Norwood Financial (NASDAQ:NWFL) Cut to “Hold” at Wall Street Zen

Wall Street Zen cut shares of Norwood Financial (NASDAQ:NWFL) from a buy rating to a hold rating in a research report sent to investors on Friday.

Several other research firms have also commented on NWFL. Weiss Ratings reiterated a “hold (c)” rating on shares of Norwood Financial in a research report on Monday, December 29th. Zacks Research cut shares of Norwood Financial from a “strong-buy” rating to a “hold” rating in a report on Monday, December 22nd. Three investment analysts have rated the stock with a Hold rating, Based on data from MarketBeat, Norwood Financial presently has a consensus rating of “Hold” and a consensus price target of $26.50.

Norwood Financial Stock Down 2.1%

Shares of NWFL stock opened at $27.82 on Friday. Norwood Financial has a one year low of $21.25 and a one year high of $30.59. The company has a debt-to-equity ratio of 0.31, a current ratio of 0.90 and a quick ratio of 0.90. The company has a market capitalization of $257.61 million, a price-to-earnings ratio of 9.30 and a beta of 0.61. The company’s fifty day moving average price is $28.49 and its 200-day moving average price is $26.65.

Norwood Financial Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, February 2nd. Stockholders of record on Thursday, January 15th will be given a $0.32 dividend. This represents a $1.28 annualized dividend and a dividend yield of 4.6%. This is a boost from Norwood Financial’s previous quarterly dividend of $0.31. The ex-dividend date is Thursday, January 15th. Norwood Financial’s dividend payout ratio (DPR) is 42.81%.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. Cornerstone Wealth Group LLC acquired a new position in Norwood Financial in the 3rd quarter valued at about $4,679,000. Wellington Management Group LLP increased its position in shares of Norwood Financial by 14.3% during the third quarter. Wellington Management Group LLP now owns 634,553 shares of the financial services provider’s stock worth $16,130,000 after purchasing an additional 79,394 shares in the last quarter. Marshall Wace LLP acquired a new stake in shares of Norwood Financial in the second quarter valued at approximately $648,000. Citadel Advisors LLC acquired a new stake in Norwood Financial during the 3rd quarter worth $605,000. Finally, Fourthstone LLC purchased a new position in shares of Norwood Financial during the second quarter worth about $510,000. 28.08% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Norwood Financial

Here are the key news stories impacting Norwood Financial this week:

• Positive Sentiment: Strong operating improvement and full‑year results — Norwood reported full‑year diluted EPS of $3.01 and a 58 bps increase in net interest margin year‑over‑year, signaling meaningful NIM expansion and profitability recovery versus the prior year. GlobeNewswire: Fourth Quarter and Full Year 2025 Results
• Positive Sentiment: Acquisition with planned cost and integration synergies — management outlined integration and operational efficiency initiatives following the Presence Bank acquisition that are intended to cut costs and lift future earnings leverage. Investors may view these as accretive over time. Seeking Alpha: Integration and operational efficiency initiatives
• Neutral Sentiment: Earnings call commentary supportive but not aggressive — prepared remarks and transcripts emphasize strategic progress, deposit and loan trends, and efficiency plans; no material change to near‑term guidance was highlighted in public summaries. Read the call transcript for management tone. MSN: Q4 2025 earnings call transcript
• Neutral Sentiment: Mixed print vs. consensus — headline EPS was reported around the consensus ($0.85 per various sources) with modest variance across outlets; revenue came in roughly in line but slightly under some estimates, suggesting stability rather than an upside surprise. Yahoo Finance: Q4 2025 Earnings Call Highlights
• Negative Sentiment: Perception of a small earnings miss and near‑term execution risk pressured the stock — Zacks flagged a $0.84 print vs. a $0.85 consensus (and some outlets reported similar small misses), and the slight revenue shortfall plus integration costs can prompt an immediate negative market reaction despite longer‑term positives. Zacks: Q4 Earnings Lag Estimates

About Norwood Financial

Norwood Financial Corporation is the bank holding company for Norwood Bank, a community-oriented financial institution headquartered in Norwood, Massachusetts. Incorporated in 2010, the company oversees a network of branch offices serving suburban and metropolitan communities in eastern Massachusetts. Norwood Financial’s mission emphasizes personalized service, local decision-making and a commitment to supporting neighborhood growth.

The company’s primary business activities encompass a full suite of personal and commercial banking products and services.