Bank OZK (OZK) will raise its quarterly dividend by another 0.9 percent to $0.228 per share in the second quarter of 2021. Bank OZK has increased its dividend 23 consecutive years with four dividend hikes announced in 2020. This marks the second dividend hike announced in 2021 for a total increase of 1.8 percent.
The next dividend is payable April 19, 2021 to shareholders of record as of April 12, 2021. A new annualized dividend rate of $1.12 per share yields 2.8% at a stock price of $40.61. In a press release dated April 1, 2021, Bank OZK announces this new dividend hike and notes the company has increased its quarterly cash dividend in each of the last 43 quarters.
Last year Bank OZK announced four dividend hikes for a total increase of exactly 10.0 percent. This marked 11 years of double digit dividend growth for the company with an average dividend hike of no less than 22.0 percent during that course. Bank OZK now pays its shareholders an estimated $144 million in dividends annually if we include this new dividend hike just announced.
Bank OZK, formerly Bank of the Ozarks, Inc. is a bank holding company. The Company owns a state-chartered subsidiary bank that conducts banking operations in Arkansas, Georgia, North Carolina, Texas, Florida, Alabama, South Carolina, New York and California. The company's deposit services, including checking, savings, money market, time deposit and individual retirement accounts and loan services, including real estate, consumer, commercial, industrial and agricultural loans and leasing services. OZK also provides services such as mortgage lending, lock box services and financial planning and operates ATMs. The company has paid a dividend to shareholders every year since 1998.