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Northwest Bancshares Inc. (NWBI) is a stockholding company for Northwest Bank.

Northwest Bank is a stock savings bank and a community-oriented financial institution offering personal and banking business solutions, investment management, trust services, and insurance products.

It also offers consumer finance loans through a wholly-owned subsidiary. The bank's loan portfolio segment consists of personal banking and business banking loans.

Personal banking includes residential mortgages, home equity loans, and other consumer loans. Business banking loans consist of commercial real estate loans and commercial loans.

Net interest income is the company's primary contributor to revenues.

It operates community banking locations throughout its market area in Pennsylvania, western New York, eastern Ohio, and Indiana.

Northwest Bancshares, Inc. was founded in 1896 and is headquartered in Columbus, Ohio.

Three key data points gauge Northwest Bancshares Inc. or any dividend-paying firm.

The key three are:

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether any company has made, is making, and will make money.

NWBI Price

Over the past year, NWBI’s share price fell about 26% from $14.97 to $11.10 as of Wednesday’s market close.

If Northwest Bancshares trades in the range of $9.00 to $14.00 this next year, its recent $11.10 share price might rise to $11.70 by next year. Of course, Northwest Bancshares price could drop about the same $0.60 estimated amount or more.

My annual upside estimate of $0.60 however, is about equal to the average one-year price gain over the past three and three-quarter years.

NWBI Dividend

Northwest Bancshares Inc. has paid  Quarterly dividends since May 14, 1999. NWBI’s most recent Quarterly dividend, of $0.20 was paid November 14th to shareholders on record as of November 1st. A forward-looking $0.80 annual dividend yields 7.21% at Wednesday’s $11.10 share price,

NWBI Returns

To put it all together, add the annual dividend of  $0.80 to the price upside of $0.60 and find a $1.40 gross gain.

At Wednesday’s $11.10 share price, a little under $1000 would buy 90 shares.

A $10 broker fee (if charged), paid half at purchase and half at sale, might cost us $0.11 per share.

Subtracting that likely $0.11 brokerage cost from the $1.40 estimated gross gain per share produces a net gain of $1.29 X 90  shares = $116.10 or an 11.6% estimated net gain.

You might choose to pounce on Northwest Bancshares. NWBI is a one hundred twenty-seven-year-old Ohio Bank Stockholding Company. Furthermore, the estimated $72.10 dividend income from $1k invested is nearly 6.5 times greater than Wednesday’s NWBI single share price.

The exact track of Northwest Bancshares ongoing future prices and dividends is yet to be known.

Remember the true value of any stock is best realized through personal ownership of shares.

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