Customers Bancorp (NYSE:CUBI) Shares Cross Below Fifty Day Moving Average - What's Next?

Key Points

• Customers Bancorp shares fell below their 50-day moving average, trading as low as $74.05 versus the $78.58 average, with the latest price around $74.72.
• Analysts remain broadly positive, with a consensus rating of “Moderate Buy” and an average price target of $90.82, implying potential upside from recent levels.
• The bank exceeded quarterly EPS expectations, reporting $2.05 versus a $2.00 estimate, while revenue rose 10.2% year over year; however, insiders sold 100,000 shares worth nearly $8.0 million during the last quarter.

Customers Bancorp, Inc (NYSE:CUBI - Get Free Report)'s share price crossed below its 50-day moving average during trading on Monday. The stock has a 50-day moving average of $78.58 and traded as low as $74.05. Customers Bancorp shares last traded at $74.7160, with a volume of 215,357 shares changing hands.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on CUBI shares. Fundamental Research set a $94.00 price target on shares of Customers Bancorp in a research report on Wednesday, July 1st. JPMorgan Chase & Co. decreased their price objective on shares of Customers Bancorp from $96.00 to $92.00 and set an "overweight" rating on the stock in a report on Thursday, October 1st. TD Cowen lowered their price objective on shares of Customers Bancorp from $94.00 to $91.00 and set a "buy" rating for the company in a research report on Monday, October 5th. Piper Sandler boosted their target price on shares of Customers Bancorp from $86.00 to $92.00 and gave the stock an "overweight" rating in a research note on Friday, June 26th. Finally, Keefe, Bruyette & Woods boosted their target price on shares of Customers Bancorp from $88.00 to $89.00 and gave the stock a "market perform" rating in a research note on Monday, August 3rd. One research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $90.82.

Customers Bancorp Price Performance

The stock has a market capitalization of $2.52 billion, a P/E ratio of 9.11 and a beta of 1.52. The company has a debt-to-equity ratio of 1.01, a quick ratio of 1.00 and a current ratio of 1.00. The stock has a 50-day simple moving average of $78.58 and a 200 day simple moving average of $76.70.

Customers Bancorp (NYSE:CUBI - Get Free Report) last released its earnings results on Thursday, July 23rd. The bank reported $2.05 EPS for the quarter, beating the consensus estimate of $2.00 by $0.05. The company had revenue of $227.28 million during the quarter, compared to analysts' expectations of $229.24 million. Customers Bancorp had a return on equity of 13.80% and a net margin of 19.07%. The business's revenue for the quarter was up 10.2% on a year-over-year basis. During the same period last year, the firm earned $1.80 EPS. On average, equities analysts forecast that Customers Bancorp, Inc will post 8.42 earnings per share for the current fiscal year.

Insider Transactions at Customers Bancorp

In related news, Chairman Jay Sidhu sold 68,821 shares of the firm's stock in a transaction dated Monday, August 3rd. The stock was sold at an average price of $80.09, for a total value of $5,511,873.89. Following the transaction, the chairman owned 667,757 shares in the company, valued at $53,480,658.13. This trade represents a 9.34% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Insiders sold a total of 100,000 shares of company stock valued at $7,981,084 in the last quarter. 10.45% of the stock is owned by company insiders.

Institutional Trading of Customers Bancorp

Several institutional investors and hedge funds have recently added to or reduced their stakes in CUBI. Versant Capital Management Inc boosted its position in shares of Customers Bancorp by 41.0% in the 2nd quarter. Versant Capital Management Inc now owns 561 shares of the bank's stock worth $44,000 after purchasing an additional 163 shares during the last quarter. GAMMA Investing LLC increased its holdings in Customers Bancorp by 8.4% in the third quarter. GAMMA Investing LLC now owns 2,132 shares of the bank's stock valued at $158,000 after purchasing an additional 165 shares during the last quarter. Bessemer Group Inc. increased its holdings in Customers Bancorp by 78.4% in the first quarter. Bessemer Group Inc. now owns 528 shares of the bank's stock valued at $37,000 after purchasing an additional 232 shares during the last quarter. Lazard Asset Management LLC increased its holdings in Customers Bancorp by 6.2% in the first quarter. Lazard Asset Management LLC now owns 6,024 shares of the bank's stock valued at $418,000 after purchasing an additional 354 shares during the last quarter. Finally, The Manufacturers Life Insurance Company lifted its stake in Customers Bancorp by 2.5% in the first quarter. The Manufacturers Life Insurance Company now owns 14,700 shares of the bank's stock valued at $1,020,000 after buying an additional 359 shares during the period. 89.29% of the stock is owned by institutional investors.

About Customers Bancorp

Customers Bancorp, Inc is a bank holding company whose principal subsidiary, Customers Bank, provides commercial and consumer banking services. The bank offers deposit accounts, commercial and residential real estate lending, business loans, equipment financing, consumer loans and other credit products. It also provides treasury management, payment and cash-management services for business and institutional customers.

Customers Bank focuses on serving small and mid-sized businesses, entrepreneurs, professionals, consumers and select institutional clients.

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