Customers Bancorp, Inc $CUBI Shares Sold by Royce & Associates LP

Key Points

• Royce & Associates LP trimmed its Customers Bancorp stake by 11.3% in the fourth quarter, selling 30,283 shares and ending with 237,547 shares valued at about $17.4 million.
• Customers Bancorp reported strong quarterly results, with EPS of $1.97 beating estimates and revenue rising 57.9% year over year to $225.4 million. The bank also announced a $100 million share buyback authorization.
• Insider trading was mixed: EVP Philip Watkins sold 3,000 shares, while CEO Samvir S. Sidhu bought 1,000 shares. Analysts currently have a consensus rating of Moderate Buy with a target price of $87.50.

Royce & Associates LP lessened its stake in Customers Bancorp, Inc (NYSE:CUBI - Free Report) by 11.3% in the 4th quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 237,547 shares of the bank's stock after selling 30,283 shares during the quarter. Royce & Associates LP owned about 0.70% of Customers Bancorp worth $17,369,000 at the end of the most recent reporting period.

Several other hedge funds also recently added to or reduced their stakes in the business. Arizona State Retirement System grew its position in Customers Bancorp by 1.8% in the third quarter. Arizona State Retirement System now owns 8,879 shares of the bank's stock worth $580,000 after acquiring an additional 155 shares during the period. Alliancebernstein L.P. grew its position in Customers Bancorp by 0.5% in the third quarter. Alliancebernstein L.P. now owns 34,054 shares of the bank's stock worth $2,226,000 after acquiring an additional 182 shares during the period. Smartleaf Asset Management LLC grew its position in Customers Bancorp by 17.1% in the third quarter. Smartleaf Asset Management LLC now owns 1,755 shares of the bank's stock worth $115,000 after acquiring an additional 256 shares during the period. Amalgamated Bank grew its position in Customers Bancorp by 3.5% in the third quarter. Amalgamated Bank now owns 8,668 shares of the bank's stock worth $567,000 after acquiring an additional 290 shares during the period. Finally, Lido Advisors LLC grew its position in Customers Bancorp by 5.3% in the third quarter. Lido Advisors LLC now owns 5,957 shares of the bank's stock worth $389,000 after acquiring an additional 300 shares during the period. 89.29% of the stock is currently owned by hedge funds and other institutional investors.

Customers Bancorp Stock Up 2.5%

Shares of NYSE CUBI opened at $77.00 on Wednesday. The stock has a market cap of $2.60 billion, a P/E ratio of 9.77 and a beta of 1.52. The company has a current ratio of 1.01, a quick ratio of 1.01 and a debt-to-equity ratio of 0.81. Customers Bancorp, Inc has a 12-month low of $49.54 and a 12-month high of $82.56. The business's fifty day simple moving average is $73.18 and its 200-day simple moving average is $72.78.

Customers Bancorp (NYSE:CUBI - Get Free Report) last announced its quarterly earnings data on Thursday, April 23rd. The bank reported $1.97 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.88 by $0.09. The business had revenue of $225.40 million for the quarter, compared to analysts' expectations of $223.51 million. Customers Bancorp had a return on equity of 14.12% and a net margin of 18.63%.The company's revenue for the quarter was up 57.9% compared to the same quarter last year. During the same period last year, the firm earned $1.54 earnings per share. As a group, equities analysts predict that Customers Bancorp, Inc will post 8.52 EPS for the current fiscal year.

Customers Bancorp announced that its board has approved a share buyback program on Wednesday, February 11th that permits the company to buyback $100.00 million in outstanding shares. This buyback authorization permits the bank to reacquire up to 4% of its stock through open market purchases. Stock buyback programs are usually a sign that the company's board believes its shares are undervalued.

Insider Buying and Selling at Customers Bancorp

In other Customers Bancorp news, EVP Philip Watkins sold 3,000 shares of the firm's stock in a transaction on Monday, May 11th. The stock was sold at an average price of $75.67, for a total value of $227,010.00. Following the sale, the executive vice president directly owned 43,993 shares in the company, valued at $3,328,950.31. This trade represents a 6.38% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Samvir S. Sidhu purchased 1,000 shares of the business's stock in a transaction on Tuesday, May 12th. The stock was acquired at an average price of $72.58 per share, for a total transaction of $72,580.00. Following the completion of the purchase, the chief executive officer owned 521,714 shares of the company's stock, valued at $37,866,002.12. This represents a 0.19% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. 10.45% of the stock is currently owned by company insiders.

Wall Street Analysts Forecast Growth

CUBI has been the subject of several analyst reports. Morgan Stanley lowered their price objective on Customers Bancorp from $92.00 to $83.00 and set an "equal weight" rating for the company in a research report on Tuesday, March 31st. Stephens upgraded Customers Bancorp from an "underweight" rating to an "equal weight" rating and set a $71.00 price target for the company in a research report on Monday, March 16th. JPMorgan Chase & Co. lowered their price target on Customers Bancorp from $90.00 to $84.00 and set an "overweight" rating for the company in a research report on Wednesday, April 1st. Weiss Ratings upgraded Customers Bancorp from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Monday, March 2nd. Finally, DA Davidson raised their price target on Customers Bancorp from $91.00 to $93.00 and gave the stock a "buy" rating in a research report on Monday, April 27th. One investment analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and five have issued a Hold rating to the company's stock. According to MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $87.50.

Customers Bancorp Profile

Customers Bancorp, Inc NYSE: CUBI is a bank holding company headquartered in Phoenixville, Pennsylvania, and the parent of Customers Bank, a federally chartered institution. The company offers a full suite of commercial and consumer banking services, combining traditional deposit and lending products with modern digital banking platforms. As a publicly traded entity, Customers Bancorp focuses on delivering tailored financial solutions to mid‐market companies, small businesses, professionals and individuals across the United States.

Through its commercial banking division, the company provides term loans, lines of credit, real estate financing, asset‐based lending and treasury management services.

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