Mechanics Bancorp (MCHB) - What Are Analysts Saying About This Stock?

Key Points

• Analyst sentiment is moderately positive: Six brokerages rate Mechanics Bancorp “Moderate Buy,” split between three buy and three hold ratings, with an average 12-month price target of $17.10.
• Institutional ownership is substantial: Hedge funds and other institutional investors own 74.71% of the stock, with several institutions recently initiating positions.
• The dividend was sharply reduced: Mechanics Bancorp’s quarterly dividend fell from $0.70 to $0.25, resulting in an annualized dividend of $1.00 and a 6.6% yield.

Shares of Mechanics Bancorp (NASDAQ:MCHB - Get Free Report) have earned an average rating of "Moderate Buy" from the six brokerages that are currently covering the firm, Marketbeat reports. Three analysts have rated the stock with a hold recommendation and three have assigned a buy recommendation to the company. The average 12-month price objective among brokerages that have issued a report on the stock in the last year is $17.10.

A number of research firms have recently weighed in on MCHB. Keefe, Bruyette & Woods increased their target price on shares of Mechanics Bancorp from $16.00 to $17.50 and gave the stock a "market perform" rating in a report on Wednesday, August 5th. Weiss Ratings cut shares of Mechanics Bancorp from a "buy (b)" rating to a "buy (b-)" rating in a report on Friday, October 9th. Stephens began coverage on shares of Mechanics Bancorp in a report on Friday, September 18th. They set an "equal weight" rating and a $17.00 target price for the company. Finally, Cantor Fitzgerald dropped their price target on shares of Mechanics Bancorp from $18.00 to $17.00 and set an "overweight" rating on the stock in a research note on Wednesday, October 14th.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the stock. California State Teachers Retirement System purchased a new stake in Mechanics Bancorp in the first quarter worth approximately $39,000. Fifth Third Bancorp bought a new position in Mechanics Bancorp in the first quarter valued at about $39,000. Assetmark Inc. bought a new position in shares of Mechanics Bancorp in the 1st quarter worth approximately $51,000. Royal Bank of Canada purchased a new position in shares of Mechanics Bancorp during the 1st quarter worth $76,000. Finally, State of Alaska Department of Revenue purchased a new position in Mechanics Bancorp during the third quarter valued at $130,000. 74.71% of the stock is owned by hedge funds and other institutional investors.

Mechanics Bancorp Stock Performance

Shares of MCHB stock opened at $15.17 on Friday. The stock has a 50 day moving average price of $15.30 and a two-hundred day moving average price of $15.41. Mechanics Bancorp has a fifty-two week low of $12.91 and a fifty-two week high of $17.38. The company has a debt-to-equity ratio of 0.05, a quick ratio of 0.78 and a current ratio of 0.78. The company has a market capitalization of $3.36 billion, a P/E ratio of 12.33 and a beta of 1.44.

Mechanics Bancorp Cuts Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, September 1st. Shareholders of record on Saturday, August 29th were given a $0.25 dividend. This is a negative change from Mechanics Bancorp's previous quarterly dividend of $0.70. The ex-dividend date of this dividend was Friday, August 28th. This represents a $1.00 dividend on an annualized basis and a yield of 6.6%. Mechanics Bancorp's payout ratio is presently 81.30%.

Mechanics Bancorp Company Profile

Mechanics Bancorp, Inc is the bank holding company for Mechanics Bank, a community banking institution headquartered in Mansfield, Ohio. Through its banking subsidiary, the company serves individuals, families, small businesses and commercial customers in communities across north-central Ohio.

Mechanics Bank provides traditional banking products and services, including deposit accounts, residential and commercial real estate loans, consumer lending, business financing, treasury management and online and mobile banking.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.