This week, I'm looking for the third financial services sector representative of seven for my Ivy portfolio.

Financial Services includes twenty industries ranging from Asset Management to 8 kinds of Banks, Credit, Exchanges, 6 kinds of Insurance, Savings, and all such financial concerns.

Today I'm reviewing a small-cap bank - regional -US named Arrow Financial Corp. Its trading ticker symbol is AROW.

Arrow Financial Corp is a holding company of two nationally chartered banks in the United States, Glens Falls National, and Saratoga National. The company provides various advisory and administrative services and coordinates the general policies and operation of the banks. It provides financial products, including online and mobile banking, mortgages, commercial loans, investments and other. The significant source of company's revenue is interest income, fees, and commissions earned through its subsidiaries.

Additionally, the company offers insurance agency services comprising group health care policies and life insurance, and property and casualty insurance products; and investment advisory services to its proprietary mutual funds, as well as holds a real estate investment trust.

It operates in the northeastern region of New York State in Warren, Washington, Saratoga, Essex, Clinton, Rensselaer, Albany, and Schenectady counties, as well as surrounding areas. The company owns 29 branch banking offices; and leases 11 branch banking offices, as well as 2 residential loan origination offices. Arrow Financial Corporation was founded in 1851 and is headquartered in Glens Falls, New York.

I use three key data points to gauge the value of any dividend equity-like Arrow Financial Corporation:

(1) Price

(2) Dividends

(3) Returns

Besides those three, several other keys will finally unlock an equity or fund in which to invest.

Those first three primary keys, however, best tell whether a company has made, is making, and will make money.

AROW Price

Arrow's price per share closed at $35.28 Friday. A year ago its price was $33.20. Price rose $2.08 per share last year, or over 6.25%.

Assuming Arrow's stock trades in the range of $30 to $38 next year, Arrow's recent $35.20 price could rise by  $1.80 and go to $37.00 by mid-February, 2020.

AROW Dividends

Arrow's most recent Quarterly dividend is $0.26 payable March 15th.

That quarterly dividend equates to a  $1.04 annual payout and a yield of 2.95% at yesterday's $35.20 closing price.

Gains For AROW?

Adding the $1.04 annual estimated dividend to my $1.80 Arrow estimated price upside shows a $2.84 potential gross annual gain, per share, which will be reduced by costs to trade those shares.

Say we put a little under $1,000.00 today at the $35.20 recent stock price would buy us 28 Arrow Financial Corporation shares.

A $10 broker fee paid half at purchase and half at sale costs $0.36 per share.

Subtract that $0.36 brokerage cost from the estimated $2.84 gross annual gain leaves a net gain of $2.48 X28 shares

= $69.44  or a 7% net gain on a $987.84 investment.

Therefore, Arrow Financial Corporation whose trading ticker symbol is AROW now shows a possible net gain of 7% including that 2.95% dividend yield.

One broker covers this stock:

She says 'hold' your AROW shares.

Therefore, you can look at Arrow Financial Corporation and see it has made money, is making money, and could throw a net gain of 7% including that 2.95% dividend yield. It could be more, it could be less.

The above speculation is based on past year performance. The actual results remain to be seen to determine if Arrow Financial Corporation is worth your time and money.