Prudential PLC Boosts Stake in Cadence Bank $CADE

Key Points

• Prudential PLC significantly increased its stake in Cadence Bank by 209.7% in the first quarter, bringing its total holdings to 48,989 shares valued at approximately $1.5 million.
• Cadence Bank announced a quarterly dividend of $0.275 per share, with an annualized yield of 3.0%, payable on October 1st to shareholders of record.
• The company launched a share buyback plan authorizing the repurchase of up to 10 million shares, suggesting management's belief that the stock is undervalued.

Prudential PLC boosted its stake in Cadence Bank (NYSE:CADE - Free Report) by 209.7% during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 48,989 shares of the company's stock after acquiring an additional 33,170 shares during the period. Prudential PLC's holdings in Cadence Bank were worth $1,487,000 at the end of the most recent reporting period.

Several other institutional investors have also added to or reduced their stakes in the stock. Northern Trust Corp increased its position in shares of Cadence Bank by 15.0% during the fourth quarter. Northern Trust Corp now owns 2,684,312 shares of the company's stock valued at $92,475,000 after buying an additional 350,660 shares during the period. First Trust Advisors LP boosted its holdings in shares of Cadence Bank by 21.2% during the 4th quarter. First Trust Advisors LP now owns 2,634,335 shares of the company's stock valued at $90,753,000 after acquiring an additional 460,486 shares during the last quarter. Vaughan Nelson Investment Management L.P. lifted its holdings in shares of Cadence Bank by 8.1% during the 1st quarter. Vaughan Nelson Investment Management L.P. now owns 2,416,198 shares of the company's stock valued at $73,356,000 after buying an additional 181,465 shares during the period. Segall Bryant & Hamill LLC boosted its stake in shares of Cadence Bank by 2.1% in the 1st quarter. Segall Bryant & Hamill LLC now owns 1,370,231 shares of the company's stock worth $41,600,000 after buying an additional 28,363 shares during the last quarter. Finally, Millennium Management LLC grew its holdings in shares of Cadence Bank by 846.1% in the fourth quarter. Millennium Management LLC now owns 1,052,906 shares of the company's stock worth $36,273,000 after acquiring an additional 941,613 shares during the period. 84.61% of the stock is currently owned by institutional investors.

Analyst Upgrades and Downgrades

CADE has been the subject of several recent research reports. Keefe, Bruyette & Woods boosted their target price on shares of Cadence Bank from $40.00 to $41.00 and gave the company an "outperform" rating in a research report on Monday, July 28th. Stephens lifted their target price on Cadence Bank from $41.00 to $42.00 and gave the company an "overweight" rating in a research report on Monday, July 28th. Hovde Group upped their price target on Cadence Bank from $34.00 to $40.00 and gave the stock a "market perform" rating in a research report on Monday, July 28th. Piper Sandler lifted their price objective on Cadence Bank from $42.00 to $43.00 and gave the company an "overweight" rating in a research report on Monday, July 28th. Finally, Wall Street Zen cut Cadence Bank from a "hold" rating to a "sell" rating in a report on Saturday, July 26th. Seven investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average target price of $40.40.

Cadence Bank Trading Up 0.3%

CADE traded up $0.09 during trading on Tuesday, hitting $35.64. 433,184 shares of the stock were exchanged, compared to its average volume of 1,445,844. The firm has a 50 day simple moving average of $33.77 and a 200 day simple moving average of $31.81. The company has a debt-to-equity ratio of 0.25, a quick ratio of 0.87 and a current ratio of 0.87. Cadence Bank has a 1 year low of $25.22 and a 1 year high of $40.20. The firm has a market cap of $6.49 billion, a price-to-earnings ratio of 12.67 and a beta of 0.89.

Cadence Bank (NYSE:CADE - Get Free Report) last issued its quarterly earnings results on Wednesday, July 23rd. The company reported $0.73 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.69 by $0.04. Cadence Bank had a return on equity of 9.84% and a net margin of 18.79%.The business had revenue of $476.32 million for the quarter, compared to the consensus estimate of $467.60 million. During the same period in the prior year, the firm posted $0.73 earnings per share. As a group, equities analysts expect that Cadence Bank will post 2.94 EPS for the current year.

Cadence Bank declared that its Board of Directors has initiated a share repurchase plan on Friday, April 25th that allows the company to buyback 10,000,000 outstanding shares. This buyback authorization allows the company to buy shares of its stock through open market purchases. Stock buyback plans are often a sign that the company's board of directors believes its stock is undervalued.

Cadence Bank Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, October 1st. Investors of record on Monday, September 15th will be issued a dividend of $0.275 per share. The ex-dividend date of this dividend is Monday, September 15th. This represents a $1.10 dividend on an annualized basis and a yield of 3.1%. Cadence Bank's dividend payout ratio is 39.15%.

About Cadence Bank

Cadence Bank provides commercial banking and financial services. Its products and services include consumer banking, consumer loans, mortgages, home equity lines and loans, credit cards, commercial and business banking, treasury management, specialized and asset-based lending, commercial real estate, equipment financing, and correspondent banking services.