Southside Bancshares, Inc. (NYSE:SBSI) Stock Now Rated "Hold" by Sell-Side Brokerages

Key Points

• Analyst consensus is “Hold”: Five of six covering brokerages rate Southside Bancshares a hold, while one recommends buying. The average 12-month price target is $34.75, above the reported share price of $30.26.
• Recent quarterly results were mixed: The company reported adjusted earnings of $0.90 per share, beating estimates of $0.86, but revenue of $71.34 million fell short of the $75 million consensus forecast.
• Southside raised its dividend: The quarterly payout increased to $0.37 per share, equivalent to $1.48 annually and a 4.9% yield, with a current payout ratio of 58.27%.

Southside Bancshares, Inc. (NYSE:SBSI - Get Free Report) has earned a consensus rating of "Hold" from the six brokerages that are currently covering the company, Marketbeat Ratings reports. Five analysts have rated the stock with a hold rating and one has assigned a buy rating to the company. The average 12-month price objective among analysts that have updated their coverage on the stock in the last year is $34.75.

Several equities analysts have commented on SBSI shares. Benchmark assumed coverage on shares of Southside Bancshares in a research report on Wednesday, June 24th. They set a "hold" rating for the company. Piper Sandler decreased their price target on Southside Bancshares from $37.00 to $33.00 and set a "neutral" rating on the stock in a report on Monday, July 27th. Zacks Research raised shares of Southside Bancshares from a "strong sell" rating to a "hold" rating in a research report on Thursday, September 24th. Weiss Ratings lowered Southside Bancshares from a "buy (b)" rating to a "buy (b-)" rating in a report on Thursday, September 24th. Finally, Keefe, Bruyette & Woods lowered their price objective on shares of Southside Bancshares from $37.00 to $35.00 and set a "market perform" rating for the company in a research note on Monday, August 3rd.

Institutional Trading of Southside Bancshares

Hedge funds have recently modified their holdings of the company. Quantinno Capital Management LP boosted its holdings in Southside Bancshares by 75.6% in the first quarter. Quantinno Capital Management LP now owns 37,875 shares of the company's stock worth $1,178,000 after acquiring an additional 16,306 shares in the last quarter. Bank of New York Mellon Corp purchased a new stake in shares of Southside Bancshares during the second quarter worth about $9,213,000. Bank of America Corp DE acquired a new position in shares of Southside Bancshares during the second quarter valued at about $4,545,000. Legal & General Group Plc purchased a new position in shares of Southside Bancshares in the 2nd quarter valued at approximately $2,134,000. Finally, Sei Investments Co. purchased a new position in shares of Southside Bancshares in the 1st quarter valued at approximately $640,000. 55.70% of the stock is owned by hedge funds and other institutional investors.

Southside Bancshares Price Performance

SBSI stock opened at $30.26 on Wednesday. Southside Bancshares has a one year low of $26.32 and a one year high of $36.20. The company's fifty day moving average price is $31.88 and its 200-day moving average price is $32.69. The company has a debt-to-equity ratio of 0.71, a quick ratio of 0.74 and a current ratio of 0.74. The company has a market capitalization of $902.02 million, a PE ratio of 11.91 and a beta of 0.61.

Southside Bancshares (NYSE:SBSI - Get Free Report) last announced its quarterly earnings results on Friday, July 24th. The company reported $0.90 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.86 by $0.04. Southside Bancshares had a net margin of 16.70% and a return on equity of 11.16%. The company had revenue of $71.34 million for the quarter, compared to the consensus estimate of $75.00 million. On average, equities analysts anticipate that Southside Bancshares will post 3.27 EPS for the current fiscal year.

Southside Bancshares Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, September 3rd. Investors of record on Thursday, August 20th were paid a $0.37 dividend. This represents a $1.48 dividend on an annualized basis and a yield of 4.9%. This is a positive change from Southside Bancshares's previous quarterly dividend of $0.36. The ex-dividend date of this dividend was Thursday, August 20th. Southside Bancshares's payout ratio is presently 58.27%.

About Southside Bancshares

Southside Bancshares, Inc is a Texas-based bank holding company headquartered in Tyler, Texas. Its principal subsidiary, Southside Bank, provides banking and financial services to individuals, businesses and institutions.

Southside Bank offers consumer and commercial deposit accounts, mortgage and other lending products, treasury management, online and mobile banking, and wealth management services. Its lending activities include commercial real estate, commercial and industrial, residential real estate, and consumer loans.

Founded in 1960, Southside Bank serves communities across Texas through its branch network and digital banking channels.

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