Mechanics Bancorp
MCHBFinancial Services · Stock · quarterly payer
Forward Yield
9.86%
Annual Dividend
$1.56
Payout Ratio
101%
5-Yr Growth
7.0%
Ex-Date
Aug 28, 2026
Frequency
Quarterly
Summary
As of September 2026, Mechanics Bancorp (MCHB) yields 9.86% ($1.56 per share annually), with a blended fair-value estimate of $43.82 — +177% upside, so it screens as undervalued. Dividend safety grade: D (40/100). 1 years of dividend growth.
Is MCHB a good dividend stock?
Higher riskMechanics Bancorp (MCHB) pays a quarterly dividend yielding 9.86% ($1.56/yr), with 1 year of growth and a dividend-safety grade of D. Treat the dividend with caution — recent cuts, a stretched payout or a falling price raise the risk.
Advantages
- Strong 7.0% 5-yr dividend growth
Risks
- Cut its dividend in 2023
- Elevated payout ratio (101%)
- Very high yield can signal elevated risk
- Share price is down over the past 5 years
- Below-average dividend safety score
Key Data
- Dividend Yield
- 9.86%
- Payout Ratio
- 101%
- Annual Dividend
- $1.56
- 5-Yr Avg Growth
- 7.0%
- Ex-Dividend Date
- Aug 28, 2026
- Years of Growth
- 1
- Frequency
- quarterly
- Beta
- 0.14
- Market Cap
- $3.5B
- P/E Ratio
- 12.2
- 5-Yr Total Return
- -62%
- 52-Week Range
- $12.70 – $17.38
- Dividend Safety
- D · 40/100
- Ever Cut?
- Yes (2023)
Frequently Asked Questions
MCHB Price — Last 12 Months
Daily close
Price Return
1 Year
+19%
3 Years
+103%
5 Years
-62%
52-Week Range
$12.70 – $17.38
Price change over each period (excludes dividends). Past performance doesn't guarantee future results.
What is MCHB worth?
Undervaluedlow confidenceOur blended fair-value estimate for Mechanics Bancorp is $43.82 per share, versus a market price of $15.82. That implies 177% of upside — a margin of safety of about 64%.
Fair Value
$43.82
Current Price
$15.82
Upside
+177%
Margin of Safety
64%
How we get there
Discounted cash flow
Discounts projected free cash flow back to today.
Dividend discount
Discounts the future dividend stream back to today.
Earnings multiple (Graham)
Graham's earnings-multiple formula, anchored to bond yields.
At today's price, the market is pricing in about -0.6% annual free-cash-flow growth. We model 20.0% — below our estimate, leaving room for upside if the business executes.
Assumptions: 7.0% discount rate (CAPM), 20.0% stage-1 growth, 2.5% terminal growth, $1.30 EPS, $1.56 annual dividend. Updated weekly.
Fair-value estimates are model output for educational purposes only — not investment advice or a price target.
MCHB Dividend Safety Score
Risky
SmarterDividends' proprietary score, backtested against which dividends were actually cut over 15+ years (0.78 AUC). It blends a validated cut-risk model (growth streak, cut history) with current payout, cash-flow and debt. Higher is safer · not investment advice.
Dividend Growth
Total dividends per share by year
Dividend History
| Ex-Date | Pay Date | Amount | Type |
|---|---|---|---|
| Aug 28, 2026 | — | $0.2500 | regular |
| May 22, 2026 | — | $0.7000 | regular |
| Mar 9, 2026 | — | $0.4000 | regular |
| Dec 8, 2025 | — | $0.2100 | regular |
| Nov 7, 2023 | — | $0.1000 | regular |
| Aug 8, 2023 | — | $0.1000 | regular |
| May 9, 2023 | — | $0.1000 | regular |
| Feb 7, 2023 | — | $0.3500 | regular |
| Nov 7, 2022 | — | $0.3500 | regular |
| Aug 8, 2022 | — | $0.3500 | regular |
| May 9, 2022 | — | $0.3500 | regular |
| Feb 8, 2022 | — | $0.3500 | regular |
| Nov 8, 2021 | — | $0.2500 | regular |
| Aug 9, 2021 | — | $0.2500 | regular |
Income Calculator
At $1.56 / yr per share
