Arrow Financial (NASDAQ:AROW) Issues Quarterly Earnings Results

Arrow Financial (NASDAQ:AROW) released its earnings results on Thursday. The financial services provider reported $0.97 earnings per share for the quarter, beating analysts’ consensus estimates of $0.94 by $0.03, FiscalAI reports. The firm had revenue of $60.15 million during the quarter, compared to the consensus estimate of $57.82 million. Arrow Financial had a return on equity of 12.13% and a net margin of 20.56%.

Arrow Financial Stock Performance

NASDAQ:AROW opened at $38.67 on Friday. Arrow Financial has a twelve month low of $26.46 and a twelve month high of $42.70. The company has a quick ratio of 0.92, a current ratio of 0.92 and a debt-to-equity ratio of 0.06. The stock’s 50-day simple moving average is $37.85 and its 200 day simple moving average is $36.87. The firm has a market capitalization of $716.17 million, a PE ratio of 11.96 and a beta of 0.76.

Arrow Financial Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, November 23rd. Investors of record on Wednesday, November 11th will be paid a $0.30 dividend. The ex-dividend date of this dividend is Tuesday, November 10th. This represents a $1.20 annualized dividend and a yield of 3.1%. Arrow Financial’s dividend payout ratio (DPR) is 38.71%.

More Arrow Financial News

Here are the key news stories impacting Arrow Financial this week:

• Positive Sentiment: Quarterly results exceeded expectations. Arrow reported core earnings of $0.97 per share, above the $0.94 analyst consensus, while revenue reached $60.15 million versus estimates of $57.82 million. Core EPS also increased from $0.77 a year earlier. Arrow Financial Q3 Earnings and Revenues Top Estimates
• Positive Sentiment: The Adirondack Bancorp acquisition is materially increasing scale. Net interest income rose 35.6% sequentially to $48.7 million, while total assets grew to $5.5 billion, loans increased to $4.1 billion, and deposits reached $4.7 billion. Net interest margin also improved to 3.80% from 3.42%. Arrow Financial Reports Third-Quarter Net Income
• Positive Sentiment: Shareholders will receive a quarterly dividend of $0.30 per share. The payment is scheduled for November 23 for shareholders of record on November 11, representing an annualized dividend of $1.20 and a yield of approximately 3.1%. Arrow Financial Declares Dividend
• Neutral Sentiment: Arrow also released third-quarter loan charge-off data, giving investors additional information to assess credit quality following the acquisition. Arrow Financial Third-Quarter Loan Charge-Off Report
• Negative Sentiment: Reported net income fell to $5.7 million, or $0.31 per diluted share, from $11.0 million, or $0.66 per share, in the prior quarter because Arrow recorded approximately $15.6 million in merger-related expenses. These costs may weigh on near-term GAAP profitability even as underlying operations improve.

Analysts Set New Price Targets

AROW has been the subject of a number of analyst reports. Raymond James Financial started coverage on Arrow Financial in a research note on Tuesday, September 1st. They issued an “outperform” rating and a $44.00 price target for the company. Piper Sandler reiterated an “overweight” rating and set a $46.00 price objective (up from $43.00) on shares of Arrow Financial in a research note on Tuesday, July 28th. Finally, Weiss Ratings reissued a “buy (b)” rating on shares of Arrow Financial in a report on Thursday, October 22nd. Three investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $41.62.

Arrow Financial Company Profile

Arrow Financial Corporation (NASDAQ: AROW) is a bank holding company headquartered in Glens Falls, New York. Through its banking subsidiaries, the company provides commercial and consumer banking services to individuals, families, businesses and municipalities.

Arrow’s offerings include checking and savings accounts, certificates of deposit, residential mortgages, home equity financing, consumer loans, commercial lending, treasury management and online banking. Through affiliated businesses, it also provides investment management, trust and financial planning services, as well as insurance products.

The company’s banking operations serve communities primarily in eastern New York, including the Capital Region, the Adirondacks and the surrounding areas.