Home BancShares (NYSE:HOMB) Issues Earnings Results

Key Points

• Home BancShares reported quarterly earnings of $0.61 per share, exceeding analysts' expectations of $0.60.
• Despite the earnings beat, the company's stock fell by 3.1%, closing at $27.45.
• The firm declared a quarterly dividend of $0.20 per share, reflecting a 2.9% dividend yield.

Home BancShares (NYSE:HOMB - Get Free Report) posted its quarterly earnings results on Wednesday. The financial services provider reported $0.61 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.60 by $0.01, Zacks reports. Home BancShares had a return on equity of 10.60% and a net margin of 29.58%.

Home BancShares Stock Down 3.1%

Shares of NYSE:HOMB traded down $0.89 during trading on Wednesday, hitting $27.45. The company's stock had a trading volume of 1,620,992 shares, compared to its average volume of 1,021,542. The company has a debt-to-equity ratio of 0.24, a quick ratio of 0.90 and a current ratio of 0.90. Home BancShares has a fifty-two week low of $24.22 and a fifty-two week high of $32.90. The stock's 50-day moving average price is $28.80 and its two-hundred day moving average price is $28.35. The company has a market capitalization of $5.41 billion, a PE ratio of 12.53 and a beta of 0.78.

Home BancShares Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, September 3rd. Investors of record on Wednesday, August 13th were paid a $0.20 dividend. The ex-dividend date was Wednesday, August 13th. This represents a $0.80 annualized dividend and a dividend yield of 2.9%. Home BancShares's payout ratio is 36.53%.

Wall Street Analyst Weigh In

HOMB has been the subject of a number of research reports. Weiss Ratings reissued a "buy (b)" rating on shares of Home BancShares in a research report on Wednesday, October 8th. Piper Sandler boosted their price target on Home BancShares from $34.00 to $35.00 and gave the company an "overweight" rating in a research report on Friday, July 18th. Wall Street Zen downgraded Home BancShares from a "hold" rating to a "sell" rating in a research report on Sunday. Cantor Fitzgerald began coverage on Home BancShares in a research report on Wednesday, September 10th. They issued a "neutral" rating and a $32.00 target price for the company. Finally, Keefe, Bruyette & Woods upped their target price on Home BancShares from $30.00 to $32.00 and gave the stock a "market perform" rating in a research report on Monday, July 21st. Four analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat.com, Home BancShares presently has a consensus rating of "Moderate Buy" and a consensus price target of $33.00.

Insider Activity at Home BancShares

In related news, CEO John W. Allison sold 110,000 shares of the business's stock in a transaction dated Tuesday, August 26th. The stock was sold at an average price of $30.02, for a total value of $3,302,200.00. Following the transaction, the chief executive officer owned 5,540,776 shares in the company, valued at approximately $166,334,095.52. The trade was a 1.95% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Company insiders own 6.30% of the company's stock.

Institutional Trading of Home BancShares

Institutional investors and hedge funds have recently bought and sold shares of the company. Binnacle Investments Inc raised its stake in Home BancShares by 76.7% during the second quarter. Binnacle Investments Inc now owns 1,329 shares of the financial services provider's stock valued at $38,000 after buying an additional 577 shares in the last quarter. Geneos Wealth Management Inc. raised its stake in Home BancShares by 34.0% during the second quarter. Geneos Wealth Management Inc. now owns 5,116 shares of the financial services provider's stock valued at $146,000 after buying an additional 1,299 shares in the last quarter. Jump Financial LLC acquired a new stake in Home BancShares during the second quarter valued at approximately $230,000. Teza Capital Management LLC acquired a new stake in Home BancShares during the second quarter valued at approximately $255,000. Finally, Balyasny Asset Management L.P. acquired a new stake in Home BancShares during the second quarter valued at approximately $553,000. Institutional investors and hedge funds own 67.31% of the company's stock.

Home BancShares Company Profile

Home Bancshares, Inc (Conway, AR) operates as the bank holding company for Centennial Bank that provides commercial and retail banking, and related financial services to businesses, real estate developers and investors, individuals, and municipalities. Its deposit products include checking, savings, and money market accounts, as well as certificates of deposit.

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