Community Financial System, Inc. (CBU): A Solid Stock for Conservative Investors

Community Financial System, Inc. (NYSE:CBU) was recently included on our list of Dividend Champion vs Aristocrats: 12 Under the Radar Stocks to Buy.

Community Financial System, Inc. (CBU): A Solid Stock for Conservative Investors

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Community Financial System, Inc. (NYSE:CBU) is a financial services firm with operations across four key areas: banking, employee benefits, insurance, and wealth management. Its banking arm, Community Bank, N.A., ranks among the top 100 banks in the US by asset size, managing over $16 billion. The bank serves customers through roughly 200 branches located in Upstate New York, Northeastern Pennsylvania, Vermont, and Western Massachusetts.

Community Financial System, Inc. (NYSE:CBU) recently announced earnings for the second quarter of 2025. The company posted revenue of $199.3 million, which saw an 8.4% growth from the same period last year. It reported net interest income of $124.7 million for the second quarter, marking a new quarterly record and reflecting a 14% increase, or $15.3 million, compared to the same period last year. During the quarter, the company also announced an agreement with Santander Bank, N.A., to acquire seven branch locations in the Allentown, Pennsylvania area. The acquisition includes select branch-related loans, deposits, and wealth management relationships, and is expected to advance the company’s previously outlined retail growth strategy.

Community Financial System, Inc. (NYSE:CBU) ended the quarter with $237.2 million available in cash and cash equivalents. On July 16, the company declared a 2.2% hike in its quarterly dividend to $0.47 per share. Through this increase, the company stretched its dividend growth streak to 33 years, which places it on the dividend champions list. The stock has a dividend yield of 2.66%, as of July 23.

While we acknowledge the potential of CBU to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CBU and that has 100x upside potential, check out our report about this cheapest AI stock.

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