Kearny Financial Corp. : KRNY-US: Dividend Analysis : October 04th, 2017 (record date) : By the numbers : October 4, 2017

Our analysis is based on comparing Kearny Financial Corp. with the following peers – OceanFirst Financial Corp., Oritani Financial Corp., Northfield Bancorp, Inc., Provident Financial Services, Inc., Magyar Bancorp, Inc. and MSB Financial Corp (OCFC-US, ORIT-US, NFBK-US, PFS-US, MGYR-US and MSBF-US).

Kearny Financial Corp.’s dividend yield is 1.51 percent and its dividend payout is 45.45 percent. This compares to a peer average dividend yield of 2.30 percent and a payout level of 50 percent. This relatively lagging dividend performance could spur some dividend action going forward – except the company’s current dividend quality score of 58 out of a possible score of 100 is only about average.

Dividend Yield
Dividend Quality Score

Dividend Quality Overview

  • Over the last twelve months (prior to June 30, 2017), KRNY-US paid a medium quality dividend, which represents a yield of 0.66% at the current price.
  • Dividend quality trend has not been consistent over the last five years. Dividends were paid during 2 of these years — of these 1 was medium quality and 1 was low quality.
  • The ending cash balance, with a dividend coverage of 9.44x, provides a substantial 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), KRNY-US paid a medium 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 3.47x), investing cash flow (coverage of -53.56x), issuance cash flow (coverage of 36.49x) and twelve-month prior cash (coverage of 24.04x), for a total dividend coverage of 10.44x.

KRNY-US’s issuance cash flow includes outflows from net share buybacks (coverage of -15.13x). Thus, the total coverage including share buybacks is 25.57x, which reflects our assumption that the cash paid for share buybacks is discretionary and could instead be used to pay dividends.

Dividend Coverage by Cash Flow (TTM)

These coverage ratio factors imply that the firm’s net cash inflow from issuance was required (in addition to operating and investment cash) to pay the dividend, which suggests a medium dividend quality.

Dividend History

Item 2013-06-30 2014-06-30 2015-06-30 2016-06-30 2017-06-30 Latest
Dividend Yield (%) 0 0 0 0.62 0.66 1.51
Dividend Payout (%) 0 0 0 44.44 45.45 45.45

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

Company Profile

Kearny Financial Corp. operates as a holding company. Its business includes the ownership and operation of the bank. The company is engaged in the business of attracting deposits from the general public in New Jersey. It uses deposits, together with other funds, to originate or purchase loans for its portfolio and invest in securities. The company offers both personal and business services. Kearny Financial was founded on September 2, 2014 and is headquartered in Fairfield, NJ.


The information presented in this report has been obtained from sources deemed to be reliable, but AnalytixInsight does not make any representation about the accuracy, completeness, or timeliness of this information. This report was produced by AnalytixInsight for informational purposes only and nothing contained herein should be construed as an offer to buy or sell or as a solicitation of an offer to buy or sell any security or derivative instrument. This report is current only as of the date that it was published and the opinions, estimates, ratings and other information may change without notice or publication. Past performance is no guarantee of future results. Prior to making an investment or other financial decision, please consult with your financial, legal and tax advisors. AnalytixInsight shall not be liable for any party’s use of this report. AnalytixInsight is not a broker-dealer and does not buy, sell, maintain a position, or make a market in any security referred to herein. One of the principal tenets for us at AnalytixInsight is that the best person to handle your finances is you. By your use of our services or by reading any our reports, you’re agreeing that you bear responsibility for your own investment research and investment decisions. You also agree that AnalytixInsight, its directors, its employees, and its agents will not be liable for any investment decision made or action taken by you and others based on news, information, opinion, or any other material generated by us and/or published through our services. For a complete copy of our disclaimer, please visit our website