Mechanics Bancorp (NASDAQ:MCHB) Stock Rated "Moderate Buy" by Wall Street Brokerages

Key Points

• Mechanics Bancorp has a “Moderate Buy” consensus among six analysts, split evenly between buy and hold ratings, with an average 12-month price target of $17.10.
• The stock opened at $14.86, below its 52-week high of $17.38, while recent analyst actions included a target-price increase to $17.50 and new coverage with a $17.00 target.
• The quarterly dividend was sharply reduced to $0.25 per share from $0.70, resulting in an annualized dividend of $1.00, a 6.7% yield, and an 81.3% payout ratio; institutional investors own 74.71% of shares.

Shares of Mechanics Bancorp (NASDAQ:MCHB - Get Free Report) have been assigned an average rating of "Moderate Buy" from the six brokerages that are currently covering the firm, Marketbeat reports. Three research analysts have rated the stock with a hold rating and three have given a buy rating to the company. The average 1-year target price among brokerages that have issued ratings on the stock in the last year is $17.10.

Several research firms recently commented on MCHB. Weiss Ratings upgraded shares of Mechanics Bancorp from a "buy (b-)" rating to a "buy (b)" rating in a research report on Tuesday, August 11th. Keefe, Bruyette & Woods raised their target price on shares of Mechanics Bancorp from $16.00 to $17.50 and gave the company a "market perform" rating in a report on Wednesday, August 5th. Finally, Stephens began coverage on shares of Mechanics Bancorp in a research report on Friday, September 18th. They set an "equal weight" rating and a $17.00 target price for the company.

Mechanics Bancorp Stock Down 0.4%

Mechanics Bancorp stock opened at $14.86 on Wednesday. Mechanics Bancorp has a fifty-two week low of $12.82 and a fifty-two week high of $17.38. The firm has a market capitalization of $3.29 billion, a price-to-earnings ratio of 12.08 and a beta of 1.39. The stock's fifty day moving average is $16.00 and its two-hundred day moving average is $15.40. The company has a debt-to-equity ratio of 0.05, a quick ratio of 0.78 and a current ratio of 0.78.

Mechanics Bancorp Cuts Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, September 1st. Stockholders of record on Saturday, August 29th were paid a dividend of $0.25 per share. 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 dividend yield of 6.7%. Mechanics Bancorp's dividend payout ratio is 81.30%.

Institutional Investors Weigh In On Mechanics Bancorp

Institutional investors and hedge funds have recently bought and sold shares of the stock. Bank of New York Mellon Corp increased its position in Mechanics Bancorp by 1.3% during the first quarter. Bank of New York Mellon Corp now owns 1,098,400 shares of the company's stock worth $16,201,000 after buying an additional 13,648 shares in the last quarter. CenterBook Partners LP lifted its position in shares of Mechanics Bancorp by 688.1% in the fourth quarter. CenterBook Partners LP now owns 850,570 shares of the company's stock valued at $12,444,000 after acquiring an additional 742,641 shares in the last quarter. Sculptor Capital LP purchased a new stake in shares of Mechanics Bancorp in the first quarter valued at $7,563,000. Mendon Capital Advisors Corp acquired a new stake in shares of Mechanics Bancorp during the first quarter valued at $5,127,000. Finally, Pinnacle Holdings LLC purchased a new position in Mechanics Bancorp in the 2nd quarter valued at about $4,028,000. Hedge funds and other institutional investors own 74.71% of the company's stock.

Mechanics Bancorp Company Profile

Mechanics Bancorp, Inc is the bank holding company for Mechanics Bank, a community-focused financial institution headquartered in Mansfield, Ohio. Through its banking subsidiary, the company serves individuals, families, businesses and organizations in north-central Ohio.

Mechanics Bank offers a range of traditional banking products and services, including checking and savings accounts, certificates of deposit, residential mortgage loans, commercial real estate financing, business loans, construction lending and consumer credit.

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.