Business First Bancshares, Inc. (NASDAQ:BFST) Sees Significant Growth in Short Interest

Key Points

• Short interest in Business First Bancshares surged 48.3% in March to 524,620 shares as of March 31, equal to about 1.7% of shares outstanding and a 2.3 days-to-cover ratio.
• Several analysts raised ratings and targets (Raymond James, DA Davidson, Weiss, Stephens), leaving a MarketBeat consensus of Buy with an average price target of $33.00.
• Insiders have traded recently (13,778 shares sold in the last 90 days; Director Mark Folse sold 5,146 while Director Rick Day bought 1,500) and the company reported a Q4 EPS beat ($0.79 vs. $0.72), pays a $0.15 quarterly dividend (annualized yield ~2.1%), and has a market cap near $936M (P/E ~10.3).

Business First Bancshares, Inc. (NASDAQ:BFST - Get Free Report) was the recipient of a large increase in short interest during the month of March. As of March 31st, there was short interest totaling 524,620 shares, an increase of 48.3% from the March 15th total of 353,682 shares. Based on an average daily trading volume, of 227,588 shares, the days-to-cover ratio is currently 2.3 days. Currently, 1.7% of the company's stock are sold short.

Insider Buying and Selling

In related news, Director Mark P. Folse sold 5,146 shares of the business's stock in a transaction on Monday, February 9th. The stock was sold at an average price of $29.75, for a total transaction of $153,093.50. Following the transaction, the director directly owned 58,140 shares in the company, valued at $1,729,665. The trade was a 8.13% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, Director Rick D. Day bought 1,500 shares of the company's stock in a transaction that occurred on Tuesday, January 27th. The shares were acquired at an average price of $27.55 per share, for a total transaction of $41,325.00. Following the completion of the purchase, the director owned 267,385 shares in the company, valued at $7,366,456.75. The trade was a 0.56% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders have sold a total of 13,778 shares of company stock worth $399,361 in the last ninety days. 6.45% of the stock is owned by insiders.

Institutional Trading of Business First Bancshares

A number of hedge funds have recently modified their holdings of BFST. State of Alaska Department of Revenue purchased a new stake in shares of Business First Bancshares in the third quarter worth about $28,000. Jones Financial Companies Lllp acquired a new position in Business First Bancshares in the 3rd quarter worth about $29,000. Smartleaf Asset Management LLC raised its holdings in Business First Bancshares by 15,600.0% in the 4th quarter. Smartleaf Asset Management LLC now owns 1,099 shares of the company's stock worth $29,000 after purchasing an additional 1,092 shares during the period. Delos Wealth Advisors LLC acquired a new position in Business First Bancshares in the 3rd quarter worth about $30,000. Finally, FWL Investment Management LLC acquired a new position in Business First Bancshares in the 3rd quarter worth about $42,000. Hedge funds and other institutional investors own 47.35% of the company's stock.

Wall Street Analysts Forecast Growth

BFST has been the topic of several research analyst reports. Raymond James Financial boosted their target price on Business First Bancshares from $30.00 to $31.00 and gave the stock an "outperform" rating in a research note on Wednesday, January 7th. DA Davidson boosted their target price on Business First Bancshares from $32.00 to $33.00 and gave the stock a "buy" rating in a research note on Monday, January 26th. Weiss Ratings upgraded Business First Bancshares from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Wednesday, February 11th. Finally, Stephens increased their price objective on Business First Bancshares from $34.00 to $35.00 and gave the company an "overweight" rating in a report on Friday, January 23rd. Four analysts have rated the stock with a Buy rating, According to MarketBeat.com, the stock has a consensus rating of "Buy" and an average target price of $33.00.

Business First Bancshares Trading Up 0.2%

Business First Bancshares stock opened at $28.63 on Tuesday. The company has a quick ratio of 1.01, a current ratio of 1.01 and a debt-to-equity ratio of 0.64. Business First Bancshares has a 52 week low of $21.40 and a 52 week high of $30.32. The company has a market capitalization of $935.91 million, a price-to-earnings ratio of 10.26 and a beta of 0.82. The stock has a 50-day moving average price of $27.77 and a 200 day moving average price of $26.43.

Business First Bancshares (NASDAQ:BFST - Get Free Report) last released its earnings results on Thursday, January 22nd. The company reported $0.79 EPS for the quarter, topping analysts' consensus estimates of $0.72 by $0.07. Business First Bancshares had a return on equity of 11.25% and a net margin of 17.01%.The firm had revenue of $69.44 million during the quarter, compared to the consensus estimate of $81.41 million. Sell-side analysts anticipate that Business First Bancshares will post 2.72 EPS for the current year.

Business First Bancshares Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Saturday, February 28th. Stockholders of record on Sunday, February 15th were paid a $0.15 dividend. The ex-dividend date was Friday, February 13th. This represents a $0.60 dividend on an annualized basis and a dividend yield of 2.1%. Business First Bancshares's dividend payout ratio is presently 21.51%.

Business First Bancshares Company Profile

Business First Bancshares, Inc is the bank holding company for Business First Bank, a regional community bank headquartered in Louisville, Kentucky. Through its wholly owned subsidiary, the company provides a full suite of commercial and retail banking services to small and medium-sized businesses, professionals and individual consumers. Business First Bancshares operates under a community-focused model, emphasizing personalized service, local decision-making and relationship banking.

The company’s primary business activities include commercial lending, treasury and cash management, and deposit services.

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