Fifth Third Bancorp (NASDAQ:FITB) Shares Sold by ABC Arbitrage SA

Key Points

• ABC Arbitrage SA significantly reduced its stake in Fifth Third Bancorp by 80.8%, selling 34,812 shares and currently holding 8,251 shares valued at approximately $323,000.
• Fifth Third Bancorp announced a $1.48 annual dividend** with a yield of 3.6%, and a stock repurchase program authorizing the buyback of 100 million shares, indicating potential undervaluation of its stock.
• The stock currently has a consensus rating of "Moderate Buy" with a price target of $47.80, following recent analyst upgrades and downgrades from various firms.

ABC Arbitrage SA decreased its holdings in Fifth Third Bancorp (NASDAQ:FITB - Free Report) by 80.8% in the first quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 8,251 shares of the financial services provider's stock after selling 34,812 shares during the period. ABC Arbitrage SA's holdings in Fifth Third Bancorp were worth $323,000 as of its most recent filing with the Securities & Exchange Commission.

Other large investors also recently bought and sold shares of the company. World Investment Advisors lifted its position in Fifth Third Bancorp by 94.3% during the 4th quarter. World Investment Advisors now owns 11,930 shares of the financial services provider's stock worth $504,000 after acquiring an additional 5,791 shares during the period. Resona Asset Management Co. Ltd. purchased a new position in shares of Fifth Third Bancorp in the fourth quarter worth about $8,228,000. Envestnet Asset Management Inc. lifted its holdings in shares of Fifth Third Bancorp by 3.7% during the fourth quarter. Envestnet Asset Management Inc. now owns 1,809,307 shares of the financial services provider's stock worth $76,498,000 after purchasing an additional 64,932 shares during the period. Federated Hermes Inc. lifted its holdings in shares of Fifth Third Bancorp by 33.9% during the fourth quarter. Federated Hermes Inc. now owns 57,515 shares of the financial services provider's stock worth $2,432,000 after purchasing an additional 14,550 shares during the period. Finally, Cerity Partners LLC boosted its position in Fifth Third Bancorp by 0.5% in the fourth quarter. Cerity Partners LLC now owns 281,983 shares of the financial services provider's stock valued at $11,935,000 after buying an additional 1,366 shares during the last quarter. Institutional investors own 83.79% of the company's stock.

Wall Street Analysts Forecast Growth

FITB has been the subject of several analyst reports. Barclays decreased their target price on shares of Fifth Third Bancorp from $56.00 to $51.00 and set an "overweight" rating for the company in a research note on Monday, April 21st. Truist Financial lowered their target price on shares of Fifth Third Bancorp from $52.00 to $44.00 and set a "buy" rating on the stock in a research note on Tuesday, April 22nd. DA Davidson upgraded Fifth Third Bancorp from a "hold" rating to a "strong-buy" rating and lifted their price target for the company from $42.00 to $47.00 in a research note on Monday, June 9th. TD Cowen started coverage on Fifth Third Bancorp in a report on Thursday, May 15th. They issued a "buy" rating and a $52.00 price target for the company. Finally, Keefe, Bruyette & Woods dropped their price target on shares of Fifth Third Bancorp from $47.00 to $42.00 and set a "market perform" rating on the stock in a research note on Monday, April 21st. One investment analyst has rated the stock with a sell rating, five have issued a hold rating, ten have assigned a buy rating and two have given a strong buy rating to the stock. According to data from MarketBeat.com, Fifth Third Bancorp has a consensus rating of "Moderate Buy" and an average price target of $47.80.

Fifth Third Bancorp Price Performance

Shares of FITB traded up $0.47 during trading hours on Friday, reaching $41.64. The company had a trading volume of 2,952,909 shares, compared to its average volume of 5,924,190. The company has a current ratio of 0.81, a quick ratio of 0.81 and a debt-to-equity ratio of 0.76. Fifth Third Bancorp has a 12-month low of $32.25 and a 12-month high of $49.07. The firm has a 50 day simple moving average of $41.19 and a 200-day simple moving average of $40.03. The company has a market capitalization of $27.56 billion, a price-to-earnings ratio of 12.93, a PEG ratio of 1.33 and a beta of 0.91.

Fifth Third Bancorp Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, July 15th. Stockholders of record on Monday, June 30th were issued a dividend of $0.37 per share. The ex-dividend date was Monday, June 30th. This represents a $1.48 dividend on an annualized basis and a dividend yield of 3.6%. Fifth Third Bancorp's payout ratio is 45.96%.

Fifth Third Bancorp declared that its Board of Directors has authorized a stock buyback program on Monday, June 16th that authorizes the company to buyback 100,000,000 outstanding shares. This buyback authorization authorizes the financial services provider to repurchase shares of its stock through open market purchases. Stock buyback programs are generally an indication that the company's board of directors believes its stock is undervalued.

Fifth Third Bancorp Company Profile

Fifth Third Bancorp operates as the bank holding company for Fifth Third Bank, National Association that engages in the provision of a range of financial products and services in the United States. It operates through three segments: Commercial Banking, Consumer and Small Business Banking, and Wealth and Asset Management.