People’s United Financial (NASDAQ:PBCT) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a research report issued to clients and investors on Monday, Zacks.com reports. The brokerage presently has a $17.00 price objective on the bank’s stock. Zacks Investment Research‘s target price would indicate a potential upside of 3.16% from the company’s previous close.
According to Zacks, “Shares of People’s United underperformed the industry in the past six months. However, the company has a decent earnings surprise history, having surpassed the Zacks Consensus Estimate in two and matched in two of the trailing four quarters. Third-quarter results reflect higher loans and lower provisions, partially offset by rise in expenses. People’s United is growing through acquisitions, which is likely to continue in the near term, given its strong balance-sheet position and favorable consolidation backdrop in the banking sector. Also, involvement in steady capital deployment activities continue to enhance shareholders' confidence. However, significant exposure to commercial loans keeps us apprehensive. Also, the company's expense base continues to escalate, which is expected to limit bottom-line expansion to some extent.”
Several other equities analysts have also recently issued reports on the stock. DA Davidson reiterated a “buy” rating on shares of People’s United Financial in a research report on Wednesday, September 11th. Keefe, Bruyette & Woods cut shares of People’s United Financial from an “outperform” rating to a “market perform” rating and set a $16.00 price target on the stock. in a research report on Thursday, September 5th. BidaskClub upgraded shares of People’s United Financial from a “sell” rating to a “hold” rating in a research report on Friday. Finally, Morgan Stanley reduced their price target on shares of People’s United Financial from $17.50 to $17.00 and set an “equal weight” rating on the stock in a research report on Thursday, October 3rd. One research analyst has rated the stock with a sell rating, seven have given a hold rating and one has given a buy rating to the stock. The stock currently has an average rating of “Hold” and an average target price of $17.00.
People’s United Financial (NASDAQ:PBCT) last announced its quarterly earnings results on Thursday, October 17th. The bank reported $0.34 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.33 by $0.01. People’s United Financial had a net margin of 23.32% and a return on equity of 8.30%. The company had revenue of $462.00 million for the quarter, compared to analysts’ expectations of $452.39 million. During the same quarter in the previous year, the company earned $0.33 earnings per share. People’s United Financial’s quarterly revenue was up .1% on a year-over-year basis. On average, equities research analysts forecast that People’s United Financial will post 1.33 earnings per share for the current year.
People’s United Financial declared that its Board of Directors has initiated a stock repurchase plan on Thursday, July 18th that authorizes the company to buyback 20,000,000 outstanding shares. This buyback authorization authorizes the bank to reacquire shares of its stock through open market purchases. Stock buyback plans are typically a sign that the company’s board of directors believes its shares are undervalued.
In related news, CAO Jeffrey Hoyt sold 14,263 shares of the business’s stock in a transaction dated Tuesday, September 17th. The shares were sold at an average price of $16.09, for a total transaction of $229,491.67. Following the transaction, the chief accounting officer now owns 25,199 shares in the company, valued at $405,451.91. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. 2.40% of the stock is owned by insiders.
Institutional investors and hedge funds have recently made changes to their positions in the business. Amica Retiree Medical Trust purchased a new stake in People’s United Financial in the second quarter worth about $30,000. Doyle Wealth Management purchased a new stake in People’s United Financial in the second quarter worth about $38,000. AGF Investments LLC purchased a new stake in People’s United Financial in the second quarter worth about $48,000. Pinebridge Investments L.P. grew its holdings in People’s United Financial by 1,653.0% in the second quarter. Pinebridge Investments L.P. now owns 3,173 shares of the bank’s stock worth $53,000 after purchasing an additional 2,992 shares during the period. Finally, CSat Investment Advisory L.P. grew its holdings in People’s United Financial by 42.7% in the second quarter. CSat Investment Advisory L.P. now owns 3,702 shares of the bank’s stock worth $62,000 after purchasing an additional 1,108 shares during the period. Institutional investors and hedge funds own 76.83% of the company’s stock.
People’s United Financial Company Profile
People's United Financial, Inc operates as the bank holding company for People's United Bank, National Association that provides commercial banking, retail banking, and wealth management services to individual, corporate, and municipal customers. The company operates in two segments, Commercial Banking and Retail Banking.
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