BlackRock Inc. Makes New $166.35 Million Investment in 1st Source Corporation $SRCE

Key Points

• BlackRock acquired 2.04 million shares of 1st Source in the second quarter, valued at approximately $166.4 million and representing an 8.47% stake. Institutional investors collectively own 74.45% of the company.
• Analysts maintain a generally positive outlook, with the stock carrying a “Moderate Buy” consensus rating and an average price target of $89.67. Piper Sandler raised its target to $100 and assigned an “overweight” rating.
• 1st Source exceeded quarterly earnings expectations, reporting $1.95 in EPS versus the $1.71 consensus and revenue of $118.16 million. The company also raised its quarterly dividend to $0.45 per share, implying a 2.1% yield.

BlackRock Inc. acquired a new position in 1st Source Corporation (NASDAQ:SRCE - Free Report) in the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund acquired 2,039,169 shares of the financial services provider's stock, valued at approximately $166,355,000. BlackRock Inc. owned about 8.47% of 1st Source as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also added to or reduced their stakes in SRCE. Arrowstreet Capital Limited Partnership boosted its stake in shares of 1st Source by 99.2% during the first quarter. Arrowstreet Capital Limited Partnership now owns 102,785 shares of the financial services provider's stock valued at $7,114,000 after purchasing an additional 51,191 shares in the last quarter. Principal Financial Group Inc. acquired a new position in shares of 1st Source in the first quarter valued at approximately $1,628,000. CM Management LLC acquired a new position in shares of 1st Source in the fourth quarter valued at approximately $1,094,000. Edgestream Partners L.P. raised its holdings in 1st Source by 226.9% in the 1st quarter. Edgestream Partners L.P. now owns 42,833 shares of the financial services provider's stock valued at $2,964,000 after buying an additional 29,732 shares during the last quarter. Finally, Janus Henderson Group PLC raised its holdings in 1st Source by 37.4% in the 1st quarter. Janus Henderson Group PLC now owns 460,422 shares of the financial services provider's stock valued at $31,889,000 after buying an additional 125,248 shares during the last quarter. 74.45% of the stock is owned by institutional investors.

Insider Activity at 1st Source

In other news, CFO Brett A. Bauer sold 500 shares of the stock in a transaction that occurred on Monday, August 10th. The stock was sold at an average price of $87.89, for a total value of $43,945.00. Following the completion of the sale, the chief financial officer directly owned 30,706 shares of the company's stock, valued at $2,698,750.34. This represents a 1.60% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. 20.17% of the stock is currently owned by company insiders.

Wall Street Analyst Weigh In

Several brokerages have recently weighed in on SRCE. Piper Sandler increased their price target on 1st Source from $88.00 to $100.00 and gave the company an "overweight" rating in a research note on Tuesday, July 28th. Keefe, Bruyette & Woods lifted their price objective on 1st Source from $79.00 to $82.00 and gave the stock a "market perform" rating in a research note on Monday, July 27th. DA Davidson upped their target price on 1st Source from $77.00 to $87.00 and gave the company a "neutral" rating in a report on Monday, July 27th. Zacks Research raised shares of 1st Source from a "hold" rating to a "strong-buy" rating in a research report on Tuesday, July 28th. Finally, Weiss Ratings lowered shares of 1st Source from a "buy (a-)" rating to a "buy (b+)" rating in a report on Tuesday, July 28th. One analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and two have given a Hold rating to the company's stock. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average price target of $89.67.

1st Source Stock Down 0.1%

1st Source stock opened at $86.41 on Friday. The firm has a market capitalization of $2.08 billion, a price-to-earnings ratio of 13.25 and a beta of 0.57. The firm's fifty day moving average price is $85.05 and its two-hundred day moving average price is $76.41. 1st Source Corporation has a 1-year low of $56.89 and a 1-year high of $91.46. The company has a current ratio of 0.97, a quick ratio of 0.97 and a debt-to-equity ratio of 0.07.

1st Source (NASDAQ:SRCE - Get Free Report) last posted its earnings results on Thursday, July 23rd. The financial services provider reported $1.95 EPS for the quarter, topping the consensus estimate of $1.71 by $0.24. 1st Source had a net margin of 28.09% and a return on equity of 12.94%. The company had revenue of $118.16 million during the quarter, compared to the consensus estimate of $114.13 million. On average, equities research analysts predict that 1st Source Corporation will post 7.26 earnings per share for the current fiscal year.

1st Source Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, August 14th. Shareholders of record on Tuesday, August 4th were issued a dividend of $0.45 per share. The ex-dividend date of this dividend was Tuesday, August 4th. This represents a $1.80 dividend on an annualized basis and a yield of 2.1%. This is an increase from 1st Source's previous quarterly dividend of $0.43. 1st Source's dividend payout ratio is presently 27.61%.

1st Source Company Profile

1st Source Corporation is a bank holding company headquartered in South Bend, Indiana, operating through its wholly owned subsidiary, 1st Source Bank. The company offers a full range of commercial and consumer banking products, including checking and savings accounts, business and commercial lending, residential mortgage loans, and cash management services. Its client base spans small and medium-sized businesses, agribusinesses, professional firms, and individual consumers primarily across northern Indiana and southwestern Michigan.

In addition to traditional banking services, 1st Source Corporation provides wealth management and trust services through its 1st Source Wealth Management division.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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