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Heritage FinancialHFWA -0.67%63 5-Year Yield-on-Cost % is 3.91 as of Jul. 15, 2026, which is 1% above its 10-year median of 3.89. GuruFocus rates HFWA with a GF Score™ of 63/100 and a GF Value™ of $27.74 (Fairly Valued). The stock has 4 warning signs investors should review. Among 1,256 Banks companies, Heritage Financial ranks better than 50.4% on this metric.
Heritage Financial's yield on cost for the quarter that ended in Mar. 2026 was 3.91.
The historical rank and industry rank for Heritage Financial's 5-Year Yield-on-Cost % or its related term are showing as below:
HFWA'
s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 1.83 Med: 3.89 Max: 6.74
Current: 3.91
During the past 13 years, Heritage Financial's highest Yield on Cost was 6.74. The lowest was 1.83. And the median was 3.89.
HFWA's 5-Year Yield-on-Cost % is ranked better than 50.4% of 1256
companies
in the Banks industry
Industry Median: 3.885
vs HFWA: 3.91
Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.
Heritage Financial 5-Year Yield-on-Cost % Related Terms
HFWA vs OSBC, UVSP, MCB: 5-Year Yield-on-Cost % Comparison
For the Banks - Regional subindustry, Heritage Financial's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Heritage Financial 5-Year Yield-on-Cost % vs Banks Industry
For the Banks industry and Financial Services sector, Heritage Financial's 5-Year Yield-on-Cost % distribution charts can be found below:
* The bar in red indicates where Heritage Financial's 5-Year Yield-on-Cost % falls into.
Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.
Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.
Heritage Financial (HFWA) has a 5-Year Yield-on-Cost % of 3.91 as of Jul. 15, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Heritage Financial and its competitors. This is near median its historical median of 3.89. Over the past decade, Heritage Financial's 5-Year Yield-on-Cost % has ranged from 1.83 to 6.74. According to the industry distribution chart, Heritage Financial ranks #623 out of 1256 companies in the Banks industry, placing it in the top 49.6%.
Is Heritage Financial's 5-Year Yield-on-Cost % too high?
Heritage Financial's current 5-Year Yield-on-Cost % of 3.91 is near median its 10-year median of 3.89. Over the past 10 years, this metric has ranged from a low of 1.83 to a high of 6.74. The Banks industry median 5-Year Yield-on-Cost % is 3.89. Heritage Financial's value of 3.91 is 0.6% above this industry median. Based on the distribution chart, Heritage Financial ranks #623 out of 1256 companies in the Banks industry, which is above the industry midpoint. Overall, Heritage Financial has a GF Score™ of 63/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Heritage Financial's 5-Year Yield-on-Cost % compare to OSBC and UVSP?
According to the Banks industry distribution chart, Heritage Financial ranks #623 out of 1256 companies for 5-Year Yield-on-Cost %. This puts Heritage Financial in the upper half of its industry. The industry median 5-Year Yield-on-Cost % is 3.89. Heritage Financial's value of 3.91 is 0.6% above this benchmark. Historically, Heritage Financial's own 5-Year Yield-on-Cost % has ranged from 1.83 to 6.74 over the past decade. While the company's 10-year median is 3.89 vs. the industry median of 3.89, Heritage Financial has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year Yield-on-Cost % for a Banks company?
The median 5-Year Yield-on-Cost % among Banks companies is 3.89, based on 1,256 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Heritage Financial's current 5-Year Yield-on-Cost % of 3.91 is 0.6% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Heritage Financial and its competitors. For the Banks industry, the median 5-Year Yield-on-Cost % is 3.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Heritage Financial's current 5-Year Yield-on-Cost % is 3.91, which is near median its own 10-year median of 3.89. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Heritage Financial stock overvalued right now?
Based on GuruFocus' analysis, Heritage Financial (HFWA) is currently considered Fairly Valued. The stock's GF Value™ is $27.74, compared to a current price of $29.61 — trading 6.7% above its estimated fair value. The current 5-Year Yield-on-Cost % is 3.91, which is near median its 10-year median of 3.89 and 0.6% above the Banks industry median of 3.89. Heritage Financial's overall GF Score™ is 63/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Heritage Financial (HFWA), the current 5-Year Yield-on-Cost % is 3.91 as of Jul. 15, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Heritage Financial (HFWA) Overvalued in 2026?
Based on GuruFocus' analysis, Heritage Financial stock appears to be overvalued.
The current stock price of $29.61 is trading 6.7% above its estimated GF Value™ of $27.74.
GuruFocus considers Heritage Financial to be Fairly Valued.
Key valuation signals for HFWA:
5-Year Yield-on-Cost %: 3.91 (near median its 10-year median of 3.89)
GF Value™: $27.74 vs. price of $29.61 (6.7% above fair value)
Industry Position: 0.6% above the Banks median (#623 of 1256)
No single metric tells the full story. See the HFWA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Heritage Financial Corp is a bank holding company. The company, through its subsidiary, provides commercial lending and deposit relationships with small businesses and their owners in its market areas and attracts deposits from the general public. It accepts various deposit products, such as non-interest demand accounts, money market accounts, savings accounts, and certificates of deposit. Besides, the Bank also makes real estate construction loans, land development loans, and consumer loans, and originates first mortgage loans on residential properties mainly located in its market area. Geographically, all the business activity functions through the region of the United States.
63GF Score
Get the complete analysis for HFWA
5-Year Yield-on-Cost % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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