Bancorp (NASDAQ:TBBK) Shares Gap Down - Should You Sell?

Key Points

• Bancorp shares plunged, opening at $53.32 versus a prior close of $64.41 and later trading near $49.94, indicating significant downside pressure.
• Despite the selloff, analysts maintain a “Moderate Buy” consensus, with an average price target of $71.17 and individual targets ranging from $79 to $88.
• The company beat quarterly EPS estimates, reporting $1.45 versus expectations of $1.36, although revenue of $137.74 million fell short of the $166.69 million forecast; institutional investors own 96.22% of shares.

Shares of The Bancorp, Inc. (NASDAQ:TBBK - Get Free Report) gapped down before the market opened on Wednesday . The stock had previously closed at $64.41, but opened at $53.32. Bancorp shares last traded at $49.9440, with a volume of 472,926 shares changing hands.

Wall Street Analysts Forecast Growth

Several research analysts recently weighed in on the company. Raymond James Financial set a $88.00 price objective on Bancorp in a research report on Friday, August 7th. Bank of America reaffirmed a "buy" rating on shares of Bancorp in a research note on Monday, July 20th. Piper Sandler reiterated an "overweight" rating and set a $86.00 price target (up from $70.00) on shares of Bancorp in a report on Monday, August 3rd. Weiss Ratings raised Bancorp from a "hold (c)" rating to a "hold (c+)" rating in a research report on Tuesday, June 30th. Finally, Keefe, Bruyette & Woods restated an "outperform" rating and issued a $79.00 price objective (up from $77.00) on shares of Bancorp in a report on Monday, August 3rd. One equities research analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $71.17.

Bancorp Price Performance

The company has a debt-to-equity ratio of 0.30, a quick ratio of 0.87 and a current ratio of 0.88. The stock has a market cap of $2.02 billion, a PE ratio of 9.33 and a beta of 1.18. The stock's 50-day moving average is $67.23 and its two-hundred day moving average is $60.05.

Bancorp (NASDAQ:TBBK - Get Free Report) last announced its earnings results on Thursday, July 30th. The bank reported $1.45 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.36 by $0.09. Bancorp had a return on equity of 32.32% and a net margin of 27.72%.The company had revenue of $137.74 million for the quarter, compared to analyst estimates of $166.69 million. Bancorp has set its Q4 2026 guidance at 1.650-1.750 EPS and its FY 2026 guidance at 5.950-6.050 EPS. On average, equities analysts predict that The Bancorp, Inc. will post 6.02 earnings per share for the current year.

Insider Buying and Selling at Bancorp

In related news, CAO Martin Egan sold 3,057 shares of the business's stock in a transaction on Thursday, August 6th. The stock was sold at an average price of $72.03, for a total value of $220,195.71. Following the sale, the chief accounting officer owned 30,219 shares in the company, valued at approximately $2,176,674.57. The trade was a 9.19% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders own 6.00% of the company's stock.

Hedge Funds Weigh In On Bancorp

Hedge funds and other institutional investors have recently bought and sold shares of the company. Royal Bank of Canada increased its stake in Bancorp by 98.2% during the first quarter. Royal Bank of Canada now owns 76,696 shares of the bank's stock worth $4,052,000 after purchasing an additional 37,993 shares during the period. AQR Capital Management LLC grew its holdings in shares of Bancorp by 15.9% in the first quarter. AQR Capital Management LLC now owns 16,734 shares of the bank's stock valued at $884,000 after purchasing an additional 2,296 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its holdings in shares of Bancorp by 1.9% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 27,183 shares of the bank's stock valued at $1,436,000 after purchasing an additional 518 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its stake in Bancorp by 6.1% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 147,523 shares of the bank's stock worth $7,795,000 after buying an additional 8,454 shares during the period. Finally, Jane Street Group LLC lifted its holdings in Bancorp by 145.8% during the 1st quarter. Jane Street Group LLC now owns 128,173 shares of the bank's stock worth $6,773,000 after buying an additional 76,027 shares in the last quarter. 96.22% of the stock is currently owned by hedge funds and other institutional investors.

Bancorp Company Profile

The Bancorp, Inc NASDAQ: TBBK is a Delaware-chartered bank holding company that provides a range of banking and financial services to individuals, businesses, and financial institutions across the United States. Through its subsidiary, The Bancorp Bank, the company offers FDIC-insured deposit accounts, cash management solutions and specialized lending products. Its business model focuses on partnering with fintech firms, asset managers and payment processors to deliver integrated banking-as-a-service (BaaS) capabilities.

The company's product suite includes interest-bearing and non-interest-bearing checking accounts, money market accounts, certificates of deposit and debit and credit card services.

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