Cass Information Systems (NASDAQ:CASS) Sets New 52-Week High - Still a Buy?

Key Points

• Cass Information Systems shares reached a new 52-week high of $59.10, with the stock recently trading near $58.94. Analysts maintain a consensus “Buy” rating and an average price target of $58.50.
• The company’s latest quarterly results slightly missed expectations, reporting $0.71 in EPS versus $0.72 forecast. Analysts project full-year EPS of $2.99.
• Cass declared a quarterly dividend of $0.32 per share, equating to $1.28 annually and a 2.2% yield; institutional investors and hedge funds own 59.08% of the stock.

Shares of Cass Information Systems, Inc (NASDAQ:CASS - Get Free Report) reached a new 52-week high during trading on Thursday . The company traded as high as $59.10 and last traded at $58.9350, with a volume of 7628 shares. The stock had previously closed at $57.94.

Wall Street Analysts Forecast Growth

Several brokerages have weighed in on CASS. Weiss Ratings restated a "buy (b)" rating on shares of Cass Information Systems in a research report on Tuesday, August 4th. Piper Sandler reissued a "neutral" rating and set a $61.00 price target (up from $52.00) on shares of Cass Information Systems in a research note on Thursday, August 6th. Zacks Research upgraded Cass Information Systems from a "hold" rating to a "strong-buy" rating in a report on Wednesday, July 15th. Finally, Raymond James Financial raised their price objective on Cass Information Systems from $52.00 to $56.00 and gave the company an "outperform" rating in a research note on Wednesday, July 1st. One investment analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and one has assigned a Hold rating to the company. According to MarketBeat, the company presently has a consensus rating of "Buy" and an average target price of $58.50.

Cass Information Systems Stock Performance

The company's fifty day simple moving average is $52.49 and its two-hundred day simple moving average is $48.01. The stock has a market capitalization of $751.95 million, a PE ratio of 21.12 and a beta of 0.41.

Cass Information Systems (NASDAQ:CASS - Get Free Report) last announced its earnings results on Thursday, July 23rd. The business services provider reported $0.71 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.72 by ($0.01). The business had revenue of $27.04 million for the quarter, compared to analyst estimates of $51.02 million. Cass Information Systems had a return on equity of 14.89% and a net margin of 18.45%. Sell-side analysts forecast that Cass Information Systems, Inc will post 2.99 EPS for the current fiscal year.

Cass Information Systems Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, September 14th. Shareholders of record on Friday, September 4th will be issued a dividend of $0.32 per share. This represents a $1.28 dividend on an annualized basis and a yield of 2.2%. The ex-dividend date is Friday, September 4th. Cass Information Systems's dividend payout ratio is 46.04%.

Hedge Funds Weigh In On Cass Information Systems

Institutional investors have recently made changes to their positions in the stock. Triumph Capital Management acquired a new stake in shares of Cass Information Systems during the third quarter valued at $25,000. Kingdom Financial Group LLC. acquired a new position in Cass Information Systems in the 4th quarter valued at about $26,000. New York State Teachers Retirement System purchased a new position in Cass Information Systems in the 4th quarter valued at about $46,000. BNP Paribas Financial Markets boosted its stake in shares of Cass Information Systems by 50.7% during the 2nd 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 during the last quarter. Finally, Russell Investments Group Ltd. boosted its stake in shares of Cass Information Systems by 1,206.6% during the 3rd quarter. Russell Investments Group Ltd. now owns 1,594 shares of the business services provider's stock worth $63,000 after purchasing an additional 1,472 shares during the last quarter. 59.08% of the stock is owned by institutional investors and hedge funds.

About Cass Information Systems

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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