Canada Pension Plan Investment Board Invests $13.79 Million in Eastern Bankshares, Inc. $EBC

Key Points

• Canada Pension Plan Investment Board acquired 620,100 Eastern Bankshares shares worth approximately $13.79 million, giving it a 0.27% stake. Institutional investors collectively own 71.68% of the company.
• Eastern Bankshares exceeded quarterly expectations, reporting $0.49 in earnings per share versus a $0.46 consensus estimate and revenue of $316.01 million versus $308.20 million expected.
• The company declared a quarterly dividend of $0.15 per share, equal to $0.60 annually and a 2.7% yield. Analysts maintain a “Moderate Buy” consensus with an average price target of $24.86.

Canada Pension Plan Investment Board bought a new stake in Eastern Bankshares, Inc. (NASDAQ:EBC - Free Report) in the second quarter, according to the company in its most recent Form 13F filing with the SEC. The fund bought 620,100 shares of the company's stock, valued at approximately $13,791,000. Canada Pension Plan Investment Board owned about 0.27% of Eastern Bankshares at the end of the most recent quarter.

Several other institutional investors also recently bought and sold shares of the stock. Vanguard Group Inc. lifted its holdings in shares of Eastern Bankshares by 12.6% during the 4th quarter. Vanguard Group Inc. now owns 21,874,030 shares of the company's stock worth $403,138,000 after acquiring an additional 2,440,017 shares during the period. UBS Group AG grew its holdings in Eastern Bankshares by 249.9% during the 4th quarter. UBS Group AG now owns 1,810,225 shares of the company's stock valued at $33,362,000 after purchasing an additional 1,292,857 shares in the last quarter. Algebris UK Ltd. lifted its stake in shares of Eastern Bankshares by 21.8% in the fourth quarter. Algebris UK Ltd. now owns 624,471 shares of the company's stock worth $11,514,000 after acquiring an additional 111,811 shares in the last quarter. Oregon Public Employees Retirement Fund purchased a new position in shares of Eastern Bankshares during the 2nd quarter valued at approximately $1,074,000. Finally, Minerva Advisors LLC bought a new position in Eastern Bankshares during the 4th quarter valued at $1,153,000. 71.68% of the stock is currently owned by hedge funds and other institutional investors.

Eastern Bankshares Stock Performance

Shares of EBC opened at $22.29 on Friday. Eastern Bankshares, Inc. has a 1 year low of $16.61 and a 1 year high of $23.77. The company has a market cap of $5.09 billion, a price-to-earnings ratio of 12.66 and a beta of 0.68. The company has a debt-to-equity ratio of 0.09, a quick ratio of 0.90 and a current ratio of 0.90. The firm has a fifty day moving average of $22.67 and a 200-day moving average of $20.97.

Eastern Bankshares (NASDAQ:EBC - Get Free Report) last released its quarterly earnings data on Thursday, July 23rd. The company reported $0.49 earnings per share for the quarter, topping analysts' consensus estimates of $0.46 by $0.03. Eastern Bankshares had a net margin of 25.12% and a return on equity of 8.71%. The business had revenue of $316.01 million for the quarter, compared to analysts' expectations of $308.20 million. As a group, equities analysts anticipate that Eastern Bankshares, Inc. will post 1.88 earnings per share for the current year.

Eastern Bankshares Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, September 22nd. Shareholders of record on Tuesday, September 8th will be given a $0.15 dividend. The ex-dividend date is Tuesday, September 8th. This represents a $0.60 annualized dividend and a yield of 2.7%. Eastern Bankshares's dividend payout ratio is 34.09%.

Analyst Upgrades and Downgrades

A number of brokerages have recently weighed in on EBC. DA Davidson boosted their price target on Eastern Bankshares from $24.00 to $25.00 and gave the company a "buy" rating in a report on Monday, July 27th. Keefe, Bruyette & Woods increased their price objective on shares of Eastern Bankshares from $23.00 to $25.00 and gave the stock an "outperform" rating in a research note on Monday, July 27th. Stephens cut shares of Eastern Bankshares from an "overweight" rating to an "equal weight" rating and set a $24.00 target price on the stock. in a report on Tuesday, July 28th. Hovde Group lifted their target price on Eastern Bankshares from $23.50 to $26.00 and gave the company an "outperform" rating in a research note on Monday, July 27th. Finally, Weiss Ratings reaffirmed a "buy (b)" rating on shares of Eastern Bankshares in a report on Friday, August 7th. Six equities research 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 stock presently has a consensus rating of "Moderate Buy" and an average price target of $24.86.

Insider Activity

In other news, Director Luis Borgen sold 1,710 shares of the business's stock in a transaction that occurred on Monday, July 6th. The stock was sold at an average price of $22.71, for a total transaction of $38,834.10. Following the completion of the transaction, the director directly owned 20,475 shares in the company, valued at approximately $464,987.25. The trade was a 7.71% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, Director Joseph F. Casey sold 10,000 shares of the stock in a transaction that occurred on Monday, August 24th. The stock was sold at an average price of $22.72, for a total value of $227,200.00. Following the completion of the transaction, the director directly owned 62,079 shares of the company's stock, valued at $1,410,434.88. This trade represents a 13.87% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 35,197 shares of company stock valued at $809,724. 1.26% of the stock is owned by insiders.

Eastern Bankshares Profile

Eastern Bankshares, Inc is the bank holding company for Eastern Bank, one of the oldest and largest mutual banks in the United States. Founded in 1818 as Salem Savings Bank and later rebranded as Eastern Bank in 1989, the company preserved its mutual ownership structure for more than two centuries. In March 2020, it completed an initial public offering and began trading on the Nasdaq under the ticker EBC, while continuing to emphasize its community-focused heritage.

Through its primary subsidiary, Eastern Bank, the company delivers a broad range of commercial and consumer banking products.

Want to see what other hedge funds are holding EBC? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Eastern Bankshares, Inc. (NASDAQ:EBC - Free Report).

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