VersaBank (NASDAQ:VBNK) Trading Up 8.7% Following Dividend Announcement

Posted by Brenda Bartman on Sep 4th, 2026

VersaBank (NASDAQ:VBNK – Get Free Report)’s share price shot up 8.7% on Friday after the company announced a dividend. The stock traded as high as $22.10 and last traded at $22.3750. 109,696 shares changed hands during mid-day trading, an increase of 34% from the average session volume of 81,960 shares. The stock had previously closed at $20.59.

The newly announced dividend which will be paid on Saturday, October 31st. Shareholders of record on Friday, October 9th will be issued a $0.025 dividend. This represents a $0.10 dividend on an annualized basis and a yield of 0.4%. The ex-dividend date is Friday, October 9th. VersaBank’s payout ratio is currently 10.14%.

Wall Street Analysts Forecast Growth

Several brokerages have commented on VBNK. Raymond James Financial set a $20.00 price target on shares of VersaBank in a research note on Thursday. Zacks Research cut VersaBank from a “strong-buy” rating to a “hold” rating in a report on Tuesday, August 18th. Weiss Ratings downgraded VersaBank from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Tuesday, June 9th. Finally, Roth Capital set a $28.00 price target on VersaBank and gave the company a “buy” rating in a report on Thursday. Two equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $24.00.

Get Our Latest Report on VersaBank

VersaBank Price Performance

The company has a market cap of $721.31 million, a PE ratio of 32.44 and a beta of 1.06. The company has a 50-day moving average of $20.34 and a 200 day moving average of $18.10.

VersaBank (NASDAQ:VBNK – Get Free Report) last released its quarterly earnings results on Thursday, September 3rd. The company reported $0.27 earnings per share for the quarter, missing the consensus estimate of $0.34 by ($0.07). The company had revenue of $27.67 million for the quarter, compared to analysts’ expectations of $28.76 million. VersaBank had a net margin of 9.34% and a return on equity of 8.32%. Equities research analysts expect that VersaBank will post 1.29 EPS for the current year.

Key Headlines Impacting VersaBank

Here are the key news stories impacting VersaBank this week:

Positive Sentiment: VersaBank reported that total assets surpassed C$7 billion, reflecting record year-over-year growth and rising credit assets. The expansion supports the bank’s growth strategy and may strengthen investor confidence in its digital business-to-business banking model. VersaBank Surpasses CAD 7 Billion in Total Assets
Positive Sentiment: The board declared a quarterly dividend of $0.025 per share, payable October 31 to shareholders of record October 9. Although the annualized yield is modest at approximately 0.5%, the payout signals continued shareholder returns.
Positive Sentiment: Management will meet investors at the Raymond James U.S. Bank and Banking on Tech Conference in Chicago on September 8–10. The event could increase visibility for VersaBank’s digital banking and cybersecurity technology strategy and provide an opportunity for management to discuss growth plans. VersaBank Conference Announcement
Neutral Sentiment: VersaBank’s stock opened at $21.48, above its 50-day moving average of $20.34 and 200-day moving average of $18.10, indicating a favorable recent trend. However, its price-to-earnings ratio of approximately 30 suggests investors are assigning a relatively high valuation despite the latest earnings miss.
Negative Sentiment: Third-quarter earnings were $0.27 per share, below the $0.34 consensus estimate, while revenue of $27.67 million also missed the $28.76 million forecast. The shortfalls are likely the main source of pressure because they raise questions about near-term earnings momentum, despite earnings improving from $0.22 per share a year earlier. VersaBank Misses Q3 Estimates

Hedge Funds Weigh In On VersaBank

Hedge funds have recently added to or reduced their stakes in the stock. Brasada Capital Management LP bought a new position in VersaBank in the second quarter worth approximately $1,606,000. Connor Clark & Lunn Investment Management Ltd. bought a new position in shares of VersaBank during the 2nd quarter worth $16,364,000. Cibc World Market Inc. purchased a new position in shares of VersaBank during the second quarter valued at $26,781,000. Renaissance Technologies LLC increased its stake in shares of VersaBank by 29.7% during the first quarter. Renaissance Technologies LLC now owns 112,700 shares of the company’s stock valued at $1,597,000 after buying an additional 25,800 shares during the period. Finally, Wellington Management Group LLP bought a new stake in shares of VersaBank in the second quarter valued at about $6,171,000. 56.86% of the stock is currently owned by institutional investors.

About VersaBank

(Get Free Report)

VersaBank is a Canadian Schedule I chartered bank that operates as a fully digital institution, offering a range of deposit and lending solutions through its proprietary technology platform. Headquartered in London, Ontario, the bank has chosen to forego a traditional branch network in favor of online and digital distribution, enabling it to serve clients across Canada and the United States with efficiency and lower overhead.

The bank’s primary business activities include the origination and securitization of commercial loans, equipment financing, residential mortgages and construction loans.