DA Davidson Forecasts Strong Price Appreciation for 1st Source (NASDAQ:SRCE) Stock

Key Points

• DA Davidson has raised the price target for 1st Source (NASDAQ:SRCE) from $65.00 to $67.00, indicating an expected upside of 8.28% from the current stock price.
• For the last quarter, 1st Source reported earnings of $1.51 per share, exceeding analysts' expectations of $1.49 per share, alongside revenues of $108.25 million.
• Recent activity among institutional investors includes a substantial increase in stakes, with 74.45% of the stock now owned by hedge funds and other investors.

1st Source (NASDAQ:SRCE - Free Report) had its target price boosted by DA Davidson from $65.00 to $67.00 in a research report report published on Tuesday morning,Benzinga reports. DA Davidson currently has a neutral rating on the financial services provider's stock. DA Davidson also issued estimates for 1st Source's Q3 2025 earnings at $1.58 EPS, FY2025 earnings at $6.20 EPS and FY2026 earnings at $6.28 EPS.

Several other equities research analysts have also issued reports on the stock. Keefe, Bruyette & Woods restated a "market perform" rating and set a $69.00 price target (up previously from $67.00) on shares of 1st Source in a research note on Monday, July 28th. Piper Sandler raised their price target on shares of 1st Source from $75.00 to $80.00 and gave the stock an "overweight" rating in a research note on Monday, July 28th. Finally, Weiss Ratings restated a "buy (b)" rating on shares of 1st Source in a research note on Saturday, July 12th.

1st Source Stock Performance

Shares of 1st Source stock traded down $1.03 during mid-day trading on Tuesday, hitting $58.79. 106,367 shares of the stock were exchanged, compared to its average volume of 74,044. 1st Source has a 12 month low of $52.14 and a 12 month high of $68.13. The company has a 50-day simple moving average of $61.91 and a 200 day simple moving average of $61.13. The company has a debt-to-equity ratio of 0.08, a quick ratio of 0.96 and a current ratio of 0.97. The company has a market capitalization of $1.44 billion, a P/E ratio of 10.30 and a beta of 0.71.

1st Source (NASDAQ:SRCE - Get Free Report) last posted its earnings results on Thursday, July 24th. The financial services provider reported $1.51 EPS for the quarter, topping the consensus estimate of $1.49 by $0.02. 1st Source had a net margin of 24.02% and a return on equity of 11.94%. The firm had revenue of $108.25 million for the quarter, compared to analysts' expectations of $104.67 million. Sell-side analysts anticipate that 1st Source will post 5.82 earnings per share for the current fiscal year.

1st Source Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, August 15th. Investors of record on Tuesday, August 5th will be paid a $0.38 dividend. This represents a $1.52 dividend on an annualized basis and a yield of 2.6%. The ex-dividend date is Tuesday, August 5th. 1st Source's payout ratio is currently 26.62%.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of SRCE. Vanguard Group Inc. grew its stake in 1st Source by 15.2% in the 1st quarter. Vanguard Group Inc. now owns 1,068,094 shares of the financial services provider's stock valued at $63,883,000 after buying an additional 140,698 shares in the last quarter. Nuveen LLC purchased a new position in 1st Source in the 1st quarter valued at approximately $7,012,000. Hotchkis & Wiley Capital Management LLC grew its stake in 1st Source by 157.4% in the 1st quarter. Hotchkis & Wiley Capital Management LLC now owns 151,497 shares of the financial services provider's stock valued at $9,061,000 after buying an additional 92,650 shares in the last quarter. Nuveen Asset Management LLC grew its stake in 1st Source by 154.4% in the 4th quarter. Nuveen Asset Management LLC now owns 139,017 shares of the financial services provider's stock valued at $8,116,000 after buying an additional 84,378 shares in the last quarter. Finally, American Century Companies Inc. grew its stake in 1st Source by 57.8% in the 1st quarter. American Century Companies Inc. now owns 188,763 shares of the financial services provider's stock valued at $11,290,000 after buying an additional 69,124 shares in the last quarter. 74.45% of the stock is currently owned by hedge funds and other institutional investors.

1st Source Company Profile

1st Source Corporation operates as the bank holding company for 1st Source Bank that provides commercial and consumer banking services, trust and wealth advisory services, and insurance products to individual and business clients. Its consumer banking services include checking and savings accounts; certificates of deposit; individual retirement accounts; online and mobile banking products; consumer loans, real estate mortgage loans, and home equity lines of credit; and financial planning, financial literacy, and other consultative services, as well as debit and credit cards.