Wall Street Zen Downgrades S&T Bancorp (NASDAQ:STBA) to Sell

Key Points

• Wall Street Zen downgraded S&T Bancorp to “sell” from “hold,” while the broader analyst consensus remains “hold,” with an average price target of $51.60.
• S&T Bancorp shares opened at $49.64, with a $1.75 billion market capitalization and a 52-week trading range of $34.38 to $53.50.
• The company beat quarterly expectations, reporting $1.02 in EPS versus a $0.92 estimate, and authorized a $100 million stock buyback covering up to 5.6% of outstanding shares.

S&T Bancorp (NASDAQ:STBA - Get Free Report) was downgraded by analysts at Wall Street Zen from a "hold" rating to a "sell" rating in a research report issued to clients and investors on Saturday, Wall Street Zen reports.

Several other brokerages have also issued reports on STBA. Raymond James Financial initiated coverage on shares of S&T Bancorp in a report on Thursday. They issued a "market perform" rating for the company. Keefe, Bruyette & Woods raised their price objective on S&T Bancorp from $49.00 to $52.00 and gave the stock a "market perform" rating in a research note on Monday, July 27th. Zacks Research lowered S&T Bancorp from a "strong-buy" rating to a "hold" rating in a report on Friday, September 25th. Piper Sandler lifted their price objective on S&T Bancorp from $51.00 to $53.00 and gave the company a "neutral" rating in a report on Monday, July 27th. Finally, Hovde Group reiterated a "market perform" rating and issued a $54.00 price target (up from $47.00) on shares of S&T Bancorp in a report on Monday, July 27th. Two analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of "Hold" and an average target price of $51.60.

S&T Bancorp Stock Up 1.3%

S&T Bancorp stock opened at $49.64 on Friday. The firm has a market capitalization of $1.75 billion, a price-to-earnings ratio of 13.20 and a beta of 0.85. The company's 50 day simple moving average is $50.48 and its 200 day simple moving average is $47.16. The company has a debt-to-equity ratio of 0.05, a current ratio of 0.99 and a quick ratio of 0.99. S&T Bancorp has a fifty-two week low of $34.38 and a fifty-two week high of $53.50.

S&T Bancorp (NASDAQ:STBA - Get Free Report) last issued its earnings results on Thursday, July 23rd. The financial services provider reported $1.02 EPS for the quarter, beating the consensus estimate of $0.92 by $0.10. The firm had revenue of $105.24 million during the quarter, compared to the consensus estimate of $104.43 million. S&T Bancorp had a net margin of 24.51% and a return on equity of 9.74%. As a group, sell-side analysts anticipate that S&T Bancorp will post 3.95 EPS for the current year.

S&T Bancorp declared that its Board of Directors has approved a stock buyback program on Thursday, July 23rd that allows the company to buyback $100.00 million in shares. This buyback authorization allows the financial services provider to reacquire up to 5.6% of its stock through open market purchases. Stock buyback programs are typically a sign that the company's management believes its stock is undervalued.

Insider Transactions at S&T Bancorp

In other S&T Bancorp news, Director William Hieb sold 11,979 shares of the business's stock in a transaction dated Wednesday, August 12th. The shares were sold at an average price of $51.34, for a total transaction of $615,001.86. Following the sale, the director directly owned 17,344 shares of the company's stock, valued at $890,440.96. The trade was a 40.85% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this link. Insiders own 1.23% of the company's stock.

Institutional Trading of S&T Bancorp

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Royal Bank of Canada lifted its stake in S&T Bancorp by 5.0% in the first quarter. Royal Bank of Canada now owns 5,675 shares of the financial services provider's stock valued at $238,000 after acquiring an additional 269 shares during the last quarter. Amundi increased its stake in shares of S&T Bancorp by 4.2% during the 2nd quarter. Amundi now owns 6,822 shares of the financial services provider's stock worth $335,000 after purchasing an additional 273 shares during the last quarter. GAMMA Investing LLC increased its stake in shares of S&T Bancorp by 16.4% during the 2nd quarter. GAMMA Investing LLC now owns 2,018 shares of the financial services provider's stock worth $99,000 after purchasing an additional 285 shares during the last quarter. Inspire Investing LLC raised its holdings in shares of S&T Bancorp by 3.6% in the 1st quarter. Inspire Investing LLC now owns 12,270 shares of the financial services provider's stock valued at $513,000 after purchasing an additional 423 shares during the period. Finally, Public Employees Retirement System of Ohio bought a new stake in shares of S&T Bancorp in the 2nd quarter valued at about $29,000. Institutional investors and hedge funds own 65.22% of the company's stock.

About S&T Bancorp

S&T Bancorp, Inc is a bank holding company headquartered in Indiana, Pennsylvania. Its principal subsidiary, S&T Bank, provides banking and financial services to consumers, businesses and institutions.

S&T Bank offers deposit accounts, residential and commercial real estate loans, consumer lending, business financing, treasury and cash-management services, online and mobile banking, and mortgage services. Through its wealth-management and trust operations, the bank also provides investment management, financial planning, fiduciary and estate-related services.

Founded in 1902, S&T Bancorp serves customers through a network of offices and digital banking channels in western and central Pennsylvania and eastern Ohio.

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