XTX Topco Ltd Has $319,000 Stake in Preferred Bank (NASDAQ:PFBC)

Key Points

• XTX Topco Ltd reduced its holdings in Preferred Bank by 52.6%, now owning 3,818 shares valued at $319,000 after selling 4,245 shares in the first quarter.
• Preferred Bank has a recent quarterly dividend of $0.75, resulting in an annualized yield of 3.3%, with a payout ratio of 31.71%.
• The company's stock price targets were raised, with Piper Sandler increasing it from $96.00 to $112.00 and D.A. Davidson from $90.00 to $108.00, suggesting a positive outlook from analysts.

XTX Topco Ltd trimmed its stake in Preferred Bank (NASDAQ:PFBC - Free Report) by 52.6% during the first quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 3,818 shares of the bank's stock after selling 4,245 shares during the period. XTX Topco Ltd's holdings in Preferred Bank were worth $319,000 as of its most recent SEC filing.

Several other large investors also recently made changes to their positions in the business. T. Rowe Price Investment Management Inc. grew its holdings in shares of Preferred Bank by 0.5% during the fourth quarter. T. Rowe Price Investment Management Inc. now owns 1,129,287 shares of the bank's stock worth $97,548,000 after purchasing an additional 5,114 shares during the last quarter. Nuveen Asset Management LLC grew its holdings in shares of Preferred Bank by 0.3% during the fourth quarter. Nuveen Asset Management LLC now owns 468,759 shares of the bank's stock worth $40,491,000 after purchasing an additional 1,443 shares during the last quarter. Geode Capital Management LLC grew its holdings in shares of Preferred Bank by 2.1% during the fourth quarter. Geode Capital Management LLC now owns 360,025 shares of the bank's stock worth $31,105,000 after purchasing an additional 7,428 shares during the last quarter. Hsbc Holdings PLC grew its holdings in shares of Preferred Bank by 11.9% during the fourth quarter. Hsbc Holdings PLC now owns 261,130 shares of the bank's stock worth $22,815,000 after purchasing an additional 27,760 shares during the last quarter. Finally, Millennium Management LLC grew its holdings in shares of Preferred Bank by 28.8% during the fourth quarter. Millennium Management LLC now owns 147,702 shares of the bank's stock worth $12,758,000 after purchasing an additional 32,990 shares during the last quarter. Institutional investors own 72.77% of the company's stock.

Preferred Bank Trading Down 1.4%

Shares of PFBC traded down $1.32 during trading hours on Friday, hitting $92.18. 15,893 shares of the stock traded hands, compared to its average volume of 98,188. The company has a current ratio of 1.07, a quick ratio of 1.07 and a debt-to-equity ratio of 0.47. Preferred Bank has a 1-year low of $71.90 and a 1-year high of $99.78. The firm has a market capitalization of $1.33 billion, a PE ratio of 9.72 and a beta of 0.75. The business has a fifty day moving average of $89.33 and a 200-day moving average of $86.00.

Preferred Bank (NASDAQ:PFBC - Get Free Report) last issued its quarterly earnings results on Monday, July 21st. The bank reported $2.52 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.43 by $0.09. Preferred Bank had a return on equity of 16.64% and a net margin of 25.04%. The business had revenue of $69.05 million for the quarter, compared to analyst estimates of $70.96 million. Analysts expect that Preferred Bank will post 9.81 EPS for the current year.

Preferred Bank declared that its Board of Directors has initiated a stock repurchase plan on Thursday, May 22nd that permits the company to buyback $125.00 million in outstanding shares. This buyback authorization permits the bank to reacquire up to 10.4% of its shares through open market purchases. Shares buyback plans are usually a sign that the company's leadership believes its stock is undervalued.

Preferred Bank Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Tuesday, July 22nd. Stockholders of record on Tuesday, July 8th were paid a dividend of $0.75 per share. This represents a $3.00 annualized dividend and a dividend yield of 3.3%. The ex-dividend date of this dividend was Tuesday, July 8th. Preferred Bank's dividend payout ratio is 31.71%.

Wall Street Analysts Forecast Growth

Several analysts have recently commented on PFBC shares. DA Davidson increased their target price on Preferred Bank from $90.00 to $108.00 and gave the stock a "neutral" rating in a report on Tuesday, July 22nd. Stephens restated an "equal weight" rating and set a $91.00 target price on shares of Preferred Bank in a report on Tuesday, April 29th. Finally, Piper Sandler increased their target price on Preferred Bank from $96.00 to $112.00 and gave the stock an "overweight" rating in a report on Tuesday, July 22nd.

About Preferred Bank

Preferred Bank provides various commercial banking products and services to small and mid-sized businesses and their owners, entrepreneurs, real estate developers and investors, professionals, and high net worth individuals. The company accepts checking, savings, and money market deposit accounts; fixed-rate and fixed maturity retail, and non-retail certificates of deposit; and individual retirement accounts.