On St. Patrick’s Day 1839, the Northwestern Bank of Virginia opened a branch in Parkersburg. Now, I know what you’re thinking. That has to be a mistake, right? Everybody knows there are nine cities by the name Parkersburg in America and not a one of them in Virginia. There’s one in Georgia, Illinois, Indiana, Iowa, Mississippi, North Carolina, Oklahoma, Oregon, and West Virginia. There is no Parkersburg, Virginia!
Oh, Dear Reader. You were so quick to demonstrate your geographical knowledge of America, you missed a small detail that means everything – the year. Now it’s all coming back to you in a flash. Before June 20, 1863, the area we now lovingly refer to as the state of West Virginia was simply the northwestern part of a much larger state, Virginia. The city known today as Parkersburg, West Virginia was Parkersburg, Virginia and thus, a perfectly fine location to launch the first branch of the Northwestern Bank of Virginia. Of course, we could ask why they didn’t choose Bank of Northwestern Virginia as the name. But the more important questions are: ‘Is the bank still around?’ and, if so ‘What name does it go by today?’
The answer(s): Yes. It eventually became a part of United Bankshares, Inc and they just became a Dividend King.
All hail United Bankshares Inc!
Going Back to Antiquity
This bank’s origins go back 184 years; it is literally older than West Virginia and by 24 years!
According to TD Ameritrade:
United Bankshares, Inc. is a financial holding company. The Company, through its subsidiaries, engages primarily in community banking and mortgage banking. The banking services offered are the acceptance of deposits in checking, savings, time and money market accounts; the making and servicing of personal, commercial, and floor plan loans, and the making of construction and real estate loans. Its segments include community banking and mortgage banking. The community banking segment includes both commercial and consumer lending and provides customers with such products as commercial loans, real estate loans, business financing and consumer loans. In addition, the community banking segment also provides various deposit products. The mortgage banking segment engages primarily in the origination and acquisition of residential mortgages for sale into the secondary market, through the Company’s mortgage banking subsidiaries, George Mason Mortgage, LLC and Crescent Mortgage Company.
UBSI becomes the 5th Dividend King from the Financials sector. Here is the list of all the Kings in the Financials sector and the industry in which they conduct their business.
| Company | Ticker | Industry |
| Commerce Bancshares Inc | CBSH | Banks |
| Cincinnati Financial Corp | CINF | Insurance |
| Farmers & Merchants Bancorp | FMCB | Banks |
| S&P Global Inc | SPGI | Capital Markets |
| United Bankshares Inc | UBSI | Banks |
UBSI has a pattern of raising its quarterly dividend in the fourth quarter, every other year. That means they pay the same quarterly dividend for 8 straight quarters, the equivalent of two years. However, the four ex-dividend dates that fall into a given calendar year will ultimately produce paid dividends greater than that of the previous calendar year – and that’s all that matters for maintaining a dividend increase streak.
UBSI is trading close to $30.00 and first traded at that level in May 1998. It is an attractive investment right now, with a 5% dividend yield, a 50% payout ratio, and trading at a P/E Ratio under 11. Perhaps one day, it will find its way into the Portfolio for the Ages.