DA Davidson Predicts Preferred Bank Q3 Earnings

Preferred Bank (NASDAQ:PFBC - Free Report) - Investment analysts at DA Davidson issued their Q3 2025 earnings per share (EPS) estimates for shares of Preferred Bank in a research note issued to investors on Tuesday, July 22nd. DA Davidson analyst G. Tenner expects that the bank will post earnings per share of $2.57 for the quarter. DA Davidson currently has a "Neutral" rating and a $108.00 price target on the stock. The consensus estimate for Preferred Bank's current full-year earnings is $9.81 per share. DA Davidson also issued estimates for Preferred Bank's FY2025 earnings at $9.89 EPS and FY2026 earnings at $9.81 EPS.

Other equities research analysts have also recently issued research reports about the company. Piper Sandler boosted their target price on Preferred Bank from $96.00 to $112.00 and gave the stock an "overweight" rating in a research note on Tuesday. Stephens restated an "equal weight" rating and set a $91.00 price target on shares of Preferred Bank in a research note on Tuesday, April 29th.

Preferred Bank Stock Down 0.2%

Shares of Preferred Bank stock traded down $0.22 on Wednesday, reaching $93.91. 59,240 shares of the company were exchanged, compared to its average volume of 94,416. The stock's 50 day moving average price is $87.09 and its 200-day moving average price is $85.43. The company has a market cap of $1.36 billion, a P/E ratio of 9.93 and a beta of 0.69. Preferred Bank has a 1-year low of $71.90 and a 1-year high of $99.78. The company has a debt-to-equity ratio of 0.47, a current ratio of 1.07 and a quick ratio of 1.07.

Preferred Bank (NASDAQ:PFBC - Get Free Report) last announced its quarterly earnings data on Monday, July 21st. The bank reported $2.52 earnings per share for the quarter, beating analysts' consensus estimates of $2.43 by $0.09. Preferred Bank had a net margin of 25.04% and a return on equity of 16.64%. The firm had revenue of $69.05 million during the quarter, compared to analysts' expectations of $70.96 million.

Preferred Bank announced that its Board of Directors has initiated a stock buyback plan on Thursday, May 22nd that authorizes the company to repurchase $125.00 million in outstanding shares. This repurchase authorization authorizes the bank to repurchase up to 10.4% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company's leadership believes its shares are undervalued.

Preferred Bank Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, July 22nd. Investors of record on Tuesday, July 8th were issued a dividend of $0.75 per share. This represents a $3.00 dividend on an annualized basis and a yield of 3.19%. The ex-dividend date of this dividend was Tuesday, July 8th. Preferred Bank's dividend payout ratio is presently 31.71%.

Institutional Trading of Preferred Bank

Several large investors have recently bought and sold shares of the company. Empirical Financial Services LLC d.b.a. Empirical Wealth Management grew its holdings in Preferred Bank by 14.9% in the second quarter. Empirical Financial Services LLC d.b.a. Empirical Wealth Management now owns 4,978 shares of the bank's stock valued at $431,000 after purchasing an additional 646 shares during the last quarter. Copeland Capital Management LLC grew its holdings in Preferred Bank by 16.2% in the second quarter. Copeland Capital Management LLC now owns 845 shares of the bank's stock valued at $73,000 after purchasing an additional 118 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. grew its holdings in Preferred Bank by 9.9% in the second quarter. Mirae Asset Global Investments Co. Ltd. now owns 11,110 shares of the bank's stock valued at $962,000 after purchasing an additional 1,004 shares during the last quarter. SummerHaven Investment Management LLC lifted its position in shares of Preferred Bank by 1.6% in the second quarter. SummerHaven Investment Management LLC now owns 10,582 shares of the bank's stock valued at $916,000 after acquiring an additional 170 shares in the last quarter. Finally, Wealth Enhancement Advisory Services LLC purchased a new stake in shares of Preferred Bank in the second quarter valued at $225,000. Institutional investors and hedge funds own 72.77% of the company's stock.

About Preferred Bank

Preferred Bank provides various commercial banking products and services to small and mid-sized businesses and their owners, entrepreneurs, real estate developers and investors, professionals, and high net worth individuals. The company accepts checking, savings, and money market deposit accounts; fixed-rate and fixed maturity retail, and non-retail certificates of deposit; and individual retirement accounts.