Heritage Commerce (NASDAQ:HTBK) Share Price Crosses Above Two Hundred Day Moving Average - Should You Sell?

Key Points

• Heritage Commerce Corp shares recently crossed above their 200-day moving average, trading at $9.83 with a volume of 201,664 shares.
• Analyst opinions are mixed, with one downgrade to "sell" and a consensus rating of "Moderate Buy," alongside an average target price of $10.67.
• The company declared a quarterly dividend of $0.13 per share, representing a 5.3% yield, and has a payout ratio of 82.54%.

Shares of Heritage Commerce Corp (NASDAQ:HTBK - Get Free Report) crossed above its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of $9.61 and traded as high as $9.90. Heritage Commerce shares last traded at $9.83, with a volume of 201,664 shares traded.

Analyst Upgrades and Downgrades

A number of research firms have recently weighed in on HTBK. Wall Street Zen downgraded shares of Heritage Commerce from a "hold" rating to a "sell" rating in a research report on Saturday, July 26th. Weiss Ratings reissued a "hold (c)" rating on shares of Heritage Commerce in a research report on Wednesday. Two analysts have rated the stock with a Buy rating and one has given a Hold rating to the company's stock. According to MarketBeat.com, Heritage Commerce has a consensus rating of "Moderate Buy" and an average target price of $10.67.

Heritage Commerce Trading Down 0.2%

The stock has a market cap of $604.02 million, a price-to-earnings ratio of 15.60 and a beta of 0.85. The business's fifty day simple moving average is $9.96 and its 200 day simple moving average is $9.61. The company has a debt-to-equity ratio of 0.06, a current ratio of 0.77 and a quick ratio of 0.77.

Heritage Commerce (NASDAQ:HTBK - Get Free Report) last released its quarterly earnings data on Thursday, July 24th. The financial services provider reported $0.21 EPS for the quarter, topping analysts' consensus estimates of $0.19 by $0.02. The firm 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%. On average, research analysts predict that Heritage Commerce Corp will post 0.8 EPS for the current year.

Heritage Commerce Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, August 21st. Stockholders of record on Thursday, August 7th were issued a dividend of $0.13 per share. The ex-dividend date of this dividend was Thursday, August 7th. This represents a $0.52 annualized dividend and a dividend yield of 5.3%. Heritage Commerce's payout ratio is 82.54%.

Insider Activity

In other news, COO Thomas A. Sa purchased 20,000 shares of Heritage Commerce stock in a transaction dated Friday, August 1st. The stock was bought at an average price of $9.25 per share, with a total value of $185,000.00. Following the completion of the acquisition, the chief operating officer owned 20,000 shares in the company, valued at $185,000. The trade was a ∞ increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Company insiders own 2.71% of the company's stock.

Hedge Funds Weigh In On Heritage Commerce

Hedge funds and other institutional investors have recently modified their holdings of the company. PNC Financial Services Group Inc. boosted its holdings in shares of Heritage Commerce by 143.5% during the first quarter. PNC Financial Services Group Inc. now owns 2,851 shares of the financial services provider's stock valued at $27,000 after acquiring an additional 1,680 shares during the period. EverSource Wealth Advisors LLC boosted its holdings in shares of Heritage Commerce by 16,272.7% during the second quarter. EverSource Wealth Advisors LLC now owns 5,403 shares of the financial services provider's stock valued at $54,000 after acquiring an additional 5,370 shares during the period. US Bancorp DE boosted its holdings in shares of Heritage Commerce by 66.7% during the first quarter. US Bancorp DE now owns 5,789 shares of the financial services provider's stock valued at $55,000 after acquiring an additional 2,316 shares during the period. Tower Research Capital LLC TRC boosted its holdings in shares of Heritage Commerce by 50.4% during the second quarter. Tower Research Capital LLC TRC now owns 10,749 shares of the financial services provider's stock valued at $107,000 after acquiring an additional 3,604 shares during the period. Finally, Connor Clark & Lunn Investment Management Ltd. bought a new stake in shares of Heritage Commerce during the second quarter valued at about $107,000. Institutional investors and hedge funds own 75.55% of the company's stock.

About Heritage Commerce

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.

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