Comments on: Community Trust Bank Corp. (CTBI) Dividend Stock Analysis

By: Dividends4Life

Dividends4Life — Sat, 05 Dec 2009 17:07:24 +0000

goatfarmer: CTBI also failed to raise their dividend in December. This will prevent me from giving it serious consideration.

Best Wishes,
D4L

By: goatfarmer

goatfarmer — Sat, 05 Dec 2009 01:06:36 +0000

It is also expensive by valuation metrics: PE, PS, PB and PCashFlow are all above the industry average according to Morningstar:
http://quicktake.morningstar.com/StockNet/StockValuation.aspx?Country=USA&Symbol=CTBI

By: Big Al

Big Al — Thu, 03 Dec 2009 17:58:31 +0000

My major concern with CTBI would be the rather large amount of foreclosed property on their books. (about 1.2% of total assets)

Although this indicates management is effectively addressing non performing loans (unlike many other banks), CTBI may have problems selling the foreclosed property (they operate in Hatfield – McCoy territory) and may not have taken large enough chargeoffs against the loan loss reserve when they foreclosed.

Since CTBI earned $.31 per share and paid $.30 in dividends during Q3, additional losses could lead to reductions to the dividend.