First Internet Bancorp (NASDAQ:INBK) Downgraded by Wall Street Zen to "Sell"

Key Points

• First Internet Bancorp has been downgraded from a "hold" to a "sell" rating by Wall Street Zen, reflecting a negative outlook from analysts on the stock.
• Recent earnings reports showed that the bank missed consensus estimates, posting $0.02 earnings per share compared to an expected $0.33, indicating potential financial struggles.
• Institutional investors hold 65.46% of First Internet Bancorp's stock, with several large firms recently increasing their stakes, suggesting ongoing confidence from major investors despite the downgrade.

Wall Street Zen downgraded shares of First Internet Bancorp (NASDAQ:INBK - Free Report) from a hold rating to a sell rating in a report published on Saturday.

Several other brokerages also recently commented on INBK. Keefe, Bruyette & Woods reaffirmed a "market perform" rating and issued a $27.00 price objective (down previously from $30.00) on shares of First Internet Bancorp in a research report on Monday, July 28th. Hovde Group dropped their price target on First Internet Bancorp from $32.00 to $29.00 and set an "outperform" rating on the stock in a research report on Monday, July 28th. Finally, Piper Sandler dropped their price target on First Internet Bancorp from $27.00 to $26.00 and set a "neutral" rating on the stock in a research report on Monday, July 28th.

First Internet Bancorp Stock Up 0.4%

INBK traded up $0.08 during trading on Friday, reaching $22.03. The stock had a trading volume of 18,564 shares, compared to its average volume of 50,844. The stock's 50 day moving average is $25.14 and its two-hundred day moving average is $26.57. The company has a current ratio of 0.94, a quick ratio of 0.93 and a debt-to-equity ratio of 1.29. The company has a market capitalization of $191.66 million, a price-to-earnings ratio of 12.44 and a beta of 0.76. First Internet Bancorp has a one year low of $19.54 and a one year high of $43.26.

First Internet Bancorp (NASDAQ:INBK - Get Free Report) last issued its quarterly earnings data on Wednesday, July 23rd. The bank reported $0.02 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.33 by ($0.31). The firm had revenue of $33.55 million for the quarter, compared to analysts' expectations of $30.08 million. First Internet Bancorp had a return on equity of 3.04% and a net margin of 4.36%. As a group, analysts expect that First Internet Bancorp will post 4.11 earnings per share for the current year.

First Internet Bancorp Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Tuesday, July 15th. Investors of record on Monday, June 30th were issued a dividend of $0.06 per share. This represents a $0.24 annualized dividend and a yield of 1.1%. The ex-dividend date of this dividend was Monday, June 30th. First Internet Bancorp's dividend payout ratio (DPR) is 13.64%.

Institutional Trading of First Internet Bancorp

A number of institutional investors have recently made changes to their positions in INBK. Deutsche Bank AG raised its position in First Internet Bancorp by 4.5% in the fourth quarter. Deutsche Bank AG now owns 7,789 shares of the bank's stock valued at $280,000 after purchasing an additional 335 shares during the period. Sei Investments Co. grew its stake in shares of First Internet Bancorp by 2.8% in the fourth quarter. Sei Investments Co. now owns 13,045 shares of the bank's stock valued at $470,000 after buying an additional 360 shares in the last quarter. Ancora Advisors LLC grew its stake in First Internet Bancorp by 0.5% during the 4th quarter. Ancora Advisors LLC now owns 130,767 shares of the bank's stock worth $4,706,000 after purchasing an additional 700 shares in the last quarter. Bank of America Corp DE grew its stake in First Internet Bancorp by 3.5% during the 4th quarter. Bank of America Corp DE now owns 20,800 shares of the bank's stock worth $749,000 after purchasing an additional 707 shares in the last quarter. Finally, Hsbc Holdings PLC boosted its position in shares of First Internet Bancorp by 7.0% in the 1st quarter. Hsbc Holdings PLC now owns 11,579 shares of the bank's stock valued at $302,000 after purchasing an additional 758 shares during the period. 65.46% of the stock is owned by institutional investors and hedge funds.

About First Internet Bancorp

First Internet Bancorp operates as the bank holding company for First Internet Bank of Indiana that provides commercial, small business, consumer, and municipal banking products and services to individuals and commercial customers in the United States. The company accepts non-interest bearing and interest-bearing demand deposit, commercial deposit, savings, money market, and Banking-as-a-Service brokered deposit accounts, as well as certificates of deposit.