First Trust Advisors LP Trims Holdings in The Bancorp, Inc. $TBBK

Key Points

• First Trust Advisors LP cut its Bancorp stake by 17.6% in the first quarter, selling 25,089 shares and retaining 117,631 shares worth about $6.32 million. Institutional investors collectively own 96.22% of TBBK.
• Bancorp reported quarterly EPS of $1.45, beating the $1.36 consensus, while revenue of $137.74 million fell short of the $166.69 million estimate. Fintech transaction volume and deposits continued to grow, although net interest margin declined year over year.
• The company raised its fiscal 2026 EPS outlook to $5.95–$6.05 and repurchased $50 million of stock. Analysts remain broadly positive, with a “Moderate Buy” consensus rating and an average price target of $66.50.

First Trust Advisors LP lowered its position in shares of The Bancorp, Inc. (NASDAQ:TBBK - Free Report) by 17.6% during the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 117,631 shares of the bank's stock after selling 25,089 shares during the quarter. First Trust Advisors LP owned 0.28% of Bancorp worth $6,320,000 as of its most recent SEC filing.

A number of other hedge funds have also modified their holdings of TBBK. Hilton Head Capital Partners LLC bought a new stake in Bancorp during the fourth quarter valued at about $27,000. Lazard Asset Management LLC purchased a new position in Bancorp in the 2nd quarter worth approximately $53,000. Northwestern Mutual Wealth Management Co. boosted its stake in Bancorp by 732.2% in the 3rd quarter. Northwestern Mutual Wealth Management Co. now owns 749 shares of the bank's stock worth $56,000 after purchasing an additional 659 shares during the period. Kestra Advisory Services LLC bought a new position in Bancorp in the 4th quarter worth approximately $68,000. Finally, Covestor Ltd grew its holdings in Bancorp by 99.9% during the 4th quarter. Covestor Ltd now owns 2,029 shares of the bank's stock valued at $137,000 after buying an additional 1,014 shares in the last quarter. 96.22% of the stock is currently owned by institutional investors.

Bancorp Price Performance

Shares of TBBK opened at $67.07 on Monday. The firm has a market capitalization of $2.79 billion, a P/E ratio of 12.61 and a beta of 1.19. The Bancorp, Inc. has a 12-month low of $50.20 and a 12-month high of $81.65. The company has a current ratio of 0.88, a quick ratio of 0.87 and a debt-to-equity ratio of 0.30. The firm has a fifty day moving average price of $61.11 and a 200-day moving average price of $59.31.

Bancorp (NASDAQ:TBBK - Get Free Report) last announced its quarterly earnings data on Thursday, July 30th. The bank reported $1.45 earnings per share for the quarter, beating analysts' consensus estimates of $1.36 by $0.09. The company had revenue of $137.74 million during the quarter, compared to analyst estimates of $166.69 million. Bancorp had a net margin of 32.91% and a return on equity of 32.32%. Bancorp has set its Q4 2026 guidance at 1.650-1.750 EPS and its FY 2026 guidance at 5.950-6.050 EPS. Equities research analysts expect that The Bancorp, Inc. will post 6 earnings per share for the current year.

Key Stories Impacting Bancorp

Here are the key news stories impacting Bancorp this week:

• Positive Sentiment: Q2 earnings beat expectations: The Bancorp reported diluted EPS of $1.45, up 14.2% from $1.27 a year earlier and above the $1.36 analyst consensus. Net income rose to $60.7 million from $59.8 million. The Bancorp Q2 earnings beat article
• Positive Sentiment: Fintech growth remained strong: Gross dollar volume for prepaid, debit and credit cards increased 22.5% year over year to $53.45 billion. Average deposits rose 4.4% to $8.41 billion, while management cited continued growth in loans and fintech fees, along with improved credit and cost efficiency. The Bancorp Q2 results press release
• Positive Sentiment: Full-year outlook improved: Fiscal 2026 EPS guidance was raised to $5.95-$6.05 from an analyst consensus of $5.92. The company also maintained its 2027 EPS outlook of $8.10-$8.30 and repurchased $50 million of stock during the quarter.
• Neutral Sentiment: Strong profitability metrics: Return on equity increased to 34.7% from 28.4% a year earlier, although return on assets declined to 2.51% from 2.64%. Management discussed the results and outlook during the earnings call. The Bancorp Q2 earnings call transcript
• Negative Sentiment: Revenue missed estimates: Quarterly revenue was $137.74 million, below the $166.69 million analyst forecast, which may limit enthusiasm despite the EPS beat.
• Negative Sentiment: Margin pressure and cautious near-term guidance: Net interest margin declined to 3.85% from 4.44% year over year. Fourth-quarter EPS guidance of $1.65-$1.75 has a midpoint below the $1.75 consensus estimate.

Analyst Upgrades and Downgrades

A number of brokerages have issued reports on TBBK. Raymond James Financial reiterated a "strong-buy" rating and issued a $82.00 price target on shares of Bancorp in a report on Friday. Keefe, Bruyette & Woods upgraded Bancorp from a "market perform" rating to an "outperform" rating and raised their price objective for the company from $72.00 to $77.00 in a research report on Thursday, July 9th. Wall Street Zen raised Bancorp from a "sell" rating to a "hold" rating in a report on Saturday, April 25th. Bank of America reiterated a "buy" rating on shares of Bancorp in a research report on Monday, July 20th. Finally, Weiss Ratings upgraded Bancorp from a "hold (c)" rating to a "hold (c+)" rating in a report on Tuesday, June 30th. One analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $66.50.

Bancorp Profile

The Bancorp, Inc NASDAQ: TBBK is a Delaware-chartered bank holding company that provides a range of banking and financial services to individuals, businesses, and financial institutions across the United States. Through its subsidiary, The Bancorp Bank, the company offers FDIC-insured deposit accounts, cash management solutions and specialized lending products. Its business model focuses on partnering with fintech firms, asset managers and payment processors to deliver integrated banking-as-a-service (BaaS) capabilities.

The company's product suite includes interest-bearing and non-interest-bearing checking accounts, money market accounts, certificates of deposit and debit and credit card services.

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