Capital Bancorp (NASDAQ:CBNK) Stock Price Expected to Rise, Keefe, Bruyette & Woods Analyst Says

Key Points

• Keefe, Bruyette & Woods raised its price target on Capital Bancorp to $34 (from $32) with a "market perform" rating, implying about an 8.5% upside$35.33.
• Shares traded at $31.33 on the latest session (up $0.96), the company reported $0.73 EPS for the quarter (missing the $0.78 estimate) while revenue slightly beat expectations at $62.77 million; market cap is roughly $511M with a P/E of 9.46.
• Institutional investors own about 56.14% of the stock, with several funds (AllianceBernstein, Geode, Dimensional, Kennedy, Bridgeway) modestly increasing positions in recent quarters.

Capital Bancorp (NASDAQ:CBNK - Get Free Report) had its price target increased by analysts at Keefe, Bruyette & Woods from $32.00 to $34.00 in a research report issued to clients and investors on Wednesday,Benzinga reports. The brokerage presently has a "market perform" rating on the financial services provider's stock. Keefe, Bruyette & Woods' price objective would indicate a potential upside of 8.54% from the company's current price.

Separately, Weiss Ratings raised Capital Bancorp from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Wednesday, March 4th. Three research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company's stock. Based on data from MarketBeat, Capital Bancorp presently has a consensus rating of "Moderate Buy" and an average price target of $35.33.

Capital Bancorp Price Performance

Shares of CBNK traded up $0.96 during trading hours on Wednesday, hitting $31.33. 27,540 shares of the stock were exchanged, compared to its average volume of 59,772. The company has a debt-to-equity ratio of 0.13, a quick ratio of 1.02 and a current ratio of 1.03. Capital Bancorp has a 12-month low of $26.40 and a 12-month high of $36.40. The company has a market cap of $510.91 million, a price-to-earnings ratio of 9.46 and a beta of 0.59. The stock's 50-day moving average price is $30.27 and its two-hundred day moving average price is $29.55.

Capital Bancorp (NASDAQ:CBNK - Get Free Report) last issued its quarterly earnings results on Monday, April 27th. The financial services provider reported $0.73 EPS for the quarter, missing the consensus estimate of $0.78 by ($0.05). Capital Bancorp had a return on equity of 13.62% and a net margin of 17.48%.The firm had revenue of $62.77 million for the quarter, compared to analysts' expectations of $62.42 million. Research analysts expect that Capital Bancorp will post 3.3 earnings per share for the current year.

Institutional Investors Weigh In On Capital Bancorp

A number of hedge funds have recently bought and sold shares of the stock. Alliancebernstein L.P. raised its position in Capital Bancorp by 1.2% in the 2nd quarter. Alliancebernstein L.P. now owns 622,483 shares of the financial services provider's stock valued at $20,903,000 after purchasing an additional 7,510 shares in the last quarter. Geode Capital Management LLC raised its position in Capital Bancorp by 1.5% in the 4th quarter. Geode Capital Management LLC now owns 340,712 shares of the financial services provider's stock valued at $9,600,000 after purchasing an additional 5,016 shares in the last quarter. Dimensional Fund Advisors LP raised its position in Capital Bancorp by 5.6% in the 4th quarter. Dimensional Fund Advisors LP now owns 338,202 shares of the financial services provider's stock valued at $9,527,000 after purchasing an additional 18,049 shares in the last quarter. Kennedy Capital Management LLC raised its position in Capital Bancorp by 0.3% in the 4th quarter. Kennedy Capital Management LLC now owns 262,462 shares of the financial services provider's stock valued at $7,394,000 after purchasing an additional 750 shares in the last quarter. Finally, Bridgeway Capital Management LLC raised its position in Capital Bancorp by 5.7% in the 4th quarter. Bridgeway Capital Management LLC now owns 165,524 shares of the financial services provider's stock valued at $4,663,000 after purchasing an additional 8,959 shares in the last quarter. Institutional investors and hedge funds own 56.14% of the company's stock.

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. The company offers a range of deposit products, including checking and savings, time, interest bearing and noninterest-bearing demand, and money market accounts, as well as certificates of deposit; and credit cards.

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