Capital Bancorp (NASDAQ:CBNK) Rating Lowered to Hold at Wall Street Zen

Key Points

• Capital Bancorp has been downgraded by Wall Street Zen from a "buy" rating to a "hold" rating, signaling a shift in analyst sentiment towards the stock.
• Despite the downgrade, analysts from Hovde Group and Keefe, Bruyette & Woods have raised their price targets, indicating continued interest in the company's potential.
• Recent insider trading shows COO Steven M. Poynot increased his stake in Capital Bancorp by purchasing 750 shares, which could reflect confidence in the company's future performance.

Capital Bancorp (NASDAQ:CBNK - Get Free Report) was downgraded by stock analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a report issued on Saturday.

A number of other analysts have also weighed in on CBNK. Hovde Group upped their target price on Capital Bancorp from $35.00 to $39.00 and gave the stock an "outperform" rating in a report on Tuesday, July 29th. Keefe, Bruyette & Woods increased their price target on Capital Bancorp from $33.00 to $35.00 and gave the stock a "market perform" rating in a research report on Monday, May 12th.

Capital Bancorp Trading Up 0.3%

CBNK traded up $0.08 during midday trading on Friday, reaching $31.45. 21,973 shares of the company's stock traded hands, compared to its average volume of 61,307. The firm has a fifty day moving average of $33.17 and a two-hundred day moving average of $31.02. The stock has a market capitalization of $523.97 million, a price-to-earnings ratio of 11.78 and a beta of 0.70. The company has a debt-to-equity ratio of 0.09, a current ratio of 1.03 and a quick ratio of 1.01. Capital Bancorp has a 52 week low of $22.77 and a 52 week high of $36.40.

Capital Bancorp (NASDAQ:CBNK - Get Free Report) last posted its quarterly earnings results on Monday, July 28th. The financial services provider reported $0.85 earnings per share for the quarter, missing the consensus estimate of $0.89 by ($0.04). The company had revenue of $60.75 million during the quarter, compared to analysts' expectations of $61.29 million. Capital Bancorp had a return on equity of 16.06% and a net margin of 15.14%. On average, equities analysts anticipate that Capital Bancorp will post 3.17 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, COO Steven M. Poynot acquired 750 shares of the firm's stock in a transaction on Wednesday, May 14th. The stock was bought at an average cost 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 filing with the Securities & Exchange Commission, which can be accessed through this link. 32.50% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Capital Bancorp

A number of large investors have recently made changes to their positions in CBNK. Simplex Trading LLC acquired a new stake in shares of Capital Bancorp during the 2nd quarter valued at about $283,000. First Citizens Bank & Trust Co. acquired a new position in shares of Capital Bancorp during the 2nd quarter worth about $1,376,000. Allspring Global Investments Holdings LLC acquired a new stake in Capital Bancorp in the second quarter valued at $209,000. AQR Capital Management LLC lifted its position in Capital Bancorp by 48.4% during the first quarter. AQR Capital Management LLC now owns 13,299 shares of the financial services provider's stock worth $377,000 after acquiring an additional 4,336 shares during the last quarter. Finally, Elizabeth Park Capital Advisors Ltd. raised its stake in Capital Bancorp by 21.3% in the 1st quarter. Elizabeth Park Capital Advisors Ltd. now owns 125,213 shares of the financial services provider's stock worth $3,547,000 after purchasing an additional 21,948 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.