Veritex (NASDAQ:VBTX) Shares Gap Down on Disappointing Earnings

Veritex Holdings, Inc. (NASDAQ:VBTX - Get Free Report)'s share price gapped down before the market opened on Wednesday following a dissappointing earnings announcement. The stock had previously closed at $20.77, but opened at $20.13. Veritex shares last traded at $20.80, with a volume of 83,242 shares traded.

The financial services provider reported $0.53 earnings per share for the quarter, missing analysts' consensus estimates of $0.59 by ($0.06). The company had revenue of $191.25 million for the quarter, compared to analyst estimates of $109.70 million. Veritex had a net margin of 14.51% and a return on equity of 9.47%. During the same period in the previous year, the firm posted $0.79 earnings per share.

Analysts Set New Price Targets

Several research analysts recently weighed in on VBTX shares. Stephens restated an "equal weight" rating and issued a $24.00 price objective on shares of Veritex in a research report on Wednesday. Piper Sandler upped their target price on shares of Veritex from $23.50 to $25.00 and gave the company an "overweight" rating in a research report on Thursday, January 25th. StockNews.com cut shares of Veritex from a "hold" rating to a "sell" rating in a research report on Tuesday, April 16th. Finally, Keefe, Bruyette & Woods decreased their price target on shares of Veritex from $29.00 to $27.00 and set an "outperform" rating for the company in a report on Thursday, January 25th. One equities research analyst has rated the stock with a sell rating, two have issued a hold rating and two have given a buy rating to the company. Based on data from MarketBeat, Veritex currently has a consensus rating of "Hold" and an average target price of $24.13.

Hedge Funds Weigh In On Veritex

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Vanguard Group Inc. boosted its stake in Veritex by 1.4% in the 4th quarter. Vanguard Group Inc. now owns 3,772,114 shares of the financial services provider's stock worth $87,777,000 after purchasing an additional 52,933 shares during the period. Dimensional Fund Advisors LP boosted its stake in Veritex by 19.8% in the 4th quarter. Dimensional Fund Advisors LP now owns 1,853,774 shares of the financial services provider's stock worth $43,139,000 after purchasing an additional 305,980 shares during the period. Victory Capital Management Inc. boosted its stake in Veritex by 5.4% in the 4th quarter. Victory Capital Management Inc. now owns 1,816,084 shares of the financial services provider's stock worth $42,260,000 after purchasing an additional 93,753 shares during the period. LSV Asset Management boosted its stake in Veritex by 25.0% in the 3rd quarter. LSV Asset Management now owns 1,591,209 shares of the financial services provider's stock worth $28,562,000 after purchasing an additional 318,600 shares during the period. Finally, First Trust Advisors LP boosted its stake in shares of Veritex by 23.2% during the 4th quarter. First Trust Advisors LP now owns 1,303,041 shares of the financial services provider's stock worth $30,322,000 after buying an additional 245,133 shares during the last quarter. 88.31% of the stock is owned by institutional investors and hedge funds.

Veritex Stock Performance

The stock's 50 day moving average price is $19.87 and its 200 day moving average price is $20.28. The company has a current ratio of 0.97, a quick ratio of 0.96 and a debt-to-equity ratio of 0.22. The company has a market capitalization of $1.13 billion, a price-to-earnings ratio of 10.50 and a beta of 1.34.

Veritex Company Profile

Veritex Holdings, Inc operates as the bank holding company for Veritex Community Bank that provides various commercial banking products and services to small and medium-sized businesses, and professionals. The company accepts deposit products include demand, savings, money market, and time accounts. Its loan products include commercial real estate and general commercial, mortgage warehouse loans, residential real estate, construction and land, farmland, paycheck protection program, 1-4 family residential, agricultural, multi-family residential, and consumer loans, as well as purchased receivables financing.