BankUnited (NYSE:BKU) Lowered to "Hold" Rating by Zacks Research

Key Points

• Zacks Research downgraded BankUnited from a “strong-buy” to a “hold” rating, and also lowered several future earnings estimates, including its FY2027 EPS forecast to $4.68.
• BankUnited’s latest quarterly results were below expectations, with EPS of $0.97 versus the $1.00 consensus and revenue of $284.57 million versus the expected $290.33 million.
• Analyst sentiment remains mixed overall: the stock currently has an average “Hold” rating and a consensus price target of $52.73, while institutional investors continue to own the vast majority of shares.

BankUnited (NYSE:BKU - Get Free Report) was downgraded by equities research analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a note issued to investors on Tuesday,Zacks.com reports. Zacks Research also issued estimates for BankUnited's Q1 2027 earnings at $1.12 EPS, Q2 2027 earnings at $1.12 EPS, Q3 2027 earnings at $1.17 EPS, Q4 2027 earnings at $1.28 EPS, FY2027 earnings at $4.68 EPS, Q1 2028 earnings at $1.33 EPS and Q2 2028 earnings at $1.36 EPS.

Other research analysts also recently issued reports about the stock. Hovde Group reduced their target price on shares of BankUnited from $57.00 to $53.00 and set an "outperform" rating for the company in a research report on Thursday, April 23rd. Jefferies Financial Group reaffirmed a "buy" rating on shares of BankUnited in a report on Wednesday. Citigroup downgraded BankUnited from a "neutral" rating to a "sell" rating and dropped their price objective for the company from $50.00 to $45.00 in a research note on Tuesday, June 30th. Wells Fargo & Company increased their price objective on BankUnited from $50.00 to $55.00 and gave the company an "overweight" rating in a report on Monday, March 30th. Finally, Weiss Ratings raised BankUnited from a "buy (b-)" rating to a "buy (b)" rating in a research report on Friday, May 29th. Seven equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat, BankUnited has an average rating of "Hold" and an average price target of $52.73.

BankUnited Stock Performance

Shares of BankUnited stock opened at $45.99 on Tuesday. BankUnited has a 52 week low of $34.79 and a 52 week high of $52.11. The company has a quick ratio of 0.82, a current ratio of 0.82 and a debt-to-equity ratio of 0.58. The business has a 50 day moving average price of $47.63 and a 200-day moving average price of $47.03. The company has a market cap of $3.34 billion, a PE ratio of 12.81 and a beta of 1.17.

BankUnited (NYSE:BKU - Get Free Report) last announced its earnings results on Wednesday, July 22nd. The financial services provider reported $0.97 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.00 by ($0.03). The company had revenue of $284.57 million for the quarter, compared to analysts' expectations of $290.33 million. BankUnited had a net margin of 14.46% and a return on equity of 9.11%. The firm's quarterly revenue was up 3.9% on a year-over-year basis. During the same period in the previous year, the firm earned $0.91 EPS. Equities analysts anticipate that BankUnited will post 4.16 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, Director John N. Digiacomo sold 1,000 shares of BankUnited stock in a transaction on Monday, June 1st. The stock was sold at an average price of $45.97, for a total transaction of $45,970.00. Following the completion of the sale, the director owned 15,027 shares of the company's stock, valued at approximately $690,791.19. This trade represents a 6.24% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Jay D. Richards sold 4,000 shares of the business's stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $48.67, for a total value of $194,680.00. Following the transaction, the insider owned 40,502 shares of the company's stock, valued at approximately $1,971,232.34. The trade was a 8.99% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Company insiders own 1.00% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of BKU. Assenagon Asset Management S.A. increased its position in shares of BankUnited by 47.2% in the second quarter. Assenagon Asset Management S.A. now owns 254,990 shares of the financial services provider's stock worth $12,354,000 after purchasing an additional 81,741 shares during the last quarter. GAMMA Investing LLC grew its stake in BankUnited by 8.0% in the 2nd quarter. GAMMA Investing LLC now owns 6,620 shares of the financial services provider's stock worth $321,000 after buying an additional 491 shares in the last quarter. Bank of America Corp DE grew its stake in BankUnited by 9.0% in the 1st quarter. Bank of America Corp DE now owns 819,548 shares of the financial services provider's stock worth $37,011,000 after buying an additional 67,981 shares in the last quarter. Edgestream Partners L.P. purchased a new position in BankUnited in the 1st quarter worth approximately $6,797,000. Finally, Amundi increased its holdings in shares of BankUnited by 31.4% in the 1st quarter. Amundi now owns 15,300 shares of the financial services provider's stock worth $691,000 after buying an additional 3,660 shares during the last quarter. Hedge funds and other institutional investors own 99.70% of the company's stock.

BankUnited News Roundup

Here are the key news stories impacting BankUnited this week:

• Negative Sentiment: BankUnited reported Q2 diluted EPS of $0.97, missing Wall Street estimates, while revenue also came in below expectations. The miss appears to be the main reason shares are falling. BankUnited, Inc. Reports 2Q 2026 Net Income of $71 million, $0.97 Diluted EPS
• Negative Sentiment: Loan growth was muted, with average total loans essentially flat year over year and sequentially, raising concerns about top-line momentum even as the bank improved deposit mix and net interest margin. BankUnited, Inc. (BKU) Q2 2026 Earnings Call Transcript
• Neutral Sentiment: Positives in the quarter included net income of about $71 million, net interest margin improving to 3.06%, and average core deposits rising, which suggest underlying operating trends are stabilizing.
• Neutral Sentiment: Analyst commentary remained mixed: Zacks Research still called BKU a Strong-Buy, but trimmed several future EPS estimates and lowered its FY2027 forecast, reflecting a more cautious earnings outlook.

About BankUnited

BankUnited, Inc is a bank holding company based in Miami Lakes, Florida, operating through its subsidiary BankUnited, National Association. The company provides a broad range of commercial banking products and services, including deposit accounts, commercial lending and treasury management. It serves middle-market and small-business clients, offering tailored financing solutions across a variety of industry sectors.

The bank's lending portfolio includes commercial and industrial loans, commercial real estate loans and construction financing, as well as residential mortgage lending.

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