Northeast Bancorp (NASDAQ:NBN) Sets New 1-Year High - Still a Buy?

Key Points

• Northeast Bancorp shares hit a new 52-week high, trading as high as $135.62 intraday and last at $129.20 on volume of about 269,307 shares.
• The company beat expectations for the quarter with EPS $3.53 vs. $3.00 expected and revenue $66.62M vs. $61.49M, reporting a 25.96% net margin and a 19.11% return on equity.
• Analyst and institutional interest is rising: Piper Sandler initiated coverage with an overweight rating and $133 target, the consensus rating is "Moderate Buy" (consensus PT $117.50), and large investors like Earnest Partners have established sizable stakes.

Northeast Bancorp (NASDAQ:NBN - Get Free Report) shares hit a new 52-week high during mid-day trading on Wednesday . The stock traded as high as $135.62 and last traded at $129.20, with a volume of 269307 shares changing hands. The stock had previously closed at $123.57.

Analyst Upgrades and Downgrades

Separately, Piper Sandler started coverage on shares of Northeast Bancorp in a report on Monday, March 16th. They issued an "overweight" rating and a $133.00 price objective on the stock. Two research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $117.50.

Northeast Bancorp Price Performance

The company has a debt-to-equity ratio of 0.97, a current ratio of 1.27 and a quick ratio of 1.24. The company has a market capitalization of $1.06 billion, a PE ratio of 11.07 and a beta of 0.58. The stock's 50 day simple moving average is $114.93 and its 200-day simple moving average is $106.13.

Northeast Bancorp (NASDAQ:NBN - Get Free Report) last issued its quarterly earnings results on Monday, April 27th. The financial services provider reported $3.53 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $3.00 by $0.53. The company had revenue of $66.62 million for the quarter, compared to analyst estimates of $61.49 million. Northeast Bancorp had a net margin of 25.96% and a return on equity of 19.11%.

Northeast Bancorp Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, May 26th. Shareholders of record on Tuesday, May 12th will be paid a dividend of $0.01 per share. The ex-dividend date is Tuesday, May 12th. This represents a $0.04 dividend on an annualized basis and a yield of 0.0%. Northeast Bancorp's dividend payout ratio is 0.39%.

Institutional Trading of Northeast Bancorp

A number of institutional investors and hedge funds have recently bought and sold shares of the business. Earnest Partners LLC purchased a new stake in Northeast Bancorp during the third quarter worth about $67,225,000. Vanguard Group Inc. grew its position in shares of Northeast Bancorp by 2.3% during the fourth quarter. Vanguard Group Inc. now owns 434,490 shares of the financial services provider's stock worth $45,157,000 after buying an additional 9,926 shares in the last quarter. Boston Partners grew its position in shares of Northeast Bancorp by 0.4% during the third quarter. Boston Partners now owns 271,711 shares of the financial services provider's stock worth $27,018,000 after buying an additional 1,029 shares in the last quarter. American Century Companies Inc. grew its position in shares of Northeast Bancorp by 8.5% during the third quarter. American Century Companies Inc. now owns 220,712 shares of the financial services provider's stock worth $22,107,000 after buying an additional 17,344 shares in the last quarter. Finally, Kennedy Capital Management LLC grew its position in shares of Northeast Bancorp by 13.5% during the third quarter. Kennedy Capital Management LLC now owns 204,112 shares of the financial services provider's stock worth $20,444,000 after buying an additional 24,327 shares in the last quarter.

About Northeast Bancorp

Northeast Bancorp is a Maine-based bank holding company and the parent of Northeast Bank, a state‐chartered commercial bank headquartered in Lewiston, Maine. Through its subsidiary, the company provides a variety of financial services, including personal checking and savings accounts, residential mortgage lending, small business and commercial loans, treasury management and private banking services. The bank operates a branch network spanning central and southern Maine, serving individuals, families and local businesses across the region.

Founded in 1872 as Androscoggin County Savings Bank, the institution has evolved through mutual and stock conversions, adopting the Northeast Bank name in 2001 and forming Northeast Bancorp as its mutual holding company in 2013.

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