UMB Financial (NASDAQ:UMBF) Reaches New 1-Year High - What's Next?

Key Points

• UMB Financial shares reached a new 52-week high of $144.36, while analysts maintained a broadly positive outlook. The stock has a “Moderate Buy” consensus rating and an average price target of $166.54.
• The company exceeded quarterly expectations, reporting $3.57 in EPS versus the $3.12 consensus and revenue of $778 million compared with estimates of $727.63 million.
• UMB Financial increased its quarterly dividend from $0.43 to $0.50 per share, equal to a $2.00 annualized payout and a 1.4% yield. Institutional investors own 87.78% of the company, while insiders sold more shares than they purchased over the latest quarter.

Shares of UMB Financial Corporation (NASDAQ:UMBF - Get Free Report) hit a new 52-week high during mid-day trading on Tuesday . The company traded as high as $144.36 and last traded at $143.4630, with a volume of 400241 shares traded. The stock had previously closed at $143.76.

Wall Street Analyst Weigh In

UMBF has been the topic of several recent research reports. Truist Financial set a $170.00 price target on shares of UMB Financial and gave the company a "buy" rating in a report on Tuesday, August 4th. Weiss Ratings restated a "buy (b)" rating on shares of UMB Financial in a research report on Friday, July 24th. Morgan Stanley reaffirmed an "overweight" rating on shares of UMB Financial in a research note on Tuesday. Keefe, Bruyette & Woods boosted their target price on shares of UMB Financial from $155.00 to $160.00 and gave the company an "outperform" rating in a research note on Thursday, July 30th. Finally, Raymond James Financial started coverage on shares of UMB Financial in a research report on Thursday, August 27th. They set an "outperform" rating and a $165.00 price target on the stock. One analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and three have issued a Hold rating to the company's stock. Based on data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $166.54.

UMB Financial Stock Performance

The firm has a 50 day simple moving average of $144.95 and a 200-day simple moving average of $131.34. The company has a debt-to-equity ratio of 0.06, a current ratio of 0.76 and a quick ratio of 0.76. The company has a market cap of $10.90 billion, a price-to-earnings ratio of 11.93, a PEG ratio of 0.70 and a beta of 0.77.

UMB Financial (NASDAQ:UMBF - Get Free Report) last issued its quarterly earnings data on Tuesday, July 28th. The bank reported $3.57 EPS for the quarter, topping the consensus estimate of $3.12 by $0.45. The firm had revenue of $778.00 million for the quarter, compared to analyst estimates of $727.63 million. UMB Financial had a net margin of 21.64% and a return on equity of 13.41%. During the same period in the prior year, the business posted $2.96 EPS. As a group, analysts predict that UMB Financial Corporation will post 13.5 EPS for the current fiscal year.

UMB Financial Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Thursday, September 10th will be issued a $0.50 dividend. The ex-dividend date of this dividend is Thursday, September 10th. This is an increase from UMB Financial's previous quarterly dividend of $0.43. This represents a $2.00 annualized dividend and a dividend yield of 1.4%. UMB Financial's dividend payout ratio is currently 14.32%.

Insider Activity

In other news, Director Tamara Peterman acquired 394 shares of the company's stock in a transaction that occurred on Tuesday, September 1st. The stock was purchased at an average cost of $139.60 per share, with a total value of $55,002.40. Following the purchase, the director directly owned 10,680 shares of the company's stock, valued at approximately $1,490,928. This trade represents a 3.83% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available through the SEC website. Also, insider Nikki Farentino Newton sold 2,000 shares of the stock in a transaction on Tuesday, August 4th. The shares were sold at an average price of $148.60, for a total value of $297,200.00. Following the sale, the insider directly owned 11,981 shares in the company, valued at approximately $1,780,376.60. The trade was a 14.31% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 25,925 shares of company stock valued at $3,826,489. 5.33% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the stock. MBM Wealth Consultants LLC acquired a new position in UMB Financial during the 1st quarter worth approximately $26,000. Kemnay Advisory Services Inc. purchased a new stake in shares of UMB Financial during the fourth quarter valued at approximately $27,000. Axiom Investment Management LLC acquired a new position in shares of UMB Financial during the first quarter worth $28,000. Mitsubishi UFJ Asset Management Co. Ltd. acquired a new position in shares of UMB Financial during the second quarter worth $38,000. Finally, Hilton Head Capital Partners LLC purchased a new position in shares of UMB Financial in the fourth quarter valued at $34,000. Institutional investors and hedge funds own 87.78% of the company's stock.

About UMB Financial

UMB Financial Corporation NASDAQ: UMBF is a diversified financial services holding company headquartered in Kansas City, Missouri. Through its principal banking subsidiary, UMB Bank, N.A., the company provides a full suite of commercial and consumer banking services. Key offerings include deposit accounts, commercial and consumer lending, treasury and cash management, as well as online and mobile banking solutions designed to serve businesses, individuals and municipalities.

In addition to its core banking operations, UMB Financial delivers wealth management and trust services, investment advisory, asset management and retirement planning to high-net-worth individuals, families and institutions.

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