Customers Bancorp (NYSE:CUBI) Earns Overweight Rating from Analysts at JPMorgan Chase & Co.

Key Points

• JPMorgan Chase & Co. initiated coverage on Customers Bancorp (CUBI) with an overweight rating and a $90 price target, implying roughly a 31.5% upside from the current price.
• Overall analyst sentiment is a Moderate Buy with a consensus price target of $88.18; ratings among analysts range from two Strong Buys and five Buys to three Holds and one Sell.
• Customers Bancorp recently beat quarterly EPS and revenue estimates, reported a 15.15% net margin and 14.05% ROE, and its board authorized a $100 million share repurchase (about 4% of outstanding shares).

Investment analysts at JPMorgan Chase & Co. started coverage on shares of Customers Bancorp (NYSE:CUBI - Get Free Report) in a report released on Friday,Benzinga reports. The brokerage set an "overweight" rating and a $90.00 price target on the bank's stock. JPMorgan Chase & Co.'s target price suggests a potential upside of 31.48% from the stock's current price.

Several other analysts have also commented on CUBI. Raymond James Financial restated a "strong-buy" rating and issued a $95.00 price objective on shares of Customers Bancorp in a report on Tuesday, January 6th. Zacks Research raised Customers Bancorp from a "hold" rating to a "strong-buy" rating in a research report on Monday, January 26th. B. Riley Financial restated a "buy" rating on shares of Customers Bancorp in a research note on Monday, January 26th. Stephens lowered Customers Bancorp from an "equal weight" rating to an "underweight" rating and set a $71.00 price target on the stock. in a research report on Friday, February 6th. Finally, Weiss Ratings upgraded Customers Bancorp from a "hold (c+)" rating to a "buy (b-)" rating in a report on Monday. Two analysts have rated the stock with a Strong Buy rating, five have given a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $88.18.

Customers Bancorp Stock Performance

NYSE:CUBI opened at $68.45 on Friday. The company has a quick ratio of 1.00, a current ratio of 1.00 and a debt-to-equity ratio of 0.76. The firm's fifty day simple moving average is $74.94 and its 200 day simple moving average is $70.57. The stock has a market cap of $2.34 billion, a P/E ratio of 11.04 and a beta of 1.66. Customers Bancorp has a twelve month low of $40.75 and a twelve month high of $82.56.

Customers Bancorp (NYSE:CUBI - Get Free Report) last posted its earnings results on Thursday, January 22nd. The bank reported $2.06 EPS for the quarter, topping the consensus estimate of $2.04 by $0.02. The firm had revenue of $236.90 million during the quarter, compared to analysts' expectations of $200.38 million. Customers Bancorp had a net margin of 15.15% and a return on equity of 14.05%. During the same period last year, the company posted $1.36 EPS. As a group, research analysts predict that Customers Bancorp will post 6.45 EPS for the current year.

Customers Bancorp declared that its Board of Directors has authorized a stock repurchase plan on Wednesday, February 11th that authorizes the company to buyback $100.00 million in shares. This buyback authorization authorizes the bank to repurchase up to 4% of its stock through open market purchases. Stock buyback plans are typically a sign that the company's board of directors believes its shares are undervalued.

Hedge Funds Weigh In On Customers Bancorp

A number of hedge funds have recently bought and sold shares of the company. Arax Advisory Partners increased its holdings in shares of Customers Bancorp by 218.9% in the 4th quarter. Arax Advisory Partners now owns 354 shares of the bank's stock worth $26,000 after purchasing an additional 243 shares in the last quarter. Caitong International Asset Management Co. Ltd purchased a new stake in Customers Bancorp in the 3rd quarter worth approximately $29,000. Transamerica Financial Advisors LLC increased its stake in Customers Bancorp by 216.0% in the 4th quarter. Transamerica Financial Advisors LLC now owns 591 shares of the bank's stock worth $43,000 after buying an additional 404 shares in the last quarter. Farther Finance Advisors LLC raised its position in shares of Customers Bancorp by 63.1% during the third quarter. Farther Finance Advisors LLC now owns 672 shares of the bank's stock valued at $44,000 after buying an additional 260 shares during the last quarter. Finally, Jones Financial Companies Lllp bought a new stake in shares of Customers Bancorp in the first quarter worth about $37,000. Institutional investors own 89.29% of the company's stock.

Customers Bancorp Company Profile

Customers Bancorp, Inc NYSE: CUBI is a bank holding company headquartered in Phoenixville, Pennsylvania, and the parent of Customers Bank, a federally chartered institution. The company offers a full suite of commercial and consumer banking services, combining traditional deposit and lending products with modern digital banking platforms. As a publicly traded entity, Customers Bancorp focuses on delivering tailored financial solutions to mid‐market companies, small businesses, professionals and individuals across the United States.

Through its commercial banking division, the company provides term loans, lines of credit, real estate financing, asset‐based lending and treasury management services.

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