Charles Schwab Investment Management Inc. Buys 1,909,162 Shares of Regions Financial Corporation (NYSE:RF)

Key Points

• Charles Schwab Investment Management Inc. increased its stake in Regions Financial Corporation by 6.5%, adding 1,909,162 shares to its holdings, bringing its total to about 31 million shares valued at approximately $675 million.
• Regions Financial has recently raised its quarterly dividend from $0.25 to $0.265 per share, resulting in a yield of 4.3%, with a dividend payout ratio of 49.30%.
• Analysts have varying outlooks on Regions Financial, with an overall average rating of "Moderate Buy" and a consensus price target of $27.33.

Charles Schwab Investment Management Inc. boosted its position in shares of Regions Financial Corporation (NYSE:RF - Free Report) by 6.5% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 31,092,742 shares of the bank's stock after purchasing an additional 1,909,162 shares during the period. Charles Schwab Investment Management Inc. owned about 3.43% of Regions Financial worth $675,645,000 at the end of the most recent reporting period.

A number of other large investors have also recently added to or reduced their stakes in RF. Invesco Ltd. grew its position in Regions Financial by 14.5% in the fourth quarter. Invesco Ltd. now owns 15,468,674 shares of the bank's stock valued at $363,823,000 after purchasing an additional 1,963,954 shares in the last quarter. Deutsche Bank AG boosted its stake in shares of Regions Financial by 52.7% during the 4th quarter. Deutsche Bank AG now owns 5,522,612 shares of the bank's stock worth $129,892,000 after buying an additional 1,907,121 shares during the last quarter. Raymond James Financial Inc. acquired a new position in shares of Regions Financial during the 4th quarter worth about $31,480,000. AustralianSuper Pty Ltd bought a new position in shares of Regions Financial in the 1st quarter valued at about $28,726,000. Finally, Northern Trust Corp increased its position in shares of Regions Financial by 14.8% in the fourth quarter. Northern Trust Corp now owns 9,658,858 shares of the bank's stock valued at $227,176,000 after acquiring an additional 1,247,882 shares during the last quarter. Institutional investors own 79.39% of the company's stock.

Analysts Set New Price Targets

A number of research analysts have weighed in on RF shares. Keefe, Bruyette & Woods raised their price target on Regions Financial from $29.00 to $30.00 and gave the company an "outperform" rating in a research note on Monday, July 21st. TD Cowen began coverage on Regions Financial in a report on Thursday, May 15th. They issued a "buy" rating and a $31.00 price objective for the company. Barclays restated an "underweight" rating and set a $27.00 target price (up from $24.00) on shares of Regions Financial in a report on Monday, July 21st. Citigroup increased their price target on shares of Regions Financial from $27.00 to $30.00 and gave the company a "buy" rating in a research note on Thursday, July 24th. Finally, DA Davidson lifted their price objective on shares of Regions Financial from $25.00 to $29.00 and gave the company a "buy" rating in a research report on Monday, July 21st. One investment analyst has rated the stock with a sell rating, eight have issued a hold rating and eleven have assigned a buy rating to the stock. According to data from MarketBeat, Regions Financial presently has an average rating of "Moderate Buy" and a consensus price target of $27.33.

Regions Financial Stock Performance

RF opened at $24.63 on Friday. The company has a debt-to-equity ratio of 0.30, a quick ratio of 0.82 and a current ratio of 0.82. Regions Financial Corporation has a 52-week low of $17.74 and a 52-week high of $27.96. The firm has a market cap of $22.14 billion, a P/E ratio of 11.45, a price-to-earnings-growth ratio of 1.43 and a beta of 1.01. The business's fifty day moving average is $23.83 and its 200-day moving average is $22.60.

Regions Financial (NYSE:RF - Get Free Report) last announced its quarterly earnings data on Friday, July 18th. The bank reported $0.60 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.56 by $0.04. The firm had revenue of $1.91 billion for the quarter, compared to the consensus estimate of $1.86 billion. Regions Financial had a net margin of 21.81% and a return on equity of 13.08%. The business's revenue for the quarter was up 10.1% on a year-over-year basis. During the same period in the prior year, the company posted $0.52 earnings per share. Sell-side analysts expect that Regions Financial Corporation will post 2.26 EPS for the current fiscal year.

Regions Financial Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, October 1st. Shareholders of record on Tuesday, September 2nd will be paid a dividend of $0.265 per share. The ex-dividend date is Tuesday, September 2nd. This is a boost from Regions Financial's previous quarterly dividend of $0.25. This represents a $1.06 annualized dividend and a yield of 4.3%. Regions Financial's dividend payout ratio is currently 49.30%.

Regions Financial Company Profile

Regions Financial Corporation, a financial holding company, provides banking and bank-related services to individual and corporate customers. It operates through three segments: Corporate Bank, Consumer Bank, and Wealth Management. The Corporate Bank segment offers commercial banking services, such as commercial and industrial, commercial real estate, and investor real estate lending; equipment lease financing; deposit products; and securities underwriting and placement, loan syndication and placement, foreign exchange, derivatives, merger and acquisition, and other advisory services.

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