Preferred Bank (NASDAQ:PFBC) Posts Earnings Results, Beats Expectations By $0.09 EPS

Preferred Bank (NASDAQ:PFBC - Get Free Report) released its quarterly earnings data on Monday. The bank reported $2.52 earnings per share for the quarter, topping the consensus estimate of $2.43 by $0.09, Zacks reports. The firm had revenue of $69.05 million for the quarter, compared to analyst estimates of $70.96 million. Preferred Bank had a net margin of 24.87% and a return on equity of 16.88%.

Preferred Bank Stock Up 4.8%

Shares of Preferred Bank stock traded up $4.40 during trading on Monday, reaching $97.01. The company had a trading volume of 190,936 shares, compared to its average volume of 87,672. The company has a market cap of $1.40 billion, a price-to-earnings ratio of 10.30 and a beta of 0.69. The firm's fifty day moving average is $86.28 and its 200-day moving average is $85.16. Preferred Bank has a fifty-two week low of $71.90 and a fifty-two week high of $99.78. The company has a debt-to-equity ratio of 0.19, a quick ratio of 1.07 and a current ratio of 1.07.

Preferred Bank Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, July 22nd. Shareholders of record on Tuesday, July 8th will be issued a dividend of $0.75 per share. The ex-dividend date is Tuesday, July 8th. This represents a $3.00 dividend on an annualized basis and a yield of 3.09%. Preferred Bank's dividend payout ratio (DPR) is presently 31.85%.

Wall Street Analysts Forecast Growth

Several research analysts have issued reports on the stock. Stephens restated an "equal weight" rating and set a $91.00 price target on shares of Preferred Bank in a report on Tuesday, April 29th. DA Davidson dropped their target price on shares of Preferred Bank from $95.00 to $90.00 and set a "neutral" rating on the stock in a report on Monday, April 28th. Finally, Piper Sandler dropped their price target on Preferred Bank from $108.00 to $96.00 and set an "overweight" rating for the company in a research note on Tuesday, April 29th.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of the business. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in shares of Preferred Bank by 2.9% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 7,266 shares of the bank's stock worth $608,000 after purchasing an additional 202 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its position in Preferred Bank by 19.1% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 25,931 shares of the bank's stock worth $2,169,000 after buying an additional 4,158 shares in the last quarter. Finally, Jane Street Group LLC boosted its stake in Preferred Bank by 81.0% during the first quarter. Jane Street Group LLC now owns 66,428 shares of the bank's stock valued at $5,557,000 after buying an additional 29,729 shares during the last quarter. Institutional investors own 72.77% of the company's stock.

Preferred Bank announced that its board has initiated a stock repurchase program on Thursday, May 22nd that allows the company to repurchase $125.00 million in shares. This repurchase authorization allows the bank to reacquire up to 10.4% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company's leadership believes its shares are undervalued.

Preferred Bank Company Profile

Preferred Bank provides various commercial banking products and services to small and mid-sized businesses and their owners, entrepreneurs, real estate developers and investors, professionals, and high net worth individuals. The company accepts checking, savings, and money market deposit accounts; fixed-rate and fixed maturity retail, and non-retail certificates of deposit; and individual retirement accounts.