Robinhood Asset Management LLC Takes $8.48 Million Position in Regions Financial Corporation $RF

Key Points

• Robinhood Asset Management opened a new position in Regions Financial by buying 312,869 shares worth about $8.48 million, representing 0.7% of its portfolio and its 28th largest holding.
• Regions' Board authorized a $3.0 billion share repurchase program (up to 12.9% of outstanding shares), a move management says reflects confidence the stock is undervalued.
• Regions reported Q4 EPS of $0.57 (missing the $0.61 consensus) and pays a quarterly dividend that annualizes to $1.06, implying a roughly 4.0% yield.

Robinhood Asset Management LLC purchased a new position in Regions Financial Corporation (NYSE:RF - Free Report) during the fourth quarter, according to the company in its most recent Form 13F filing with the SEC. The firm purchased 312,869 shares of the bank's stock, valued at approximately $8,479,000. Regions Financial makes up 0.7% of Robinhood Asset Management LLC's investment portfolio, making the stock its 28th biggest position.

Other institutional investors and hedge funds have also recently bought and sold shares of the company. Victory Capital Management Inc. boosted its holdings in shares of Regions Financial by 52.9% in the third quarter. Victory Capital Management Inc. now owns 13,523,714 shares of the bank's stock worth $357,417,000 after buying an additional 4,679,285 shares during the period. Qube Research & Technologies Ltd lifted its position in shares of Regions Financial by 286.2% in the 3rd quarter. Qube Research & Technologies Ltd now owns 4,022,031 shares of the bank's stock valued at $106,061,000 after acquiring an additional 2,980,505 shares in the last quarter. AQR Capital Management LLC boosted its stake in Regions Financial by 151.2% in the 3rd quarter. AQR Capital Management LLC now owns 3,939,544 shares of the bank's stock worth $103,886,000 after purchasing an additional 2,371,048 shares during the period. American Century Companies Inc. boosted its stake in Regions Financial by 85.9% in the 3rd quarter. American Century Companies Inc. now owns 4,625,557 shares of the bank's stock worth $121,976,000 after purchasing an additional 2,137,062 shares during the period. Finally, Munich Reinsurance Co Stock Corp in Munich purchased a new position in Regions Financial during the 3rd quarter worth approximately $54,349,000. Institutional investors and hedge funds own 79.39% of the company's stock.

Regions Financial Price Performance

RF opened at $26.72 on Tuesday. The stock has a fifty day moving average price of $27.76 and a 200 day moving average price of $26.72. The company has a current ratio of 0.80, a quick ratio of 0.80 and a debt-to-equity ratio of 0.23. Regions Financial Corporation has a 1 year low of $17.74 and a 1 year high of $31.53. The stock has a market cap of $23.07 billion, a price-to-earnings ratio of 11.67, a PEG ratio of 0.96 and a beta of 1.03.

Regions Financial (NYSE:RF - Get Free Report) last issued its earnings results on Friday, January 16th. The bank reported $0.57 earnings per share for the quarter, missing the consensus estimate of $0.61 by ($0.04). Regions Financial had a return on equity of 12.55% and a net margin of 22.44%.The firm had revenue of $1.92 billion during the quarter, compared to analyst estimates of $1.94 billion. During the same period in the previous year, the company earned $0.56 earnings per share. The business's revenue for the quarter was up 5.8% on a year-over-year basis. Analysts forecast that Regions Financial Corporation will post 2.26 EPS for the current fiscal year.

Regions Financial Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, April 1st. Investors of record on Monday, March 2nd were issued a $0.265 dividend. The ex-dividend date was Monday, March 2nd. This represents a $1.06 dividend on an annualized basis and a yield of 4.0%. Regions Financial's dividend payout ratio is currently 46.29%.

Regions Financial announced that its Board of Directors has initiated a share buyback program on Wednesday, December 10th that allows the company to repurchase $3.00 billion in shares. This repurchase authorization allows the bank to repurchase up to 12.9% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company's management believes its stock is undervalued.

Analyst Ratings Changes

A number of analysts have recently issued reports on the company. Truist Financial reduced their target price on Regions Financial from $29.00 to $28.00 and set a "hold" rating for the company in a report on Monday, March 23rd. JPMorgan Chase & Co. upped their price target on Regions Financial from $29.00 to $31.50 and gave the company a "neutral" rating in a research report on Monday, February 9th. Wells Fargo & Company downgraded Regions Financial from an "equal weight" rating to an "underweight" rating and set a $30.00 price objective for the company. in a research note on Friday, January 16th. Keefe, Bruyette & Woods restated a "market perform" rating and set a $31.00 price objective on shares of Regions Financial in a research report on Tuesday, January 20th. Finally, Evercore cut Regions Financial from an "in-line" rating to an "underperform" rating and lifted their target price for the company from $27.00 to $29.00 in a research note on Tuesday, January 6th. Six equities research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and three have given a Sell rating to the company's stock. According to data from MarketBeat, Regions Financial currently has a consensus rating of "Hold" and an average price target of $29.91.

Insiders Place Their Bets

In other Regions Financial news, EVP William D. Ritter sold 36,000 shares of Regions Financial stock in a transaction that occurred on Thursday, January 22nd. The shares were sold at an average price of $28.78, for a total value of $1,036,080.00. Following the completion of the sale, the executive vice president directly owned 17,569 shares in the company, valued at $505,635.82. The trade was a 67.20% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Insiders own 0.29% of the company's stock.

About Regions Financial

Regions Financial Corporation NYSE: RF is a U.S. bank holding company headquartered in Birmingham, Alabama, that provides a broad range of banking and financial services. Its primary banking subsidiary, Regions Bank, serves retail and commercial customers through a combination of branch and ATM networks, digital channels and relationship-based delivery. The company offers deposit accounts, consumer and commercial loans, mortgage origination and servicing, and payment and treasury services.

In addition to core banking, Regions offers wealth management, trust and brokerage services, insurance solutions, and capital markets capabilities to corporate and institutional clients.

Want to see what other hedge funds are holding RF? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Regions Financial Corporation (NYSE:RF - 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.