People’s United Financial (NASDAQ:PBCT) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a research note issued on Monday, Zacks.com reports. The brokerage currently has a $17.00 price objective on the bank’s stock. Zacks Investment Research‘s target price suggests a potential upside of 1.80% from the stock’s current price.
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 weighed in on PBCT. DA Davidson reissued a “buy” rating on shares of People’s United Financial in a research note on Wednesday, September 11th. BidaskClub raised shares of People’s United Financial from a “sell” rating to a “hold” rating in a research report on Friday, October 18th. 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 objective for the company. in a research report on Thursday, September 5th. Finally, Morgan Stanley reduced their price objective on shares of People’s United Financial from $17.50 to $17.00 and set an “equal weight” rating for the company in a research report on Thursday, October 3rd. One analyst has rated the stock with a sell rating, seven have given a hold rating and one has issued a buy rating to the company. The stock currently has a consensus rating of “Hold” and a consensus target price of $17.00.
People’s United Financial (NASDAQ:PBCT) last released its earnings results on Thursday, October 17th. The bank reported $0.34 earnings per share 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 8.17%. The business had revenue of $462.00 million during the quarter, compared to analysts’ expectations of $452.39 million. During the same period last year, the business earned $0.33 earnings per share. The firm’s revenue was up .1% on a year-over-year basis. On average, equities analysts predict that People’s United Financial will post 1.33 earnings per share for the current fiscal year.
People’s United Financial declared that its board has approved a share buyback program on Thursday, July 18th that authorizes the company to buyback 20,000,000 shares. This buyback authorization authorizes the bank to purchase shares of its stock through open market purchases. Shares buyback programs are usually an indication that the company’s board of directors believes its stock is undervalued.
In other People’s United Financial news, CAO Jeffrey Hoyt sold 14,263 shares of People’s United Financial stock in a transaction on Tuesday, September 17th. The shares were sold at an average price of $16.09, for a total transaction of $229,491.67. Following the completion of the transaction, the chief accounting officer now directly owns 25,199 shares of the company’s stock, valued at $405,451.91. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Insiders own 2.40% of the company’s stock.
Institutional investors and hedge funds have recently bought and sold shares of the company. Amica Retiree Medical Trust acquired a new stake in shares of People’s United Financial during the second quarter worth $30,000. Doyle Wealth Management acquired a new stake in shares of People’s United Financial during the second quarter worth $38,000. AGF Investments LLC acquired a new position in People’s United Financial in the second quarter valued at about $48,000. Pinebridge Investments L.P. raised its stake 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 valued at $53,000 after purchasing an additional 2,992 shares in the last quarter. Finally, CSat Investment Advisory L.P. raised its stake 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 valued at $62,000 after purchasing an additional 1,108 shares in the last quarter. 76.83% of the stock is owned by institutional investors.
About People’s United Financial
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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