Dividend yield and stability disclosure for Parke Bancorp Inc.

Parke Bancorp Inc (NASDAQ:PKBK) recently declared a dividend of $0.18 per share, due October 16, 2023, with a dividend rights closing mark of September 29, 2023. As we get closer to this upcoming payment, investors are also paying attention to the company's dividend history, yield, and growth rate. Using data from GuruFocus, let's take an in-depth look at Parke Bancorp Inc's dividend performance and assess its sustainability.

Parke Bancorp Inc is a commercial bank that provides financial services to individuals and small and medium enterprises in various states of the United States. The bank offers lending, deposit services and other financial products through its retail branches and other channels to''s customers. Its lending businesses include commercial real estate lending, residential real estate lending, and construction lending, among others. The company operates under a single business segment, - community banking.

Dividend history

Parke Bancorp Inc has maintained a stable historical record of dividend payments since 2014. Currently, dividends are paid quarterly. Below is a chart showing the annualized dividend payout per share to track historical trends.

Dividend yield

Parke Bancorp Inc currently has a 4.41% annualized dividend yield over the past 12 months and is expected to remain at''level of 4.41% over the next 12 months.

Dividend growth rate

Over the past three years, Parke Bancorp Inc's annual dividend growth rate has been 7.70%. When calculated over a five-year period, this rate has increased to 16.00% per year. Based on Parke Bancorp Inc's dividend yield and five-year growth rate, the expected five-year yield for Parke Bancorp Inc stock today is approximately 9.26%.

Dividend payout ratio

To assess the sustainability of dividends, it is necessary to evaluate a company's payout ratio.

Profitability

The profitability ratio of Parke Bancorp Inc measures the profitability of the company compared to its competitors. As of June 30, 2023, GuruFocus has rated Parke Bancorp Inc's profitability at 6 out of 10, indicating fair profitability. The company has reported positive net income for every year over the past decade, further reinforcing its strong profitability.

Growth metrics

The company must have robust growth metrics to ensure dividend sustainability. Parke Bancorp Inc's growth rate at 6''out of 10 indicates that the company's growth prospects are quite good.

Revenues and profits

Revenue is a vital aspect for any company and Parke Bancorp Inc's revenue per share, together with the three-year revenue growth rate, indicates a strong earnings model. Parke Bancorp Inc's revenue has grown at an average annual rate of about 9.90%, outperforming about 68.26% of its global competitors.

The three-year earnings per share growth rate demonstrates the company's ability to grow its earnings, which is an important component to maintaining its dividend over the long term. Over the past three years, Parke Bancorp Inc's earnings have grown at an average annualized rate of approximately 11.50%, outperforming approximately 58.94% of its global peers.

Now,'''The company's five-year EBITDA growth rate of 23.70% outperforms about 85.92% of global peers.

In conclusion, Parke Bancorp Inc's stable dividend payout, impressive growth rate and steady payout ratio point to a promising future for investors looking for reliable dividends. The company's profitability and growth metrics further assure its ability to maintain and possibly increase its dividend payout in the future. Therefore, Parke Bancorp Inc remains an attractive option for investors seeking stable dividend income.