Connor Clark & Lunn Investment Management Ltd. Makes New $2.23 Million Investment in Home BancShares, Inc. $HOMB

Key Points

• Connor Clark & Lunn Investment Management acquired 77,966 Home BancShares shares worth approximately $2.23 million during the second quarter. Institutional investors and hedge funds collectively own 67.31% of the company.
• Home BancShares beat quarterly earnings and revenue expectations, reporting $0.64 EPS and $295.1 million in revenue, with revenue up 8.9% year over year. The company also raised its quarterly dividend to $0.23 per share, implying a 3.1% yield.
• Analysts maintain a consensus “Moderate Buy” rating with an average price target of $32.83, compared with the stock’s reported price of $29.66. CEO John Stephen Tipton separately sold 12,000 shares at an average price of $31.59.

Connor Clark & Lunn Investment Management Ltd. purchased a new stake in Home BancShares, Inc. (NYSE:HOMB - Free Report) during the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund purchased 77,966 shares of the financial services provider's stock, valued at approximately $2,226,000.

Other institutional investors and hedge funds also recently made changes to their positions in the company. Root Financial Partners LLC boosted its position in Home BancShares by 76.9% during the 1st quarter. Root Financial Partners LLC now owns 1,090 shares of the financial services provider's stock worth $29,000 after acquiring an additional 474 shares during the last quarter. CIBC Private Wealth Group LLC boosted its holdings in Home BancShares by 164.8% during the fourth quarter. CIBC Private Wealth Group LLC now owns 1,083 shares of the financial services provider's stock worth $30,000 after purchasing an additional 674 shares during the last quarter. Kestra Advisory Services LLC acquired a new position in Home BancShares during the fourth quarter worth $36,000. Covestor Ltd grew its position in Home BancShares by 110.6% in the fourth quarter. Covestor Ltd now owns 1,327 shares of the financial services provider's stock valued at $37,000 after purchasing an additional 697 shares in the last quarter. Finally, Binnacle Investments Inc grew its position in Home BancShares by 76.7% in the second quarter. Binnacle Investments Inc now owns 1,329 shares of the financial services provider's stock valued at $38,000 after purchasing an additional 577 shares in the last quarter. Institutional investors and hedge funds own 67.31% of the company's stock.

Insiders Place Their Bets

In related news, CEO John Stephen Tipton sold 12,000 shares of the firm's stock in a transaction on Tuesday, August 4th. The stock was sold at an average price of $31.59, for a total transaction of $379,080.00. Following the sale, the chief executive officer owned 76,308 shares of the company's stock, valued at $2,410,569.72. This trade represents a 13.59% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. 6.39% of the stock is owned by corporate insiders.

Home BancShares Trading Down 0.0%

Shares of Home BancShares stock opened at $29.66 on Friday. The company has a debt-to-equity ratio of 0.16, a quick ratio of 0.92 and a current ratio of 0.92. The firm has a 50-day moving average of $30.01 and a 200-day moving average of $28.24. Home BancShares, Inc. has a 52-week low of $25.50 and a 52-week high of $31.70. The stock has a market cap of $5.93 billion, a PE ratio of 12.26 and a beta of 0.69.

Home BancShares (NYSE:HOMB - Get Free Report) last released its quarterly earnings results on Wednesday, July 15th. The financial services provider reported $0.64 earnings per share for the quarter, beating analysts' consensus estimates of $0.62 by $0.02. Home BancShares had a net margin of 32.10% and a return on equity of 11.12%. The company had revenue of $295.10 million during the quarter, compared to the consensus estimate of $288.70 million. During the same period in the previous year, the business earned $0.58 earnings per share. The firm's quarterly revenue was up 8.9% on a year-over-year basis. As a group, sell-side analysts forecast that Home BancShares, Inc. will post 2.51 EPS for the current year.

Home BancShares Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, September 2nd. Shareholders of record on Wednesday, August 12th will be given a $0.23 dividend. This is an increase from Home BancShares's previous quarterly dividend of $0.21. This represents a $0.92 dividend on an annualized basis and a yield of 3.1%. The ex-dividend date is Wednesday, August 12th. Home BancShares's dividend payout ratio (DPR) is 38.02%.

Analyst Ratings Changes

Several analysts recently issued reports on HOMB shares. Stephens upped their target price on Home BancShares from $32.00 to $35.00 and gave the stock an "overweight" rating in a report on Friday, July 17th. Citigroup restated a "neutral" rating and issued a $32.00 price target (up from $29.00) on shares of Home BancShares in a research note on Tuesday, July 21st. Cantor Fitzgerald reaffirmed an "overweight" rating and set a $31.00 price target (up from $30.00) on shares of Home BancShares in a research report on Wednesday, August 19th. Weiss Ratings upgraded Home BancShares from a "buy (b-)" rating to a "buy (b)" rating in a research note on Wednesday, August 5th. Finally, Keefe, Bruyette & Woods increased their price objective on Home BancShares from $30.00 to $32.00 and gave the company a "market perform" rating in a report on Friday, July 17th. Four research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company's stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $32.83.

Home BancShares Company Profile

Home BancShares, Inc is a bank holding company based in Conway, Arkansas, operating through its primary subsidiary, Home Bank, National Association. Founded in March 1999, the company provides a comprehensive suite of banking services to individuals, small and middle-market businesses, and public entities. These services encompass deposit accounts, consumer and commercial lending, mortgage origination and servicing, treasury management, and wealth management solutions.

The company's core products include checking and savings accounts, certificates of deposit, and money market accounts, as well as a variety of loan offerings such as commercial real estate financing, equipment loans, agricultural lending, and residential mortgages.

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