UMB Financial Corporation (NASDAQ:UMBF) Given Average Recommendation of "Moderate Buy" by Brokerages

Key Points

• Analysts remain broadly positive: Fifteen brokerages give UMB Financial an average “Moderate Buy” rating, with 11 buys, three holds and one strong buy. The average 12-month price target is $166.54, above the reported share price of $143.76.
• Quarterly results beat expectations: UMB Financial reported earnings of $3.57 per share versus the $3.12 consensus estimate, while revenue reached $778 million compared with expectations of $727.63 million.
• The dividend was increased: The company raised its quarterly dividend to $0.50 from $0.43, equivalent to an annualized $2.00 payout and a 1.4% yield. Recent insider selling totaled 25,925 shares worth approximately $3.83 million.

UMB Financial Corporation (NASDAQ:UMBF - Get Free Report) has received an average recommendation of "Moderate Buy" from the fifteen brokerages that are covering the company, MarketBeat.com reports. Three investment analysts have rated the stock with a hold recommendation, eleven have assigned a buy recommendation and one has issued a strong buy recommendation on the company. The average twelve-month price objective among analysts that have issued a report on the stock in the last year is $166.5385.

A number of equities analysts have recently weighed in on UMBF shares. Stephens initiated coverage on shares of UMB Financial in a research note on Tuesday, July 14th. They issued an "overweight" rating and a $167.00 price target on the stock. Piper Sandler restated an "overweight" rating and issued a $181.00 target price (up from $161.00) on shares of UMB Financial in a research note on Thursday, July 30th. Citigroup reaffirmed a "neutral" rating and issued a $162.00 target price (up from $144.00) on shares of UMB Financial in a research report on Friday, July 31st. Keefe, Bruyette & Woods upped their target price on UMB Financial from $155.00 to $160.00 and gave the stock an "outperform" rating in a research report on Thursday, July 30th. Finally, TD Cowen reiterated a "buy" rating and set a $166.00 price target (up from $161.00) on shares of UMB Financial in a report on Thursday, July 30th.

Insider Activity

In other UMB Financial news, insider Nikki Farentino Newton sold 2,000 shares of the business's stock in a transaction that occurred on Tuesday, August 4th. The shares were sold at an average price of $148.60, for a total value of $297,200.00. Following the completion of the sale, the insider directly owned 11,981 shares of the company's stock, valued at $1,780,376.60. The trade was a 14.31% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, insider Robert Beaird sold 1,600 shares of the firm's stock in a transaction on Friday, July 31st. The shares were sold at an average price of $144.40, for a total transaction of $231,040.00. Following the transaction, the insider owned 8,943 shares in the company, valued at $1,291,369.20. This represents a 15.18% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 25,925 shares of company stock valued at $3,826,489. 5.33% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On UMB Financial

Several hedge funds have recently bought and sold shares of the business. Corient Private Wealth LP bought a new stake in UMB Financial during the second quarter worth approximately $221,000. Amundi grew its stake in UMB Financial by 14.7% in the 2nd quarter. Amundi now owns 4,620 shares of the bank's stock valued at $660,000 after buying an additional 593 shares during the last quarter. VIRGINIA RETIREMENT SYSTEMS ET Al bought a new position in UMB Financial in the 2nd quarter worth $685,000. California State Teachers Retirement System raised its holdings in UMB Financial by 13,612.7% in the 2nd quarter. California State Teachers Retirement System now owns 11,954,437 shares of the bank's stock worth $1,706,615,000 after acquiring an additional 11,867,259 shares during the period. Finally, HB Wealth Management LLC acquired a new position in UMB Financial during the 2nd quarter worth $248,000. 87.78% of the stock is owned by institutional investors and hedge funds.

UMB Financial Stock Performance

Shares of UMBF opened at $143.76 on Tuesday. The company's 50 day moving average price is $144.95 and its 200 day moving average price is $131.34. UMB Financial has a 52 week low of $68.92 and a 52 week high of $144.36. The company has a market capitalization of $10.92 billion, a PE ratio of 11.97, a PEG ratio of 0.70 and a beta of 0.77. The company has a debt-to-equity ratio of 0.06, a quick ratio of 0.76 and a current ratio of 0.76.

UMB Financial (NASDAQ:UMBF - Get Free Report) last released its earnings results on Tuesday, July 28th. The bank reported $3.57 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $3.12 by $0.45. The company had revenue of $778.00 million during the quarter, compared to the consensus estimate of $727.63 million. UMB Financial had a net margin of 21.64% and a return on equity of 13.41%. During the same quarter in the prior year, the firm earned $2.96 EPS. Research analysts expect that UMB Financial will post 13.5 EPS for the current fiscal year.

UMB Financial Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Thursday, September 10th will be issued a $0.50 dividend. This is an increase from UMB Financial's previous quarterly dividend of $0.43. This represents a $2.00 dividend on an annualized basis and a yield of 1.4%. The ex-dividend date is Thursday, September 10th. UMB Financial's dividend payout ratio is currently 14.32%.

UMB Financial Company Profile

UMB Financial Corporation NASDAQ: UMBF is a diversified financial services holding company headquartered in Kansas City, Missouri. Through its principal banking subsidiary, UMB Bank, N.A., the company provides a full suite of commercial and consumer banking services. Key offerings include deposit accounts, commercial and consumer lending, treasury and cash management, as well as online and mobile banking solutions designed to serve businesses, individuals and municipalities.

In addition to its core banking operations, UMB Financial delivers wealth management and trust services, investment advisory, asset management and retirement planning to high-net-worth individuals, families and institutions.

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