1st Source (NASDAQ:SRCE) Downgraded by Zacks Research to Hold

Key Points

• Zacks Research downgraded 1st Source from “strong buy” to “hold,” contributing to a broader consensus “hold” rating. Analysts’ consensus price target is $89.67.
• 1st Source reported quarterly EPS of $1.95, exceeding the $1.71 estimate, while revenue of $118.16 million also topped expectations.
• The stock opened at $84.91, near its 52-week high of $91.46; institutional investors own 74.45% of shares, while an executive recently sold 500 shares.

1st Source (NASDAQ:SRCE - Get Free Report) was downgraded by equities researchers at Zacks Research from a "strong-buy" rating to a "hold" rating in a research report issued to clients and investors on Monday, Zacks reports.

Other analysts have also issued reports about the company. Keefe, Bruyette & Woods increased their price objective on 1st Source from $79.00 to $82.00 and gave the stock a "market perform" rating in a report on Monday, July 27th. Weiss Ratings cut 1st Source from a "buy (a-)" rating to a "buy (b+)" rating in a research note on Tuesday, July 28th. Piper Sandler lifted their target price on shares of 1st Source from $88.00 to $100.00 and gave the company an "overweight" rating in a research note on Tuesday, July 28th. Finally, DA Davidson increased their price target on shares of 1st Source from $77.00 to $87.00 and gave the stock a "neutral" rating in a research note on Monday, July 27th. Two research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company's stock. According to data from MarketBeat, 1st Source currently has a consensus rating of "Hold" and a consensus price target of $89.67.

1st Source Stock Performance

SRCE opened at $84.91 on Monday. The business has a 50 day moving average price of $86.94 and a two-hundred day moving average price of $79.11. 1st Source has a 1-year low of $56.89 and a 1-year high of $91.46. The company has a market capitalization of $2.04 billion, a price-to-earnings ratio of 13.02 and a beta of 0.56. The company has a debt-to-equity ratio of 0.07, a current ratio of 0.97 and a quick ratio of 0.97.

1st Source (NASDAQ:SRCE - Get Free Report) last posted its quarterly earnings results on Thursday, July 23rd. The financial services provider reported $1.95 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.71 by $0.24. 1st Source had a net margin of 28.09% and a return on equity of 12.94%. The firm had revenue of $118.16 million for the quarter, compared to analyst estimates of $114.13 million. Research analysts predict that 1st Source will post 7.26 EPS for the current fiscal year.

Insider Transactions at 1st Source

In other 1st Source news, CFO Brett Bauer sold 500 shares of the company's stock in a transaction dated Monday, August 10th. The shares were sold at an average price of $87.89, for a total transaction of $43,945.00. Following the completion of the sale, the chief financial officer directly owned 30,706 shares in the company, valued at $2,698,750.34. This represents a 1.60% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 20.17% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the business. 1ST Source Bank bought a new position in 1st Source during the second quarter worth $416,946,000. BlackRock Inc. bought a new stake in 1st Source in the 2nd quarter valued at $166,355,000. Jupiter Topco LLC acquired a new stake in 1st Source in the 2nd quarter worth $39,286,000. Janus Henderson Group PLC lifted its stake in shares of 1st Source by 37.4% in the first quarter. Janus Henderson Group PLC now owns 460,422 shares of the financial services provider's stock valued at $31,889,000 after buying an additional 125,248 shares during the period. Finally, Kennedy Capital Management LLC grew its position in 1st Source by 19.8% during the fourth quarter. Kennedy Capital Management LLC now owns 318,733 shares of the financial services provider's stock worth $19,918,000 after buying an additional 52,787 shares in the last quarter. 74.45% of the stock is owned by institutional investors.

1st Source Company Profile

1st Source Corporation is a financial services holding company headquartered in South Bend, Indiana. Its principal subsidiary, 1st Source Bank, provides banking and financial services to individuals, businesses, and institutions in northern Indiana and southwest Michigan.

The bank offers deposit accounts, consumer and commercial loans, mortgages, treasury management, cash management, and other traditional banking services. It also provides wealth management, trust and investment services, insurance solutions, and specialized financing for industries such as transportation, construction equipment, aircraft, and marine equipment.

Founded in 1863, 1st Source has developed a regional banking network serving communities across its primary market area.

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