Bank of America Corp DE Invests $56.39 Million in First Interstate BancSystem, Inc. $FIBK

Key Points

• Bank of America acquired a new $56.39 million stake in First Interstate BancSystem, purchasing 1.46 million shares and owning approximately 1.53% of the company. Institutional investors and hedge funds collectively own 88.71% of FIBK.
• Analyst sentiment is cautious, with a consensus rating of “Reduce” and an average price target of $36.83. Wells Fargo and Barclays both maintained or assigned underweight ratings, while the stock recently traded at $37.35.
• First Interstate exceeded quarterly expectations, reporting $0.87 in EPS versus the $0.69 estimate and revenue of $263.9 million, up 6.4% year over year. The company also pays a $0.47 quarterly dividend, representing a 5.0% annualized yield.

Bank of America Corp DE purchased a new stake in shares of First Interstate BancSystem, Inc. (NASDAQ:FIBK - Free Report) during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund purchased 1,462,281 shares of the financial services provider's stock, valued at approximately $56,386,000. Bank of America Corp DE owned approximately 1.53% of First Interstate BancSystem at the end of the most recent quarter.

Several other large investors have also recently bought and sold shares of the business. Man Group plc acquired a new stake in shares of First Interstate BancSystem during the second quarter worth approximately $1,966,000. Jupiter Topco LLC purchased a new stake in First Interstate BancSystem in the 2nd quarter worth approximately $1,442,000. Hsbc Holdings PLC purchased a new stake in First Interstate BancSystem in the 2nd quarter worth approximately $1,707,000. Canada Pension Plan Investment Board acquired a new stake in shares of First Interstate BancSystem during the 2nd quarter valued at $563,000. Finally, Legal & General Group Plc acquired a new stake in shares of First Interstate BancSystem during the 2nd quarter valued at $7,746,000. 88.71% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently weighed in on FIBK shares. Wells Fargo & Company reaffirmed an "underweight" rating and issued a $34.00 price target (down from $36.00) on shares of First Interstate BancSystem in a research note on Monday, August 10th. Wall Street Zen raised First Interstate BancSystem from a "strong sell" rating to a "sell" rating in a research report on Monday, June 22nd. DA Davidson restated a "neutral" rating and issued a $39.00 target price on shares of First Interstate BancSystem in a research note on Monday, July 27th. Weiss Ratings raised First Interstate BancSystem from a "buy (b-)" rating to a "buy (b)" rating in a research report on Wednesday, July 1st. Finally, Barclays downgraded First Interstate BancSystem from an "equal weight" rating to an "underweight" rating and cut their price target for the stock from $38.00 to $37.00 in a research note on Monday, August 3rd. Two investment analysts have rated the stock with a Buy rating, three have issued a Hold rating and three have assigned a Sell rating to the company's stock. According to data from MarketBeat, the company presently has a consensus rating of "Reduce" and an average target price of $36.83.

First Interstate BancSystem Price Performance

NASDAQ FIBK opened at $37.35 on Monday. First Interstate BancSystem, Inc. has a twelve month low of $29.10 and a twelve month high of $40.60. The company has a debt-to-equity ratio of 0.09, a quick ratio of 0.69 and a current ratio of 0.69. The stock has a market capitalization of $3.56 billion, a PE ratio of 11.49 and a beta of 0.75. The stock has a 50-day simple moving average of $37.89 and a 200 day simple moving average of $36.19.

First Interstate BancSystem (NASDAQ:FIBK - Get Free Report) last issued its quarterly earnings results on Thursday, July 23rd. The financial services provider reported $0.87 EPS for the quarter, topping the consensus estimate of $0.69 by $0.18. The company had revenue of $263.90 million for the quarter, compared to the consensus estimate of $249.32 million. First Interstate BancSystem had a return on equity of 9.55% and a net margin of 23.63%.The company's revenue for the quarter was up 6.4% on a year-over-year basis. During the same period in the previous year, the business posted $0.69 EPS. Research analysts anticipate that First Interstate BancSystem, Inc. will post 2.84 EPS for the current year.

First Interstate BancSystem Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, August 14th. Investors of record on Tuesday, August 4th were given a dividend of $0.47 per share. The ex-dividend date of this dividend was Tuesday, August 4th. This represents a $1.88 dividend on an annualized basis and a yield of 5.0%. First Interstate BancSystem's dividend payout ratio (DPR) is 57.85%.

Insider Activity

In other First Interstate BancSystem news, major shareholder Jonathan Scott sold 16,929 shares of the firm's stock in a transaction that occurred on Friday, September 11th. The stock was sold at an average price of $37.03, for a total value of $626,880.87. Following the completion of the sale, the insider owned 825,809 shares in the company, valued at approximately $30,579,707.27. This trade represents a 2.01% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, major shareholder Julie A. Scott sold 2,700 shares of First Interstate BancSystem stock in a transaction that occurred on Wednesday, September 16th. The stock was sold at an average price of $37.64, for a total value of $101,628.00. Following the sale, the insider directly owned 484,309 shares in the company, valued at $18,229,390.76. The trade was a 0.55% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 27,700 shares of company stock worth $1,029,476 over the last 90 days. Corporate insiders own 8.00% of the company's stock.

About First Interstate BancSystem

First Interstate BancSystem, Inc is a financial holding company headquartered in Billings, Montana. Through its principal subsidiary, First Interstate Bank, the company provides community banking services to individuals, businesses, governmental entities and nonprofit organizations.

Its products and services include personal and business deposit accounts, consumer and commercial lending, mortgage banking, treasury management, online and mobile banking, investment services, and wealth management.

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