HSBC Holdings plc (NYSE:HSBC) Stock Has Consensus Price Target of $97.00

Key Points

• Analysts have a consensus “Hold” rating on HSBC from 16 research firms, with 11 holds, three buys and two sells. The average 12-month price target is $97.00.
• HSBC reported quarterly earnings of $2.25 per share, narrowly exceeding the $2.24 consensus estimate, while revenue of $19.04 billion also topped expectations.
• The bank paid a quarterly dividend of $0.50 per share, equivalent to $2.00 annually and a 2.1% yield; its payout ratio is 28.09%.

Shares of HSBC Holdings plc (NYSE:HSBC - Get Free Report) have been assigned an average recommendation of "Hold" from the sixteen research firms that are currently covering the stock, MarketBeat.com reports. Two equities research analysts have rated the stock with a sell rating, eleven have issued a hold rating and three have given a buy rating to the company. The average twelve-month target price among brokers that have updated their coverage on the stock in the last year is $97.00.

A number of equities analysts have commented on the stock. Erste Group Bank downgraded shares of HSBC from a "buy" rating to a "hold" rating in a report on Wednesday, July 15th. Wall Street Zen upgraded shares of HSBC from a "hold" rating to a "buy" rating in a research note on Saturday, August 29th. Citigroup reissued a "neutral" rating on shares of HSBC in a research report on Wednesday, September 23rd. BNP Paribas Exane downgraded shares of HSBC from a "hold" rating to a "strong sell" rating and lowered their target price for the company from $100.50 to $97.00 in a research note on Tuesday, August 4th. Finally, Weiss Ratings reaffirmed a "hold (c)" rating on shares of HSBC in a research report on Monday, August 3rd.

HSBC Price Performance

NYSE HSBC opened at $96.65 on Tuesday. The company has a market cap of $331.89 billion, a PE ratio of 13.71, a P/E/G ratio of 0.91 and a beta of 0.58. HSBC has a 52-week low of $64.64 and a 52-week high of $107.92. The company has a debt-to-equity ratio of 0.67, a quick ratio of 0.92 and a current ratio of 0.85. The firm's 50 day moving average price is $103.11 and its 200-day moving average price is $95.71.

HSBC (NYSE:HSBC - Get Free Report) last posted its earnings results on Tuesday, August 4th. The financial services provider reported $2.25 earnings per share for the quarter, topping analysts' consensus estimates of $2.24 by $0.01. HSBC had a return on equity of 13.80% and a net margin of 18.19%.The company had revenue of $19.04 billion during the quarter, compared to analyst estimates of $18.66 billion. Sell-side analysts forecast that HSBC will post 8.56 EPS for the current fiscal year.

HSBC Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, September 25th. Investors of record on Friday, August 14th were given a dividend of $0.50 per share. This represents a $2.00 annualized dividend and a yield of 2.1%. The ex-dividend date of this dividend was Friday, August 14th. HSBC's dividend payout ratio is currently 28.09%.

Institutional Investors Weigh In On HSBC

Several institutional investors have recently added to or reduced their stakes in the business. Clearbridge Investments LLC raised its position in shares of HSBC by 77.0% in the fourth quarter. Clearbridge Investments LLC now owns 1,443,716 shares of the financial services provider's stock worth $113,577,000 after acquiring an additional 627,857 shares during the period. Renaissance Technologies LLC grew its position in shares of HSBC by 391.6% during the 1st quarter. Renaissance Technologies LLC now owns 524,122 shares of the financial services provider's stock valued at $43,235,000 after acquiring an additional 417,500 shares during the period. Janney Montgomery Scott LLC increased its stake in shares of HSBC by 843.7% in the 1st quarter. Janney Montgomery Scott LLC now owns 242,762 shares of the financial services provider's stock valued at $20,025,000 after purchasing an additional 217,037 shares in the last quarter. Royal Bank of Canada raised its holdings in HSBC by 17.3% in the 1st quarter. Royal Bank of Canada now owns 1,304,192 shares of the financial services provider's stock worth $107,582,000 after purchasing an additional 192,133 shares during the period. Finally, Bank of America Corp DE boosted its position in HSBC by 5.5% during the first quarter. Bank of America Corp DE now owns 2,385,883 shares of the financial services provider's stock worth $196,811,000 after purchasing an additional 124,201 shares in the last quarter. Institutional investors and hedge funds own 1.48% of the company's stock.

About HSBC

HSBC Holdings plc is a global banking and financial services group headquartered in London. Its origins date to the founding of The Hongkong and Shanghai Banking Corporation in 1865, established to support trade between Europe and Asia. HSBC operates through a network spanning major markets in Asia, Europe, the Middle East, North America and Latin America.

The company provides services to personal, commercial and institutional customers. Its activities include retail and wealth banking, commercial banking, global banking and markets, investment banking, trade finance, transaction banking, foreign exchange, lending, insurance and asset management.

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