Live Oak Bancshares (NASDAQ:LOB) Shares Up 5.9% on Analyst Upgrade

Key Points

• Live Oak Bancshares shares surged by 5.9% following an upgrade from Keefe, Bruyette & Woods, which adjusted its price target from $37.00 to $43.00.
• Institutional investors now hold 63.95% of Live Oak Bancshares' stock, with several firms increasing their investments significantly in the second quarter.
• The company also announced a quarterly dividend of $0.03, resulting in an annualized dividend yield of 0.3%.

Live Oak Bancshares, Inc. (NASDAQ:LOB - Get Free Report)'s share price were up 5.9% on Tuesday after Keefe, Bruyette & Woods upgraded the stock from a market perform rating to an outperform rating. Keefe, Bruyette & Woods now has a $43.00 price target on the stock, up from their previous price target of $37.00. Live Oak Bancshares traded as high as $36.63 and last traded at $36.32. Approximately 77,585 shares changed hands during mid-day trading, a decline of 73% from the average daily volume of 286,894 shares. The stock had previously closed at $34.29.

Institutional Trading of Live Oak Bancshares

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. T. Rowe Price Investment Management Inc. raised its stake in Live Oak Bancshares by 1.0% during the 1st quarter. T. Rowe Price Investment Management Inc. now owns 6,484,524 shares of the bank's stock valued at $172,878,000 after acquiring an additional 65,038 shares during the last quarter. Vanguard Group Inc. raised its stake in Live Oak Bancshares by 1.0% during the 1st quarter. Vanguard Group Inc. now owns 2,657,737 shares of the bank's stock valued at $70,855,000 after acquiring an additional 26,481 shares during the last quarter. Southernsun Asset Management LLC raised its stake in Live Oak Bancshares by 3.2% during the 2nd quarter. Southernsun Asset Management LLC now owns 899,729 shares of the bank's stock valued at $26,812,000 after acquiring an additional 27,795 shares during the last quarter. Geode Capital Management LLC raised its stake in Live Oak Bancshares by 2.8% during the 2nd quarter. Geode Capital Management LLC now owns 817,181 shares of the bank's stock valued at $24,355,000 after acquiring an additional 22,230 shares during the last quarter. Finally, Millennium Management LLC raised its stake in Live Oak Bancshares by 655.6% during the 1st quarter. Millennium Management LLC now owns 687,885 shares of the bank's stock valued at $18,339,000 after acquiring an additional 596,841 shares during the last quarter. 63.95% of the stock is owned by hedge funds and other institutional investors.

Live Oak Bancshares Trading Up 7.8%

The company has a 50 day simple moving average of $31.81 and a 200 day simple moving average of $29.42. The stock has a market capitalization of $1.73 billion, a PE ratio of 26.04 and a beta of 1.82.

Live Oak Bancshares Announces Dividend

The firm also recently disclosed a sep 25 dividend, which will be paid on Monday, September 15th. Shareholders of record on Tuesday, September 2nd will be issued a $0.03 dividend. This represents a yield of 30.0%. The ex-dividend date of this dividend is Tuesday, September 2nd. Live Oak Bancshares's payout ratio is currently 9.84%.

Live Oak Bancshares Company Profile

Live Oak Bancshares, Inc operates as the bank holding company for Live Oak Banking Company that provides various banking products and services in the United States. It operates through two segments, Banking and Fintech. The company accepts various deposit products, including noninterest-bearing demand, as well as interest-bearing checking, money market, savings, and time deposits.