Enterprise Financial Services Corporation (NASDAQ:EFSC) Announces Dividend Increase - $0.31 Per Share

Key Points

• Enterprise Financial Services Corporation has announced a quarterly dividend increase to $0.31 per share, reflecting a 3.3% rise from the previous dividend of $0.30.
• The company reported earnings per share (EPS) of $1.37 for the last quarter, exceeding analysts' expectations by $0.16, with a projected EPS of $5.25 for the next year.
• Insider transactions include Director Michael E. Finn purchasing 1,500 shares, while CEO James Brian Lally sold 1,828 shares, indicating active management participation in the company’s stock.

Enterprise Financial Services Corporation (NASDAQ:EFSC - Get Free Report) declared a quarterly dividend on Monday, July 28th, RTT News reports. Investors of record on Monday, September 15th will be paid a dividend of 0.31 per share by the bank on Tuesday, September 30th. This represents a $1.24 annualized dividend and a yield of 2.20%. This is a 3.3% increase from Enterprise Financial Services's previous quarterly dividend of $0.30.

Enterprise Financial Services has a payout ratio of 22.0% indicating that its dividend is sufficiently covered by earnings. Equities research analysts expect Enterprise Financial Services to earn $5.25 per share next year, which means the company should continue to be able to cover its $1.20 annual dividend with an expected future payout ratio of 22.9%.

Enterprise Financial Services Price Performance

Shares of EFSC stock traded up $0.46 during mid-day trading on Monday, reaching $56.38. The company's stock had a trading volume of 138,401 shares, compared to its average volume of 205,329. The firm's 50-day moving average is $54.87 and its two-hundred day moving average is $55.04. The company has a market cap of $2.08 billion, a P/E ratio of 11.05 and a beta of 0.86. Enterprise Financial Services has a 1-year low of $45.22 and a 1-year high of $63.13. The company has a debt-to-equity ratio of 0.34, a quick ratio of 0.89 and a current ratio of 0.89.

Enterprise Financial Services (NASDAQ:EFSC - Get Free Report) last announced its earnings results on Monday, July 28th. The bank reported $1.37 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.21 by $0.16. Enterprise Financial Services had a net margin of 20.92% and a return on equity of 11.14%. On average, research analysts predict that Enterprise Financial Services will post 4.97 earnings per share for the current year.

Insider Transactions at Enterprise Financial Services

In related news, Director Michael E. Finn bought 1,500 shares of Enterprise Financial Services stock in a transaction on Friday, June 6th. The shares were purchased at an average price of $52.50 per share, for a total transaction of $78,750.00. Following the completion of the acquisition, the director owned 1,500 shares in the company, valued at approximately $78,750. This represents a ∞ increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO James Brian Lally sold 1,828 shares of the stock in a transaction that occurred on Thursday, June 26th. The shares were sold at an average price of $55.16, for a total transaction of $100,832.48. Following the completion of the sale, the chief executive officer owned 100,885 shares in the company, valued at $5,564,816.60. This represents a 1.78% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 8,572 shares of company stock valued at $472,667 in the last quarter. 2.20% of the stock is currently owned by corporate insiders.

Institutional Trading of Enterprise Financial Services

A number of hedge funds and other institutional investors have recently made changes to their positions in EFSC. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its position in Enterprise Financial Services by 10.2% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 106,398 shares of the bank's stock worth $5,718,000 after purchasing an additional 9,816 shares during the period. AQR Capital Management LLC grew its stake in Enterprise Financial Services by 14.5% in the 1st quarter. AQR Capital Management LLC now owns 58,539 shares of the bank's stock valued at $3,146,000 after buying an additional 7,419 shares during the last quarter. Intech Investment Management LLC raised its holdings in Enterprise Financial Services by 46.1% in the 1st quarter. Intech Investment Management LLC now owns 25,082 shares of the bank's stock valued at $1,348,000 after acquiring an additional 7,909 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its position in Enterprise Financial Services by 3.3% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 21,762 shares of the bank's stock worth $1,169,000 after acquiring an additional 698 shares during the last quarter. Finally, Focus Partners Wealth increased its stake in shares of Enterprise Financial Services by 25.1% during the first quarter. Focus Partners Wealth now owns 5,398 shares of the bank's stock worth $290,000 after purchasing an additional 1,082 shares during the period. 72.21% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

Several equities research analysts have weighed in on EFSC shares. Wall Street Zen upgraded shares of Enterprise Financial Services from a "sell" rating to a "hold" rating in a research report on Saturday. DA Davidson decreased their price objective on Enterprise Financial Services from $70.00 to $65.00 and set a "buy" rating on the stock in a research report on Wednesday, April 30th. Finally, Keefe, Bruyette & Woods dropped their price objective on Enterprise Financial Services from $69.00 to $66.00 and set an "outperform" rating for the company in a report on Wednesday, April 30th.

About Enterprise Financial Services

Enterprise Financial Services Corp operates as the holding company for Enterprise Bank & Trust that offers banking and wealth management services to individuals and corporate customers primarily in Arizona, California, Florida, Kansas, Missouri, Nevada, and New Mexico. It provides checking, savings, money market accounts, and certificates of deposit.

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