BankUnited (NYSE:BKU) Releases Earnings Results, Misses Expectations By $0.03 EPS

Key Points

• BankUnited reported quarterly EPS of $0.97, missing Wall Street’s estimate of $1.00 by $0.03. The result was still above the $0.91 earned in the same quarter last year.
• The stock was little changed after the report, opening at $48.03, with the company valued at about $3.49 billion and carrying a 2.7% dividend yield. BankUnited also announced a quarterly dividend of $0.33 per share, payable July 31.
• Analyst sentiment remains generally positive, with a consensus rating of Moderate Buy and an average price target of $52.73. Recent research firms have both raised and lowered targets, while insider sales and heavy institutional ownership were also noted.

BankUnited (NYSE:BKU - Get Free Report) announced its quarterly earnings results on Wednesday. The financial services provider reported $0.97 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.00 by ($0.03), Briefing.com reports. BankUnited had a net margin of 14.46% and a return on equity of 9.11%. During the same period in the previous year, the business posted $0.91 earnings per share.

BankUnited Stock Down 0.0%

NYSE:BKU opened at $48.03 on Wednesday. BankUnited has a fifty-two week low of $34.79 and a fifty-two week high of $52.11. The stock has a market capitalization of $3.49 billion, a P/E ratio of 13.38 and a beta of 1.17. The company has a debt-to-equity ratio of 0.58, a quick ratio of 0.82 and a current ratio of 0.82. The company's 50-day simple moving average is $47.63 and its 200-day simple moving average is $47.02.

BankUnited Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, July 31st. Stockholders of record on Friday, July 10th will be issued a $0.33 dividend. This represents a $1.32 dividend on an annualized basis and a dividend yield of 2.7%. The ex-dividend date is Friday, July 10th. BankUnited's dividend payout ratio (DPR) is currently 36.77%.

Wall Street Analyst Weigh In

A number of brokerages have weighed in on BKU. Wells Fargo & Company lifted their target price on BankUnited from $50.00 to $55.00 and gave the company an "overweight" rating in a research report on Monday, March 30th. Hovde Group cut their price target on BankUnited from $57.00 to $53.00 and set an "outperform" rating on the stock in a research note on Thursday, April 23rd. Zacks Research raised shares of BankUnited from a "hold" rating to a "strong-buy" rating in a research note on Monday, June 22nd. Keefe, Bruyette & Woods dropped their target price on shares of BankUnited from $55.00 to $50.00 and set a "market perform" rating on the stock in a report on Thursday, April 23rd. Finally, Barclays cut their target price on shares of BankUnited from $53.00 to $52.00 and set an "equal weight" rating on the stock in a research report on Tuesday, July 7th. One equities research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, four have issued a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, BankUnited has an average rating of "Moderate Buy" and a consensus price target of $52.73.

Insider Activity at BankUnited

In related news, Director John N. Digiacomo sold 1,000 shares of the business's stock in a transaction that occurred on Monday, June 1st. The shares were sold at an average price of $45.97, for a total transaction of $45,970.00. Following the completion of the transaction, the director owned 15,027 shares in the company, valued at $690,791.19. The trade was a 6.24% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, insider Jay D. Richards sold 4,000 shares of the 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 sale, the insider directly owned 40,502 shares of the company's stock, valued at $1,971,232.34. The trade was a 8.99% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders own 1.00% of the company's stock.

Institutional Trading of BankUnited

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Strs Ohio purchased a new position in BankUnited during the 1st quarter worth $28,000. Kestra Advisory Services LLC acquired a new position in BankUnited during the 4th quarter valued at about $35,000. Quarry LP raised its stake in BankUnited by 158.2% in the third quarter. Quarry LP now owns 940 shares of the financial services provider's stock valued at $36,000 after buying an additional 576 shares during the last quarter. EverSource Wealth Advisors LLC raised its stake in BankUnited by 141.9% in the second quarter. EverSource Wealth Advisors LLC now owns 1,531 shares of the financial services provider's stock valued at $54,000 after buying an additional 898 shares during the last quarter. Finally, Smartleaf Asset Management LLC boosted its holdings in BankUnited by 24.7% in the fourth quarter. Smartleaf Asset Management LLC now owns 1,810 shares of the financial services provider's stock worth $81,000 after acquiring an additional 358 shares in the last quarter. Hedge funds and other institutional investors own 99.70% of the company's stock.

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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