FJ Capital Management LLC Sells 675,982 Shares of Heritage Commerce Corp $HTBK

Key Points

• FJ Capital Management LLC reduced its holdings in Heritage Commerce Corp (NASDAQ:HTBK) by 22.2%, now owning 2,364,824 shares after selling 675,982 shares during the first quarter.
• Insider activity included COO Thomas A. Sa purchasing 20,000 shares at $9.25 per share, totaling $185,000, which significantly increased their ownership.
• Heritage Commerce recently declared a quarterly dividend of $0.13 per share, reflecting an annualized yield of 5.0% and a payout ratio of 82.54%.

FJ Capital Management LLC cut its stake in Heritage Commerce Corp (NASDAQ:HTBK - Free Report) by 22.2% in the 1st quarter, according to its most recent disclosure with the SEC. The institutional investor owned 2,364,824 shares of the financial services provider's stock after selling 675,982 shares during the period. Heritage Commerce comprises approximately 2.3% of FJ Capital Management LLC's portfolio, making the stock its 13th largest position. FJ Capital Management LLC owned about 3.84% of Heritage Commerce worth $22,513,000 as of its most recent filing with the SEC.

Several other hedge funds and other institutional investors also recently added to or reduced their stakes in HTBK. Wellington Management Group LLP grew its position in Heritage Commerce by 64.9% in the first quarter. Wellington Management Group LLP now owns 3,796,472 shares of the financial services provider's stock worth $36,142,000 after acquiring an additional 1,493,857 shares in the last quarter. Rhino Investment Partners Inc purchased a new position in Heritage Commerce in the first quarter worth $5,222,000. Hotchkis & Wiley Capital Management LLC grew its position in Heritage Commerce by 69.8% in the first quarter. Hotchkis & Wiley Capital Management LLC now owns 1,277,630 shares of the financial services provider's stock worth $12,163,000 after acquiring an additional 525,060 shares in the last quarter. Nuveen LLC purchased a new position in Heritage Commerce in the first quarter worth $4,861,000. Finally, Millennium Management LLC purchased a new position in Heritage Commerce in the fourth quarter worth $1,881,000. 75.55% of the stock is currently owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Separately, Wall Street Zen lowered shares of Heritage Commerce from a "hold" rating to a "sell" rating in a research report on Saturday, July 26th. Two investment analysts have rated the stock with a Buy rating, Based on data from MarketBeat, the stock currently has a consensus rating of "Buy" and an average target price of $10.67.

Heritage Commerce Trading Up 1.2%

Heritage Commerce stock traded up $0.12 during mid-day trading on Thursday, hitting $10.34. The company's stock had a trading volume of 327,075 shares, compared to its average volume of 427,050. The company has a debt-to-equity ratio of 0.06, a current ratio of 0.77 and a quick ratio of 0.77. The stock has a market cap of $635.39 million, a price-to-earnings ratio of 16.41 and a beta of 0.87. The business has a 50 day moving average price of $10.01 and a 200-day moving average price of $9.61. Heritage Commerce Corp has a 12 month low of $8.09 and a 12 month high of $11.27.

Heritage Commerce (NASDAQ:HTBK - Get Free Report) last posted its quarterly earnings results on Thursday, July 24th. The financial services provider reported $0.21 earnings per share for the quarter, topping the consensus estimate of $0.19 by $0.02. The business had revenue of $47.78 million during the quarter, compared to the consensus estimate of $47.17 million. Heritage Commerce had a net margin of 15.00% and a return on equity of 6.61%. As a group, analysts forecast that Heritage Commerce Corp will post 0.8 EPS for the current year.

Heritage Commerce Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Thursday, August 21st. Stockholders of record on Thursday, August 7th were paid a dividend of $0.13 per share. This represents a $0.52 annualized dividend and a dividend yield of 5.0%. The ex-dividend date of this dividend was Thursday, August 7th. Heritage Commerce's dividend payout ratio is 82.54%.

Insider Activity at Heritage Commerce

In other news, COO Thomas A. Sa acquired 20,000 shares of the stock in a transaction dated Friday, August 1st. The stock was purchased at an average cost of $9.25 per share, with a total value of $185,000.00. Following the completion of the purchase, the chief operating officer owned 20,000 shares in the company, valued at approximately $185,000. The trade was a ∞ increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Company insiders own 2.71% of the company's stock.

Heritage Commerce Profile

Heritage Commerce Corp operates as the bank holding company for Heritage Bank of Commerce that provides various commercial and personal banking services to residents and the business/professional community in California. Its deposit products for business banking and retail markets include interest and non-interest-bearing demand, savings, and money market accounts, as well as certificates of deposit and time deposits.