Capital Bancorp (NASDAQ:CBNK) Posts Earnings Results, Misses Expectations By $0.04 EPS

Key Points

• Capital Bancorp reported a quarterly earnings per share (EPS) of $0.85, missing the estimate of $0.89 by $0.04.
• The company declared a quarterly dividend of $0.10, representing an annualized yield of 1.16% and a payout ratio of 16.13%.
• Increased interest from institutional investors is noted, with AQR Capital Management LLC raising its position in Capital Bancorp by 48.4% during the first quarter.

Capital Bancorp (NASDAQ:CBNK - Get Free Report) issued its quarterly earnings results on Monday. The financial services provider reported $0.85 earnings per share for the quarter, missing analysts' consensus estimates of $0.89 by ($0.04), Zacks reports. The firm had revenue of $60.75 million during the quarter, compared to the consensus estimate of $61.29 million. Capital Bancorp had a net margin of 15.14% and a return on equity of 16.06%.

Capital Bancorp Stock Performance

NASDAQ CBNK traded down $0.50 during trading hours on Friday, hitting $30.98. The company had a trading volume of 4,542 shares, compared to its average volume of 61,036. Capital Bancorp has a fifty-two week low of $22.68 and a fifty-two week high of $36.40. The firm has a market cap of $516.18 million, a P/E ratio of 11.57 and a beta of 0.69. The company has a quick ratio of 1.01, a current ratio of 1.03 and a debt-to-equity ratio of 0.09. The business has a fifty day simple moving average of $33.24 and a 200-day simple moving average of $30.94.

Capital Bancorp Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, August 27th. Shareholders of record on Monday, August 11th will be given a $0.12 dividend. This is a boost from Capital Bancorp's previous quarterly dividend of $0.10. This represents a $0.48 annualized dividend and a yield of 1.5%. The ex-dividend date of this dividend is Monday, August 11th. Capital Bancorp's dividend payout ratio is 14.98%.

Insider Activity

In other news, COO Steven M. Poynot acquired 750 shares of the company's stock in a transaction that occurred on Wednesday, May 14th. The shares were acquired at an average price of $33.35 per share, with a total value of $25,012.50. Following the acquisition, the chief operating officer directly owned 5,253 shares in the company, valued at approximately $175,187.55. The trade was a 16.66% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 31.59% of the company's stock.

Institutional Inflows and Outflows

A hedge fund recently raised its stake in Capital Bancorp stock. AQR Capital Management LLC grew its holdings in shares of Capital Bancorp, Inc. (NASDAQ:CBNK - Free Report) by 48.4% during the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 13,299 shares of the financial services provider's stock after buying an additional 4,336 shares during the period. AQR Capital Management LLC owned 0.08% of Capital Bancorp worth $377,000 as of its most recent filing with the Securities and Exchange Commission. 56.14% of the stock is owned by institutional investors.

Wall Street Analysts Forecast Growth

Several analysts have weighed in on the stock. Hovde Group boosted their target price on shares of Capital Bancorp from $35.00 to $39.00 and gave the company an "outperform" rating in a research note on Tuesday. Keefe, Bruyette & Woods boosted their price objective on shares of Capital Bancorp from $33.00 to $35.00 and gave the company a "market perform" rating in a research report on Monday, May 12th.

Capital Bancorp Company Profile

Capital Bancorp, Inc operates as the bank holding company for Capital Bank, N.A. that provides various banking products and services to businesses, not-for-profit associations, and entrepreneurs in Maryland, Virginia, and the District of Columbia. It operates through Commercial Banking, Capital Bank Home Loans, and OpenSky segments.