Norwood Financial (NASDAQ:NWFL) Stock Price Passes Below Two Hundred Day Moving Average - Should You Sell?

Key Points

• Norwood Financial Corp. shares fell below their 200-day moving average, trading as low as $23.71, with current trading at $24.08.
• The company reported earnings of $0.67 per share for the last quarter, exceeding expectations, and announced a quarterly dividend yielding 5.1%.
• Institutional investors hold 28.08% of Norwood Financial's stock, with notable increases from firms like GAMMA Investing LLC and Bank of America Corp DE.

Norwood Financial Corp. (NASDAQ:NWFL - Get Free Report)'s share price crossed below its 200-day moving average during trading on Friday . The stock has a 200-day moving average of $25.19 and traded as low as $23.71. Norwood Financial shares last traded at $24.08, with a volume of 36,765 shares traded.

Analysts Set New Price Targets

Several brokerages have commented on NWFL. Wall Street Zen downgraded shares of Norwood Financial from a "buy" rating to a "hold" rating in a research report on Saturday. Stephens reissued an "equal weight" rating and set a $26.50 price target on shares of Norwood Financial in a report on Tuesday, July 8th.

Norwood Financial Stock Down 0.7%

The company has a market capitalization of $223.30 million, a price-to-earnings ratio of 100.48 and a beta of 0.69. The company has a debt-to-equity ratio of 0.54, a current ratio of 0.91 and a quick ratio of 0.91. The firm's fifty day moving average price is $25.32 and its 200-day moving average price is $25.15.

Norwood Financial (NASDAQ:NWFL - Get Free Report) last posted its earnings results on Tuesday, July 22nd. The financial services provider reported $0.67 EPS for the quarter, beating the consensus estimate of $0.64 by $0.03. The firm had revenue of $21.20 million during the quarter, compared to the consensus estimate of $21.16 million. Norwood Financial had a return on equity of 9.02% and a net margin of 2.92%. Sell-side analysts expect that Norwood Financial Corp. will post 2.51 earnings per share for the current fiscal year.

Norwood Financial Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, August 1st. Shareholders of record on Tuesday, July 15th were issued a dividend of $0.31 per share. This represents a $1.24 dividend on an annualized basis and a yield of 5.1%. The ex-dividend date of this dividend was Tuesday, July 15th. Norwood Financial's payout ratio is presently 516.67%.

Hedge Funds Weigh In On Norwood Financial

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Wellington Management Group LLP boosted its holdings in Norwood Financial by 2.1% in the first quarter. Wellington Management Group LLP now owns 630,867 shares of the financial services provider's stock valued at $15,248,000 after acquiring an additional 12,815 shares during the last quarter. The Manufacturers Life Insurance Company bought a new position in Norwood Financial during the fourth quarter worth $4,840,000. Geode Capital Management LLC raised its stake in Norwood Financial by 0.5% during the fourth quarter. Geode Capital Management LLC now owns 166,450 shares of the financial services provider's stock worth $4,529,000 after buying an additional 811 shares during the last quarter. Dimensional Fund Advisors LP lifted its holdings in Norwood Financial by 2.9% in the fourth quarter. Dimensional Fund Advisors LP now owns 106,786 shares of the financial services provider's stock valued at $2,905,000 after buying an additional 3,017 shares during the period. Finally, Alliancebernstein L.P. bought a new stake in Norwood Financial during the fourth quarter valued at $2,092,000. 28.08% of the stock is currently owned by institutional investors and hedge funds.

About Norwood Financial

Norwood Financial Corp. operates as the bank holding company for Wayne Bank that provides various banking products and services. The company accepts a range of deposit products, including interest-bearing and non-interest-bearing transaction accounts, and statement savings and money market accounts, as well as certificate of deposits.