First National Co. (NASDAQ:FXNC) to Issue Dividend Increase – $0.16 Per Share

First National Co. (NASDAQ:FXNC) declared a quarterly dividend on Wednesday, November 13th,Wall Street Journal reports. Shareholders of record on Friday, November 29th will be paid a dividend of 0.155 per share on Friday, December 13th. This represents a $0.62 annualized dividend and a yield of 2.55%. The ex-dividend date is Friday, November 29th. This is a boost from First National’s previous quarterly dividend of $0.15.

First National has increased its dividend payment by an average of 10.9% per year over the last three years. First National has a dividend payout ratio of 26.3% meaning its dividend is sufficiently covered by earnings. Equities analysts expect First National to earn $2.25 per share next year, which means the company should continue to be able to cover its $0.62 annual dividend with an expected future payout ratio of 27.6%.

First National Stock Performance

Shares of First National stock opened at $24.35 on Wednesday. The stock has a market cap of $218.42 million, a price-to-earnings ratio of 21.74 and a beta of 0.49. The company has a quick ratio of 0.85, a current ratio of 0.85 and a debt-to-equity ratio of 0.11. First National has a twelve month low of $14.50 and a twelve month high of $24.59. The company’s fifty day moving average is $20.47 and its 200 day moving average is $17.71.

First National (NASDAQ:FXNC) last released its quarterly earnings results on Friday, November 1st. The company reported $0.36 EPS for the quarter, meeting analysts’ consensus estimates of $0.36. The firm had revenue of $20.65 million for the quarter, compared to analyst estimates of $14.40 million. First National had a return on equity of 6.52% and a net margin of 8.91%. During the same quarter in the previous year, the company posted $0.50 EPS. Sell-side analysts forecast that First National will post 1.86 EPS for the current year.

Wall Street Analyst Weigh In

Several equities research analysts have recently weighed in on FXNC shares. Janney Montgomery Scott upgraded shares of First National from a “neutral” rating to a “buy” rating and set a $21.00 price objective for the company in a research report on Thursday, August 1st. Hovde Group assumed coverage on First National in a report on Tuesday, October 8th. They set an “outperform” rating and a $22.00 price target for the company.

First National Company Profile

First National Corporation operates as the bank holding company for First Bank that provides various commercial banking services to small and medium-sized businesses, individuals, estates, local governmental entities, and non-profit organizations in Virginia. The company's deposit products include checking, savings, money market, and individual retirement accounts, as well as certificates of deposit and treasury management solutions.