Ethic Inc. Purchases 17,334 Shares of HSBC Holdings plc $HSBC

Key Points

• Ethic Inc. increased its HSBC stake by 9.9% in the third quarter, buying 17,334 shares and ending the period with 191,715 shares valued at about $19.0 million.
• Analyst views are mixed: four rate HSBC a Buy, ten a Hold and two a Sell, giving the stock an average rating of Hold and an average price target of $97.
• HSBC reported quarterly earnings of $2.10 per share, below the $2.20 consensus estimate, and revenue of $18.68 billion, also below forecasts. It announced a quarterly dividend of $0.50 per share, equivalent to a 2.3% annualized yield.

Ethic Inc. lifted its position in shares of HSBC Holdings plc (NYSE:HSBC - Free Report) by 9.9% in the 3rd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 191,715 shares of the financial services provider's stock after purchasing an additional 17,334 shares during the period. Ethic Inc.'s holdings in HSBC were worth $19,039,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also recently modified their holdings of the company. Quantinno Capital Management LP lifted its stake in HSBC by 20.9% during the first quarter. Quantinno Capital Management LP now owns 525,775 shares of the financial services provider's stock worth $43,371,000 after purchasing an additional 90,711 shares during the last quarter. Engineers Gate Manager LP purchased a new position in HSBC in the second quarter valued at approximately $4,412,000. Bessemer Group Inc. increased its stake in HSBC by 1,921.0% in the first quarter. Bessemer Group Inc. now owns 38,056 shares of the financial services provider's stock valued at $3,139,000 after purchasing an additional 36,173 shares during the last quarter. Signal Advisors Wealth LLC purchased a new position in HSBC in the third quarter valued at approximately $1,325,000. Finally, QRG Capital Management Inc. raised its holdings in HSBC by 13.4% during the second quarter. QRG Capital Management Inc. now owns 264,385 shares of the financial services provider's stock worth $25,140,000 after purchasing an additional 31,191 shares in the last quarter. Institutional investors and hedge funds own 1.48% of the company's stock.

Analysts Set New Price Targets

Several analysts have recently weighed in on the stock. Keefe, Bruyette & Woods downgraded shares of HSBC from a "moderate buy" rating to a "hold" rating in a research report on Sunday, September 13th. Deutsche Bank Aktiengesellschaft reaffirmed a "neutral" rating on shares of HSBC in a research report on Wednesday, August 5th. The Goldman Sachs Group reiterated a "buy" rating on shares of HSBC in a research note on Wednesday, August 5th. Shore Capital Group cut shares of HSBC to a "sell" rating in a research report on Wednesday, August 5th. Finally, Weiss Ratings raised shares of HSBC from a "hold (c)" rating to a "buy (b-)" rating in a research report on Wednesday, October 28th. Four analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, the company presently has an average rating of "Hold" and an average price target of $97.00.

HSBC News Roundup

Here are the key news stories impacting HSBC this week:

• Positive Sentiment: HSBC reported repurchasing about $65.9 million of its shares under its ongoing buyback, which modestly supports per-share value. HSBC Repurchases Shares in Ongoing US$65.9 Million Buyback
• Neutral Sentiment: The bank raised the maximum size of its cash tender offer for securities to $1.5 billion. This is a debt-management action, with no clear near-term effect on shareholder earnings. HSBC Raises Tender Offer Maximum to $1.5 Billion
• Neutral Sentiment: HSBC disclosed conditional share awards for employees. The announcement is a routine compensation item; the reported grant size appears small relative to the company. HSBC Grants Conditional Shares Under Employee Plan
• Negative Sentiment: An HSBC strategist warned that Anthropic’s expected IPO could trigger another market selloff, making it a potential test of investor appetite for highly valued AI-related stocks. A broader pullback could weigh on bank shares, though the warning is not specific to HSBC’s fundamentals. Anthropic’s IPO Could Trigger Another Selloff, HSBC Strategist Warns

HSBC Stock Down 1.1%

Shares of NYSE HSBC opened at $87.09 on Friday. The business has a 50-day moving average price of $96.78 and a 200 day moving average price of $93.45. The stock has a market cap of $298.58 billion, a PE ratio of 11.31, a price-to-earnings-growth ratio of 0.96 and a beta of 0.56. The company has a quick ratio of 0.89, a current ratio of 0.89 and a debt-to-equity ratio of 0.53. HSBC Holdings plc has a 52-week low of $67.56 and a 52-week high of $107.92.

HSBC (NYSE:HSBC - Get Free Report) last released its quarterly earnings results on Tuesday, October 27th. The financial services provider reported $2.10 EPS for the quarter, missing the consensus estimate of $2.20 by ($0.10). HSBC had a return on equity of 14.33% and a net margin of 19.59%. The firm had revenue of $18.68 billion for the quarter, compared to analyst estimates of $18.98 billion. Equities research analysts forecast that HSBC Holdings plc will post 8.41 earnings per share for the current year.

HSBC Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, December 17th. Stockholders of record on Friday, November 6th will be issued a $0.50 dividend. This represents a $2.00 dividend on an annualized basis and a dividend yield of 2.3%. The ex-dividend date of this dividend is Friday, November 6th. HSBC's payout ratio is presently 25.71%.

About HSBC

HSBC Holdings plc is a global banking and financial services company serving individuals, businesses, institutions and governments. Its services include personal and commercial banking, wealth management, private banking, and corporate and investment banking.

The company provides products such as deposit accounts, lending, payments, trade finance, foreign exchange and investment services. Its international network supports clients with cross-border banking and financial needs.

HSBC traces its origins to the Hongkong and Shanghai Banking Corporation, founded in 1865 to finance trade in Asia.

Want to see what other hedge funds are holding HSBC? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for HSBC Holdings plc (NYSE:HSBC - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.