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United Bancorp: +21% Q1 EPS, 4.4% Dividend Yield, 18% EPS 5-Year CAGR, 35% Upside

May 06, 2021 5:06 PM ETUnited Bancorp, Inc. (UBCP)


  • Q1 strong results with 21% net income growth, after record EPS in FY2020.
  • Attractive 4.4% dividend yield, strong 39-year dividend track record, 5 Special Dividends in last 5 years.
  • Well capitalized with 18.9% total capital, underleveraged with low loans-to-deposits, solid excess provisioning.
  • Revise up target to $20 [total return of 35%]; stock up 19% in 2 months since our February recommendation.
  • +18% EPS five-year CAGR, well managed with only five CEOs in 120-year history.

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21% Net Income Growth in Q1

United Bancorp (NASDAQ:UBCP) reported very strong +21% YoY net income [+18% EPS] growth for Q1 ended March, which was up against a tough comparison [i.e., not impacted by Covid] in last year’s quarter. This continues

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