Community Financial System, Inc. (NYSE:CBU) Receives Average Rating of "Moderate Buy" from Brokerages

Key Points

• Community Financial System has an average analyst rating of “Moderate Buy”, with six firms covering the stock and a consensus 12-month price target of $69.75.
• The company recently raised its quarterly dividend to $0.49 per share from $0.47, which implies an annualized dividend of $1.96 and a 2.9% yield.
• In its latest quarterly results, CBU beat EPS estimates by posting $1.15 per share, while revenue grew 8.7% year over year; meanwhile, insiders and several institutional investors have been active in the stock.

Community Financial System, Inc. (NYSE:CBU - Get Free Report) has earned an average rating of "Moderate Buy" from the six ratings firms that are covering the firm, MarketBeat Ratings reports. Four analysts have rated the stock with a hold recommendation, one has assigned a buy recommendation and one has issued a strong buy recommendation on the company. The average 12 month price target among analysts that have covered the stock in the last year is $69.75.

Several brokerages have weighed in on CBU. Weiss Ratings upgraded shares of Community Financial System from a "buy (b-)" rating to a "buy (b)" rating in a research note on Thursday, July 2nd. Wall Street Zen upgraded Community Financial System from a "sell" rating to a "hold" rating in a report on Saturday. Piper Sandler raised their price objective on Community Financial System from $62.00 to $66.00 and gave the stock a "neutral" rating in a research report on Thursday, April 30th. Finally, Raymond James Financial restated a "strong-buy" rating and set a $75.00 target price on shares of Community Financial System in a research note on Thursday, April 30th.

Insider Activity

In related news, Director Eric Stickels sold 2,000 shares of the company's stock in a transaction on Monday, June 8th. The stock was sold at an average price of $63.98, for a total value of $127,960.00. Following the transaction, the director directly owned 31,592 shares of the company's stock, valued at $2,021,256.16. This represents a 5.95% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Mark J. Bolus sold 12,191 shares of the company's stock in a transaction on Thursday, June 25th. The shares were sold at an average price of $67.00, for a total value of $816,797.00. Following the completion of the transaction, the director directly owned 94,060 shares in the company, valued at approximately $6,302,020. The trade was a 11.47% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 1.15% of the company's stock.

Institutional Trading of Community Financial System

Large investors have recently added to or reduced their stakes in the company. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its stake in shares of Community Financial System by 4.6% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 31,141 shares of the bank's stock worth $1,771,000 after purchasing an additional 1,362 shares during the last quarter. Goldman Sachs Group Inc. increased its holdings in Community Financial System by 7.9% in the 1st quarter. Goldman Sachs Group Inc. now owns 550,613 shares of the bank's stock worth $31,308,000 after buying an additional 40,384 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in Community Financial System by 6.4% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 136,619 shares of the bank's stock worth $7,768,000 after buying an additional 8,182 shares during the last quarter. Jane Street Group LLC raised its position in Community Financial System by 523.4% during the 1st quarter. Jane Street Group LLC now owns 145,719 shares of the bank's stock worth $8,286,000 after buying an additional 122,343 shares during the last quarter. Finally, Intech Investment Management LLC lifted its stake in Community Financial System by 37.5% during the 1st quarter. Intech Investment Management LLC now owns 25,846 shares of the bank's stock valued at $1,470,000 after acquiring an additional 7,052 shares during the period. Hedge funds and other institutional investors own 73.79% of the company's stock.

Community Financial System Stock Performance

CBU stock opened at $67.09 on Friday. The firm has a market cap of $3.53 billion, a price-to-earnings ratio of 16.29 and a beta of 0.77. The firm has a 50-day simple moving average of $65.38 and a two-hundred day simple moving average of $62.95. Community Financial System has a one year low of $51.12 and a one year high of $71.11. The company has a debt-to-equity ratio of 0.22, a quick ratio of 0.77 and a current ratio of 0.77.

Community Financial System (NYSE:CBU - Get Free Report) last issued its quarterly earnings data on Wednesday, April 29th. The bank reported $1.15 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.10 by $0.05. The firm had revenue of $213.69 million for the quarter, compared to the consensus estimate of $216.36 million. Community Financial System had a net margin of 21.26% and a return on equity of 11.24%. The company's quarterly revenue was up 8.7% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.98 EPS. On average, equities analysts forecast that Community Financial System will post 4.7 EPS for the current fiscal year.

Community Financial System Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, October 13th. Stockholders of record on Tuesday, September 15th will be paid a dividend of $0.49 per share. The ex-dividend date is Tuesday, September 15th. This is a positive change from Community Financial System's previous quarterly dividend of $0.47. This represents a $1.96 dividend on an annualized basis and a dividend yield of 2.9%. Community Financial System's payout ratio is presently 45.63%.

Community Financial System Company Profile

Community Financial System NYSE: CBU is the bank holding company for Community Bank, National Association, a full-service commercial bank headquartered in DeWitt, New York. Through its principal subsidiary, the company offers a range of banking and financial services designed to meet the needs of both consumer and business clients. Its organizational structure centers on community-based banking operations supported by centralized technology, risk management and administrative functions.

The company's product offerings include deposit accounts, residential and commercial mortgage loans, commercial and consumer lending, treasury and cash management services, and electronic banking.

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