BankUnited (NYSE:BKU) Raised to Hold at Wall Street Zen

Key Points

• Wall Street Zen upgraded BankUnited from sell to hold, while the broader analyst view remains cautious with an average Hold rating and a consensus target price of $52.00.
• BankUnited reported Q2 EPS of $0.97, slightly below the $1.00 estimate, and revenue of $284.57 million, also below expectations. Revenue still rose 3.9% from a year earlier.
• The stock was down about 1.2% and recently traded at $46.39, below both its 50-day and 200-day moving averages. Insiders also sold shares recently, while institutional investors continue to own the vast majority of the stock.

BankUnited (NYSE:BKU - Get Free Report) was upgraded by equities research analysts at Wall Street Zen from a "sell" rating to a "hold" rating in a report issued on Saturday.

Several other analysts also recently commented on the stock. Zacks Research downgraded shares of BankUnited from a "strong-buy" rating to a "hold" rating in a report on Tuesday. Keefe, Bruyette & Woods reduced their price objective on shares of BankUnited from $55.00 to $50.00 and set a "market perform" rating for the company in a research report on Thursday, April 23rd. Weiss Ratings upgraded shares of BankUnited from a "buy (b-)" rating to a "buy (b)" rating in a research note on Friday, May 29th. Royal Bank Of Canada dropped their target price on shares of BankUnited from $53.00 to $50.00 and set a "sector perform" rating on the stock in a research report on Thursday. Finally, Jefferies Financial Group restated a "buy" rating on shares of BankUnited in a research note on Wednesday. Seven equities research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat.com, BankUnited has an average rating of "Hold" and a consensus target price of $52.00.

BankUnited Stock Down 1.2%

Shares of NYSE:BKU opened at $46.39 on Friday. The business's 50 day moving average is $47.67 and its 200 day moving average is $47.04. BankUnited has a 12-month low of $34.79 and a 12-month high of $52.11. The stock has a market cap of $3.37 billion, a price-to-earnings ratio of 12.71 and a beta of 1.17. The company has a quick ratio of 0.82, a current ratio of 0.82 and a debt-to-equity ratio of 0.54.

BankUnited (NYSE:BKU - Get Free Report) last released its quarterly earnings results on Wednesday, July 22nd. The financial services provider reported $0.97 EPS for the quarter, missing analysts' consensus estimates of $1.00 by ($0.03). BankUnited had a net margin of 14.76% and a return on equity of 9.13%. The company had revenue of $284.57 million during the quarter, compared to analysts' expectations of $290.33 million. The company's quarterly revenue was up 3.9% compared to the same quarter last year. During the same period in the previous year, the company posted $0.91 earnings per share. On average, sell-side analysts forecast that BankUnited will post 4.1 earnings per share for the current fiscal year.

Insider Activity

In other news, insider Jay D. Richards sold 4,000 shares of the firm's stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $48.67, for a total transaction of $194,680.00. Following the completion of the sale, the insider owned 40,502 shares in the company, valued at $1,971,232.34. This trade represents a 8.99% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director John N. Digiacomo sold 1,000 shares of BankUnited stock in a transaction that occurred 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 directly owned 15,027 shares in the company, valued at $690,791.19. This trade represents a 6.24% decrease in their position. The SEC filing for this sale provides additional information. Insiders own 1.00% of the company's stock.

Institutional Trading of BankUnited

A number of large investors have recently bought and sold shares of BKU. Dimensional Fund Advisors LP lifted its position in shares of BankUnited by 0.6% during the 1st quarter. Dimensional Fund Advisors LP now owns 4,658,844 shares of the financial services provider's stock valued at $210,390,000 after buying an additional 26,292 shares during the last quarter. State Street Corp increased its holdings in BankUnited by 3.5% in the 4th quarter. State Street Corp now owns 4,437,792 shares of the financial services provider's stock worth $197,792,000 after acquiring an additional 149,450 shares during the last quarter. HoldCo Asset Management LP increased its holdings in BankUnited by 277.3% in the 4th quarter. HoldCo Asset Management LP now owns 3,535,282 shares of the financial services provider's stock worth $157,568,000 after acquiring an additional 2,598,382 shares during the last quarter. Wellington Management Group LLP raised its stake in BankUnited by 2.8% in the 4th quarter. Wellington Management Group LLP now owns 3,155,793 shares of the financial services provider's stock valued at $140,654,000 after acquiring an additional 84,971 shares during the period. Finally, Artemis Investment Management LLP bought a new stake in BankUnited in the 4th quarter valued at about $73,655,000. 99.70% of the stock is owned by hedge funds and other institutional investors.

BankUnited Company Profile

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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