Banking, finance, and taxes

Dividend Watch: The Stock Dividend & High-Yield Bank Dividends (VLY)

Valley National Bancorp (NYSE: VLY) was recently featured in our dividend watch for the already-high dividend yields that came out before the rest of the TARP banks were allowed to reinstate their payouts.  We had noted that the bank also paid out a stock dividend as well.  The news today is that Valley National is paying a  5% stock dividend to its shareholders.

This is the holding company for Valley National Bank with close to 200 branches in New York and New Jersey.  Where this one gets interesting is that it has gone one for far longer than we even looked.  The bank said that the stock dividend has been paid out each and every year since 1992.  The bank also has a cash dividend of about 5% on an annualized basis.

Its board approved the payout as payable May 20, 2011 for shareholders of record on May 6, 2011.  Shares are down 0.5% at $13.73 so far today and its 52-week trading range is $12.33 to $16.19.

The stock’s performance was greatly interrupted by the recession.  Still, at least the bank is intent in returning capital to shareholders and making shareholder-friendly decisions.

JON C. OGG

Want to Retire Early? Start Here (Sponsor)

Want retirement to come a few years earlier than you’d planned? Or are you ready to retire now, but want an extra set of eyes on your finances?

Now you can speak with up to 3 financial experts in your area for FREE. By simply clicking here you can begin to match with financial professionals who can help you build your plan to retire early. And the best part? The first conversation with them is free.

Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.