Hilltop (NYSE:HTH) Stock Gets Downgrade from Wall Street Zen

Key Points

• Wall Street Zen downgraded Hilltop to “strong sell”, while the broader analyst consensus remains “Hold” with an average price target of $40.00.
• Hilltop shares opened at $36.33, down 2.5%, after the company reported quarterly EPS of $0.44, missing the $0.64 consensus estimate, and revenue of $309.51 million, below expectations.
• Profitability weakened as common-stockholder income fell to $24.9 million and the company recorded a $10.2 million provision for credit losses; insiders sold 52,555 shares worth about $2.1 million during the last quarter.

Hilltop (NYSE:HTH - Get Free Report) was downgraded by analysts at Wall Street Zen from a "sell" rating to a "strong sell" rating in a report released on Saturday, Wall Street Zen reports.

Other equities analysts have also recently issued reports about the stock. Raymond James Financial cut shares of Hilltop from a "market perform" rating to an "underperform" rating in a research note on Tuesday, October 6th. Zacks Research cut Hilltop from a "strong-buy" rating to a "hold" rating in a report on Wednesday, October 7th. Keefe, Bruyette & Woods lifted their price target on Hilltop from $40.00 to $42.00 and gave the company a "market perform" rating in a research note on Wednesday, August 5th. Weiss Ratings raised Hilltop from a "buy (b)" rating to a "buy (b+)" rating in a research note on Wednesday. Finally, Piper Sandler reaffirmed a "neutral" rating and issued a $42.00 price objective on shares of Hilltop in a research note on Tuesday, July 28th. One investment analyst has rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $40.00.

Hilltop Stock Down 2.5%

Shares of NYSE HTH opened at $36.33 on Friday. The company has a market cap of $2.08 billion, a price-to-earnings ratio of 15.53 and a beta of 0.89. The firm's 50-day simple moving average is $38.00 and its 200 day simple moving average is $38.04. Hilltop has a 12-month low of $31.75 and a 12-month high of $40.41.

Hilltop (NYSE:HTH - Get Free Report) last issued its earnings results on Thursday, October 22nd. The financial services provider reported $0.44 EPS for the quarter, missing the consensus estimate of $0.64 by ($0.20). Hilltop had a net margin of 9.08% and a return on equity of 6.47%. The firm had revenue of $309.51 million during the quarter, compared to the consensus estimate of $320.37 million. During the same period in the previous year, the company posted $0.74 EPS. On average, equities analysts expect that Hilltop will post 2.55 earnings per share for the current year.

Insider Activity at Hilltop

In other Hilltop news, Director Rhodes Bobbitt sold 5,000 shares of the business's stock in a transaction dated Monday, August 24th. The shares were sold at an average price of $38.80, for a total value of $194,000.00. Following the transaction, the director directly owned 25,641 shares in the company, valued at $994,870.80. The trade was a 16.32% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. In the last quarter, insiders sold 52,555 shares of company stock worth $2,087,714. Insiders own 5.40% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the business. Canton Hathaway LLC lifted its holdings in shares of Hilltop by 23.1% in the third quarter. Canton Hathaway LLC now owns 9,060 shares of the financial services provider's stock worth $341,000 after buying an additional 1,700 shares in the last quarter. Nisa Investment Advisors LLC grew its holdings in shares of Hilltop by 36.6% during the 3rd quarter. Nisa Investment Advisors LLC now owns 2,127 shares of the financial services provider's stock valued at $80,000 after purchasing an additional 570 shares during the last quarter. Counterpoint Mutual Funds LLC bought a new position in shares of Hilltop in the third quarter worth approximately $267,000. Ellsworth Advisors LLC bought a new stake in Hilltop in the third quarter valued at $1,075,000. Finally, Fortitude Family Office LLC grew its holdings in shares of Hilltop by 4,411.1% during the 3rd quarter. Fortitude Family Office LLC now owns 3,248 shares of the financial services provider's stock worth $122,000 after acquiring an additional 3,176 shares during the period. 57.13% of the stock is currently owned by hedge funds and other institutional investors.

Key Headlines Impacting Hilltop

Here are the key news stories impacting Hilltop this week:

• Positive Sentiment: Hilltop maintained its quarterly dividend at $0.22 per share, equivalent to $0.88 annually and a yield of approximately 2.4%. The dividend is payable November 20 to shareholders of record on November 6. Hilltop Holdings Announces Q3 2026 Earnings and Declares Quarterly Dividend
• Positive Sentiment: Net interest income increased to $122.4 million from $112.4 million a year earlier, while net interest margin improved to 3.33% from 3.21% in the prior quarter. Hilltop also repurchased 512,075 shares for $20 million, signaling continued capital returns. Hilltop Holdings Announces Third-Quarter Financial Results
• Neutral Sentiment: Management’s earnings call and presentation may provide further detail on credit quality, mortgage activity, and the outlook. Mortgage loan originations were $2.2 billion, modestly below $2.3 billion a year earlier. Hilltop Holdings Q3 2026 Earnings Call Transcript
• Negative Sentiment: Profitability weakened broadly: income attributable to common stockholders dropped to $24.9 million from $45.8 million, noninterest income declined 14.1% to $187.1 million, and the company recorded a $10.2 million provision for credit losses, compared with a $2.5 million reversal last year. Hilltop Holdings Q3 Earnings and Revenues Miss Estimates

Hilltop Company Profile

Hilltop Holdings Inc NYSE: HTH is a Dallas-based financial services holding company. Through its operating subsidiaries, the company provides commercial and consumer banking, mortgage lending, and securities brokerage and investment-banking services.

PlainsCapital Bank is Hilltop's banking subsidiary and serves businesses, professionals, and individuals primarily in Texas. Its offerings include commercial and real estate lending, deposit accounts, treasury management, wealth management, and other banking services.

Hilltop also operates PrimeLending, a residential mortgage lender that originates home loans through a network of loan officers and offices across the United States.

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