Cadence Bank (NYSE:CADE) Shares Gap Up Following Strong Earnings

Cadence Bank (NYSE:CADE - Get Free Report)'s share price gapped up prior to trading on Tuesday following a stronger than expected earnings report. The stock had previously closed at $27.74, but opened at $28.99. Cadence Bank shares last traded at $28.42, with a volume of 185,193 shares.

The company reported $0.62 earnings per share for the quarter, beating the consensus estimate of $0.54 by $0.08. The business had revenue of $437.69 million during the quarter, compared to analyst estimates of $427.18 million. Cadence Bank had a return on equity of 9.55% and a net margin of 23.33%. The company's revenue was up 12.6% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.68 earnings per share.

Cadence Bank Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Monday, April 1st. Stockholders of record on Friday, March 15th were given a dividend of $0.25 per share. The ex-dividend date was Thursday, March 14th. This is a positive change from Cadence Bank's previous quarterly dividend of $0.24. This represents a $1.00 dividend on an annualized basis and a dividend yield of 3.46%. Cadence Bank's payout ratio is 34.36%.

Analysts Set New Price Targets

CADE has been the topic of a number of recent analyst reports. Raymond James cut their target price on Cadence Bank from $35.00 to $34.00 and set a "strong-buy" rating on the stock in a research report on Wednesday, January 31st. Hovde Group lowered Cadence Bank from an "outperform" rating to a "market perform" rating and set a $32.50 target price on the stock. in a research report on Tuesday, January 30th. Truist Financial increased their price objective on Cadence Bank from $32.00 to $33.00 and gave the stock a "buy" rating in a research note on Monday, April 1st. Citigroup increased their price objective on Cadence Bank from $27.00 to $32.00 and gave the stock a "neutral" rating in a research note on Friday, December 29th. Finally, Jefferies Financial Group reduced their price objective on Cadence Bank from $30.00 to $29.00 and set a "hold" rating for the company in a research note on Monday, April 8th. Six analysts have rated the stock with a hold rating, four have issued a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $30.75.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in CADE. Ronald Blue Trust Inc. increased its holdings in shares of Cadence Bank by 166.6% during the 3rd quarter. Ronald Blue Trust Inc. now owns 3,674 shares of the company's stock valued at $72,000 after acquiring an additional 2,296 shares during the last quarter. SG Americas Securities LLC increased its holdings in shares of Cadence Bank by 109.1% during the 3rd quarter. SG Americas Securities LLC now owns 82,899 shares of the company's stock valued at $1,759,000 after acquiring an additional 43,252 shares during the last quarter. Firethorn Wealth Partners LLC increased its holdings in shares of Cadence Bank by 46.9% during the 3rd quarter. Firethorn Wealth Partners LLC now owns 16,595 shares of the company's stock valued at $352,000 after acquiring an additional 5,296 shares during the last quarter. Sheets Smith Wealth Management grew its holdings in Cadence Bank by 3.8% in the 3rd quarter. Sheets Smith Wealth Management now owns 16,256 shares of the company's stock valued at $345,000 after buying an additional 589 shares during the last quarter. Finally, Zurcher Kantonalbank Zurich Cantonalbank grew its holdings in Cadence Bank by 19.7% in the 3rd quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 37,966 shares of the company's stock valued at $806,000 after buying an additional 6,259 shares during the last quarter. Institutional investors and hedge funds own 84.61% of the company's stock.

Cadence Bank Price Performance

The stock has a market cap of $5.28 billion, a price-to-earnings ratio of 9.93 and a beta of 1.02. The stock has a fifty day simple moving average of $27.62 and a 200-day simple moving average of $26.51. The company has a current ratio of 0.86, a quick ratio of 0.85 and a debt-to-equity ratio of 0.09.

About Cadence Bank

Cadence Bank provides commercial banking and financial services. Its products and services include consumer banking, consumer loans, mortgages, home equity lines and loans, credit cards, commercial and business banking, treasury management, specialized and asset-based lending, commercial real estate, equipment financing, and correspondent banking services.