Alecta Tjanstepension Omsesidigt Boosts Stake in Fifth Third Bancorp $FITB

Key Points

• Alecta Tjanstepension Omsesidigt increased its holdings in Fifth Third Bancorp by 39.6%, now owning approximately 1,460,300 shares valued at $60.06 million.
• The company announced a quarterly dividend of $0.40 per share, up from the previous $0.37, indicating a 3.5% yield for investors.
• Fifth Third Bancorp's stock price recently reached $45.91, amid positive analyst upgrades, with an average price target of $48.13 reflecting a "Moderate Buy" rating.

Alecta Tjanstepension Omsesidigt boosted its holdings in Fifth Third Bancorp (NASDAQ:FITB - Free Report) by 39.6% during the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 1,460,300 shares of the financial services provider's stock after purchasing an additional 414,400 shares during the period. Alecta Tjanstepension Omsesidigt owned about 0.22% of Fifth Third Bancorp worth $60,062,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also bought and sold shares of the business. Sumitomo Mitsui DS Asset Management Company Ltd boosted its position in Fifth Third Bancorp by 1.7% in the second quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 76,202 shares of the financial services provider's stock worth $3,134,000 after purchasing an additional 1,257 shares during the last quarter. Pines Wealth Management LLC purchased a new position in Fifth Third Bancorp in the second quarter worth $235,000. Gateway Investment Advisers LLC boosted its position in Fifth Third Bancorp by 4.5% in the second quarter. Gateway Investment Advisers LLC now owns 174,068 shares of the financial services provider's stock worth $7,159,000 after purchasing an additional 7,480 shares during the last quarter. Balefire LLC purchased a new position in Fifth Third Bancorp in the second quarter worth $212,000. Finally, Central Bank & Trust Co. bought a new stake in shares of Fifth Third Bancorp in the second quarter valued at $289,000. Hedge funds and other institutional investors own 83.79% of the company's stock.

Fifth Third Bancorp Stock Performance

Shares of NASDAQ:FITB traded down $0.20 during midday trading on Friday, reaching $46.08. 8,455,666 shares of the company traded hands, compared to its average volume of 4,085,903. The company has a quick ratio of 0.81, a current 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 market capitalization of $30.50 billion, a price-to-earnings ratio of 14.31, a price-to-earnings-growth ratio of 1.48 and a beta of 0.93. The firm's fifty day moving average price is $43.70 and its two-hundred day moving average price is $40.19.

Fifth Third Bancorp announced that its board has initiated a share repurchase plan 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 plans are generally an indication that the company's board believes its stock is undervalued.

Fifth Third Bancorp Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 15th. Investors of record on Tuesday, September 30th will be paid a dividend of $0.40 per share. This represents a $1.60 dividend on an annualized basis and a dividend yield of 3.5%. The ex-dividend date is Tuesday, September 30th. This is a positive change from Fifth Third Bancorp's previous quarterly dividend of $0.37. Fifth Third Bancorp's dividend payout ratio is presently 45.96%.

Analysts Set New Price Targets

Several brokerages have issued reports on FITB. Wells Fargo & Company boosted their target price on Fifth Third Bancorp from $48.00 to $52.00 and gave the company an "overweight" rating in a research note on Tuesday, June 10th. DA Davidson upgraded Fifth Third Bancorp from a "hold" rating to a "strong-buy" rating and boosted their target price for the company from $42.00 to $47.00 in a research note on Monday, June 9th. Piper Sandler boosted their target price on Fifth Third Bancorp from $48.00 to $50.00 and gave the company an "overweight" rating in a research note on Wednesday, September 10th. Finally, Truist Financial boosted their target price on Fifth Third Bancorp from $48.00 to $52.00 and gave the company a "buy" rating in a research note on Friday, September 12th. Two research analysts have rated the stock with a Strong Buy rating, ten have assigned a Buy rating and five have issued a Hold rating to the stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $48.13.

Fifth Third Bancorp 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.