Conservative Small Bank That Is Generating A 7%+ Dividend Return

Investment Thesis
I previously wrote an article about Glacier Bancorp, Inc. (Nasdaq: GBCI), and one of the commenter's mentioned that they hold a position in Oritani Financial Corp (Nasdaq: ORIT). After an initial review of the company's financials, I felt compelled to write an article that digs into their finances because it looks like a solid value at first glance. I believe that ORIT demonstrates a principled business that will lead to consistent returns. I also believe that the strong yield and issuance of special dividend give investors a good reason to add this as part of an income generating portfolio.

Oritani Financial Corp. - Corporate Overview
Oritani Financial Corp. is actually the holding company for Oritani Bank, which is a small bank that has been in operation within the state of New Jersey since 1911 . With 27 full-service branches, ORIT offers a full lineup of residential and commercial products, ranging from deposit accounts to loans. The counties within New Jersey that it has operations in includes Bergen, Hudson, Essex, and Passaic.
ORIT's approach to dividends is interesting, because they appear to have changed policy from regular increases in 2009 through 2012, to a policy that favors special dividends while maintaining a regular quarterly payout of $.175/share. Over the last two years, ORIT has issued two special dividends for $.50/share.
ORIT's year end comes in June, so the financials can take a little more effort to... Read more

Older articles featuring ORIT: