the sale, the executive vice president directly owned 9,105 shares of the company’s stock, valued at $412,365.45. This trade represents a 36.57% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, EVP Keith Sanders sold 5,000 shares of the company’s stock in a transaction on Thursday, July 23rd. The shares were sold at an average price of $43.68, for a total transaction of $218,400.00. Following the sale, the executive vice president directly owned 10,342 shares in the company, valued at approximately $451,738.56. The trade was a 32.59% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders have bought 280 shares of company stock worth $12,816 and have sold 11,250 shares worth $500,752. 8.10% of the stock is owned by company insiders.

Institutional Investors Weigh In On First United

Institutional investors and hedge funds have recently made changes to their positions in the stock. Empowered Funds LLC acquired a new position in shares of First United in the 2nd quarter valued at about $1,681,000. Corient Private Wealth LP purchased a new stake in shares of First United during the second quarter worth $202,000. Bank of America Corp DE acquired a new position in shares of First United during the 2nd quarter worth approximately $201,000. Hsbc Holdings PLC purchased a new stake in First United in the 2nd quarter valued at $502,000. Finally, Canada Pension Plan Investment Board purchased a new stake in First United in the second quarter valued at $238,000. 33.27% of the stock is currently owned by institutional investors and hedge funds.

First United Company Profile

First United Corporation is a bank holding company headquartered in Oakland, Maryland. Through its principal subsidiary, First United Bank & Trust, the company provides community banking services to individuals, families, businesses and organizations.

First United Bank & Trust offers deposit products, residential and commercial real estate lending, consumer loans, business financing and other credit services. The bank also provides wealth management, trust, investment and insurance-related services through its banking and financial services operations.

Founded in 1900, First United serves communities in western Maryland and nearby areas of West Virginia and southwestern Pennsylvania through branch offices, digital banking services and other delivery channels.