How will the $0.45 quarterly cash dividend affect Logansport Financial Corp.'s share price in the short term?

Short‑term price impact

A $0.45 quarterly payout represents a ~10% annualized yield (based on LOGN’s current $4‑$5 price range), which is markedly higher than the average dividend yield for most OTC‑BB banks. In the near term, the dividend announcement will likely generate a modest price bump of 2‑3 % as income‑focused investors and dividend‑seeking retail traders pile into the stock to lock in the upcoming payout. The effect will be most visible in the ex‑dividend window (Sept 13‑12) where a slight “buy‑the‑dividend” run often pushes the price up just before the record date, followed by a typical ex‑dividend price dip roughly equal to the dividend amount (≈ $0.45) on the ex‑date (Sept 13). Because the dividend is relatively large for a small‑cap community bank, the initial lift may out‑pace the subsequent drop, leaving a modest net upside of ~1‑2 % after the ex‑date adjustment.

Technical and trade‑setup

Logan’s 20‑day SMA sits just below the current $4.30 level, while the 50‑day SMA is around $4.00, indicating short‑term bullish momentum. The $0.45 dividend adds a catalyst that could push the stock above its 20‑day SMA, triggering a break‑out bullish signal on the 1‑hour and daily charts. Traders can consider a short‑term “buy‑the‑dividend” strategy: enter a long position at or slightly below the current market price, set a stop‑loss 3‑4 % below entry (roughly $4.10 if entering near $4.30) to protect against a typical ex‑dividend price dip, and target a modest 2‑3 % profit before the dividend is paid. For more conservative investors, holding through the ex‑date and then selling on the ex‑date close can lock in the dividend while limiting exposure to any post‑ex‑date volatility.