The Dynamic Dividend

Financial Institutions Ups Dividend by 20%

Financial Institutions, Inc. (FISI) declared a quarterly dividend of $0.12 per share today, a 20% improvement over the $0.10 paid each of the last ten quarters by the holding company for Five Star Bank.

Shares of FISI closed Wednesday’s session trading at $15.50, where they now carry a 3.10% dividend yield.

This is the first dividend hike from the company since 2008. FInancial Institutions has given shareholders a healthy dose of dividend increases over the years (15 since 1999), but they’ve always managed to kill the momentum by cutting their payout. The company has slashed its dividend twice over the last decade, which is why its payout is now exactly where it was in June 2001.