XTX Topco Ltd Takes $921,000 Position in First Merchants Corporation (NASDAQ:FRME)

Key Points

• XTX Topco Ltd has made a new investment in First Merchants Corporation by purchasing 22,764 shares worth approximately $921,000.
• First Merchants recently increased its quarterly dividend to $0.36 per share, resulting in an annualized yield of 3.9% as compared to the previous $0.35.
• Following recent earnings, which saw EPS of $0.98, various research firms have adjusted their target prices for First Merchants, with a consensus target price now set at $46.20.

XTX Topco Ltd purchased a new stake in First Merchants Corporation (NASDAQ:FRME - Free Report) during the first quarter, according to its most recent filing with the SEC. The firm purchased 22,764 shares of the bank's stock, valued at approximately $921,000.

Other hedge funds have also modified their holdings of the company. Federated Hermes Inc. bought a new position in First Merchants during the 4th quarter worth about $37,000. Westend Capital Management LLC bought a new position in shares of First Merchants during the first quarter worth about $46,000. Thurston Springer Miller Herd & Titak Inc. raised its position in First Merchants by 314.5% in the 1st quarter. Thurston Springer Miller Herd & Titak Inc. now owns 1,318 shares of the bank's stock valued at $53,000 after buying an additional 1,000 shares during the last quarter. Spectrum Wealth Counsel LLC acquired a new stake in First Merchants in the 1st quarter valued at approximately $56,000. Finally, Sterling Capital Management LLC lifted its stake in First Merchants by 809.9% in the 4th quarter. Sterling Capital Management LLC now owns 1,838 shares of the bank's stock valued at $73,000 after acquiring an additional 1,636 shares in the last quarter. 73.92% of the stock is currently owned by institutional investors and hedge funds.

First Merchants Stock Performance

Shares of NASDAQ FRME traded down $0.23 during midday trading on Wednesday, hitting $37.46. 180,982 shares of the company's stock were exchanged, compared to its average volume of 341,119. The company has a quick ratio of 0.90, a current ratio of 0.90 and a debt-to-equity ratio of 0.41. The firm has a market capitalization of $2.16 billion, a PE ratio of 9.70 and a beta of 1.08. First Merchants Corporation has a 12 month low of $33.13 and a 12 month high of $46.13. The company's 50 day moving average price is $38.61 and its 200 day moving average price is $39.36.

First Merchants (NASDAQ:FRME - Get Free Report) last announced its earnings results on Wednesday, July 23rd. The bank reported $0.98 EPS for the quarter, topping the consensus estimate of $0.94 by $0.04. The business had revenue of $170.52 million during the quarter, compared to the consensus estimate of $172.13 million. First Merchants had a net margin of 21.35% and a return on equity of 9.88%. During the same quarter in the previous year, the firm posted $0.68 EPS. As a group, analysts predict that First Merchants Corporation will post 3.79 earnings per share for the current fiscal year.

First Merchants Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, June 20th. Investors of record on Friday, June 6th were paid a $0.36 dividend. This represents a $1.44 annualized dividend and a dividend yield of 3.8%. This is an increase from First Merchants's previous quarterly dividend of $0.35. The ex-dividend date was Friday, June 6th. First Merchants's dividend payout ratio is presently 37.31%.

Analysts Set New Price Targets

A number of analysts have recently commented on FRME shares. Piper Sandler cut their price objective on shares of First Merchants from $49.00 to $48.00 and set an "overweight" rating on the stock in a research report on Monday, July 28th. Wall Street Zen upgraded shares of First Merchants from a "sell" rating to a "hold" rating in a research note on Saturday, May 24th. Finally, Keefe, Bruyette & Woods decreased their price objective on First Merchants from $52.00 to $49.00 and set an "outperform" rating for the company in a report on Friday, April 25th. Two equities research analysts have rated the stock with a hold rating and four have given a buy rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $46.20.

First Merchants Profile

First Merchants Corporation operates as the financial holding company for First Merchants Bank that provides community banking services. The company offers a range of financial services, including time, savings, and demand deposits; and consumer, commercial, agri-business, public finance, and real estate mortgage loans.