Cass Information Systems (NASDAQ:CASS) Releases Earnings Results, Misses Estimates By $0.09 EPS

Key Points

• Cass Information Systems reported quarterly earnings of $0.71 per share, which missed analysts’ expectations by $0.09 as the consensus estimate was $0.80.
• The company posted a net margin of 18.08% and a return on equity of 13.26%, while shares opened at $51.72 after the release.
• Analyst sentiment remains constructive overall, with a consensus rating of “Buy” and an average price target of $54.00, even after the earnings miss.

Cass Information Systems (NASDAQ:CASS - Get Free Report) posted its earnings results on Thursday. The business services provider reported $0.71 EPS for the quarter, missing analysts' consensus estimates of $0.80 by ($0.09), FiscalAI reports. Cass Information Systems had a net margin of 18.08% and a return on equity of 13.26%.

Cass Information Systems Stock Performance

Shares of Cass Information Systems stock opened at $51.72 on Thursday. The company has a market capitalization of $665.69 million, a P/E ratio of 19.55 and a beta of 0.42. Cass Information Systems has a 1 year low of $36.07 and a 1 year high of $54.44. The company's fifty day moving average is $49.40 and its two-hundred day moving average is $46.47.

Analyst Upgrades and Downgrades

CASS has been the subject of several research analyst reports. Raymond James Financial upped their price objective on shares of Cass Information Systems from $52.00 to $56.00 and gave the company an "outperform" rating in a research note on Wednesday, July 1st. Weiss Ratings upgraded Cass Information Systems from a "buy (b-)" rating to a "buy (b)" rating in a research report on Thursday, May 7th. Zacks Research raised Cass Information Systems from a "hold" rating to a "strong-buy" rating in a report on Wednesday, July 15th. Finally, Piper Sandler set a $52.00 target price on Cass Information Systems and gave the company a "neutral" rating in a research report on Friday, June 12th. One research analyst has rated the stock with a Strong Buy rating, two have given a Buy rating and one has issued a Hold rating to the company's stock. According to MarketBeat, the stock presently has a consensus rating of "Buy" and an average target price of $54.00.

Institutional Trading of Cass Information Systems

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Triumph Capital Management purchased a new position in shares of Cass Information Systems in the 3rd quarter valued at approximately $25,000. BNP Paribas Financial Markets raised its holdings in Cass Information Systems by 50.7% during the second quarter. BNP Paribas Financial Markets now owns 1,227 shares of the business services provider's stock worth $53,000 after purchasing an additional 413 shares in the last quarter. Russell Investments Group Ltd. lifted its position in Cass Information Systems by 1,206.6% in the third quarter. Russell Investments Group Ltd. now owns 1,594 shares of the business services provider's stock valued at $63,000 after purchasing an additional 1,472 shares during the period. PNC Financial Services Group Inc. boosted its holdings in Cass Information Systems by 87.0% in the 4th quarter. PNC Financial Services Group Inc. now owns 3,441 shares of the business services provider's stock valued at $143,000 after purchasing an additional 1,601 shares in the last quarter. Finally, Tower Research Capital LLC TRC increased its position in Cass Information Systems by 1,671.4% during the 2nd quarter. Tower Research Capital LLC TRC now owns 4,588 shares of the business services provider's stock worth $199,000 after purchasing an additional 4,329 shares during the period. 59.08% of the stock is owned by hedge funds and other institutional investors.

Cass Information Systems Company Profile

Cass Information Systems, Inc provides payment and information processing services to manufacturing, distribution, and retail enterprises in the United States. The company operates through two segments, Information Services and Banking Services. Its services include freight invoice rating, payment processing, auditing, and the generation of accounting and transportation information. The company also processes and pays facility-related invoices, such as electricity, gas, waste, and telecommunications expenses; and provides telecom expense management solutions, as well as church management software solution and on-line platform to provide generosity services for faith-based and non-profit organizations.

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