Community Bank Stocks with Dividend Yields Higher than 5%

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Includes: bkbk, BOMK, CBJC, CCBG, CFFI, CHEV, CHFC, CNAF, CZNC, ECBE, FBSS, FNLC, FSBK, FUNC, JFBC, LSBG, MBVT, MCBF, NBTF, PBIB, PFBI, PNBC, PULB, PWOD, SBFG, SSBI, UBCP, UBOH, UBSI, UCBA, UNB, WASH, YCB
by: David Hunkar

Unlike many other countries, there are thousands of small community banks in the U.S. These banks have a smaller foot print when compared to the regional or national banks such as Bank of America (NYSE:BAC), Fifth Third Bank (NASDAQ:FITB), U.S. Bank (NYSE:USB), etc. However they are usually know their customers better and maintain close relationships with the local small businesses and consumers.

Some community banks operate in just a few counties and have very few branches. For example, United Bancorp Inc Ohio (NASDAQ:UBCP) is a state chartered bank and has branches in just a seven country area in Ohio.

Accordingly, these banks have very low market caps and liquidity can be issue since the total number of outstanding shares is low. UBCP has a market cap of about $45M with 5.2M shares outstanding.

The following table lists 33 small cap community banks with yields of over 5%:

Name Symbol Dividend Yield as of 1/25/10
Britton & Koontz Capital OTCQB:bkbk 6.30%
Bank of McKenney OTCPK:BOMK 5.38%
Community Bank Shares of Indiana, Inc. CBIN 5.93%
Capital Bank Corporation CBKN 7.86%
Capital City Bank Group, Inc. CCBG 6.40%
C&F Financial Corporation CFFI 5.00%
Cheviot Financial Corp. CHEV 5.42%
Chemical Financial Corporation CHFC 5.47%
Commercial National Financial Corp CNAF 5.03%
Citizens & Northern Corporation CZNC 10.74%
ECB Bancorp, Inc. ECBE 6.40%
Fauquier Bankshares, Inc. FBSS 5.73%
The First Bancorp, Inc. FNLC 5.45%
First South Bancorp, Inc. FSBK 7.83%
First united corporation FUNC 6.53%
Jeffersonville Bancorp JFBC 5.41%
Merchants Bancshares,Inc. MBVT 5.34%
Monarch Community Bancorp, Inc. MCBF 10.22%
NB&T Financial Group, Inc. NBTF 6.82%
New Hampshire Thrift Bancshares, Inc. NHTB 5.04%
Premier Financial Bancorp, Inc. PFBI 5.96%
Princeton National Bancorp, Inc. PNBC 5.05%
Pulaski Financial Corp. PULB 5.84%
Penns Woods Bancorp, Inc. PWOD 5.98%
Rurban Financial Corporation RBNF 5.10%
United Bancorp, Inc. UBCP 6.32%
United Bancshares Inc. OH UBOH 6.59%
United Bankshares, Inc. UBSI 5.31%
Union Bankshares, Inc. UNB 5.63%
Washington Trust Bancorp WASH 5.54%
United Community Bancorp. UCBA 6.50%
Porter Bancorp, Inc. PBIB 5.67%
Summit State Bank SSBI 7.35%
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