Community Trust Bancorp, Inc. (Kentucky) : CTBI-US: Dividend Analysis : September 15th, 2017 (record date) : By the numbers : October 5, 2017

Our analysis is based on comparing Community Trust Bancorp, Inc. (Kentucky) with the following peers – Renasant Corporation, BancorpSouth, Inc., Farmers Capital Bank Corporation, Stock Yards Bancorp, Inc., Porter Bancorp, Inc., Citizens First Corporation and Citizens Holding Company (RNST-US, BXS-US, FFKT-US, SYBT-US, PBIB-US, CZFC-US and CIZN-US).

Community Trust Bancorp, Inc. (Kentucky)’s dividend yield is 2.77 percent and its dividend payout is 48.12 percent. This compares to a peer median dividend yield of 1.70 percent and a payout level of 32.58 percent. This type of dividend performance might make it a good stock for dividend investors. However, the company’s relatively low dividend quality score of 33 out of a possible score of 100 raises questions on the sustainability of its robust payout ratio.

Dividend Yield
Dividend Quality Score

Dividend Quality Overview

  • Over the last twelve months (prior to June 30, 2017), CTBI-US paid a low quality dividend, which represents a yield of 2.75% at the current price.
  • Dividend quality trend has not been consistent over the last five years. Dividends were paid during each of these years — of these 1 was medium quality and 4 were low quality.
  • The ending cash balance, with a dividend coverage of 2.27x, provides a moderate cushion in case of a significant reduction of cash flows in the future.
Dividend Quality Score Vs Dividend Yield

Quadrant label definitions. Hover to know more

High Score;High Yield, High Score;Low Yield, Low Score;Low Yield, Low Score;High Yield

Dividend Coverage

Over the last twelve months (prior to June 30, 2017), CTBI-US paid a low quality dividend.

The source of the company’s cash to support the dividend paid over the last twelve months is operating cash flow (coverage of 2.97x), investing cash flow (coverage of -9.71x), issuance cash flow (coverage of 7.26x) and twelve-month prior cash (coverage of 2.64x), for a total dividend coverage of 3.27x.

CTBI-US’s issuance cash flow includes outflows from net debt repayment (coverage of -0.12x).

Dividend Coverage by Cash Flow (TTM)

These coverage ratio factors imply that the firm had to dip into the beginning cash balance to pay the dividend, which suggests a low dividend quality.

Dividend History

Item 2012-12-31 2013-12-31 2014-12-31 2015-12-31 2016-12-31 Latest
Dividend Yield (%) 3.75 3.44 3.22 3.48 2.54 2.77
Dividend Payout (%) 43.25 44.1 47.43 45.86 46.67 48.12

A complete list of metrics and analysis is available on the company page.

Company Profile

Community Trust Bancorp, Inc. (Kentucky) is a bank holding company, which engages in the provision of community banking services through its subsidiary Community Trust Bank, Inc. It offers commercial and personal banking and trust and wealth management activities, which include accepting time and demand deposits; making secured and unsecured loans to corporations, individuals and others; providing cash management services to corporate and individual customers; issuing letters of credit; renting safe deposit boxes; and providing funds transfer services. The company was founded on August 12, 1980 and is headquartered in Pikeville, KY.


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