Secure Trust Bank (LON:STB) Shares Down 20.2% - What's Next?

Key Points

• Secure Trust Bank's shares plunged by 20.2% to GBX 966 ($12.85) during trading, significantly below its previous close of GBX 1,210 ($16.09).
• A consensus rating of "Buy" with an average price target of GBX 1,420 reflects analysts' optimism despite the recent share decline.
• Insider activity was noted as Jim Brown purchased 20,000 shares at GBX 1,170 each, demonstrating confidence in the company's future prospects.

Secure Trust Bank PLC (LON:STB - Get Free Report)'s stock price dropped 20.2% during mid-day trading on Thursday . The company traded as low as GBX 942 ($12.53) and last traded at GBX 966 ($12.85). Approximately 848,824 shares changed hands during trading, an increase of 624% from the average daily volume of 117,200 shares. The stock had previously closed at GBX 1,210 ($16.09).

Wall Street Analyst Weigh In

A number of analysts have recently weighed in on STB shares. Shore Capital reaffirmed a "house stock" rating on shares of Secure Trust Bank in a research report on Thursday. Berenberg Bank restated a "buy" rating and set a GBX 1,420 price target on shares of Secure Trust Bank in a report on Monday, August 18th. One investment analyst has rated the stock with a Buy rating, According to MarketBeat, Secure Trust Bank has an average rating of "Buy" and an average price target of GBX 1,420.

Secure Trust Bank Stock Performance

The firm has a 50-day moving average price of GBX 1,106.38 and a two-hundred day moving average price of GBX 855.14. The firm has a market cap of £180.05 million, a price-to-earnings ratio of 952.66, a price-to-earnings-growth ratio of 0.11 and a beta of 0.87.

Secure Trust Bank (LON:STB - Get Free Report) last announced its quarterly earnings results on Thursday, August 14th. The company reported GBX 87.60 earnings per share (EPS) for the quarter. Secure Trust Bank had a return on equity of 7.43% and a net margin of 7.20%. Research analysts anticipate that Secure Trust Bank PLC will post 214.2857143 earnings per share for the current year.

Insider Buying and Selling

In other news, insider Jim Brown purchased 20,000 shares of the company's stock in a transaction that occurred on Tuesday, August 19th. The shares were purchased at an average price of GBX 1,170 per share, for a total transaction of £234,000. 20.19% of the stock is owned by corporate insiders.

Secure Trust Bank Company Profile

Secure Trust Bank is an established, well‐funded and capitalised UK retail bank with over 70‐years of trading history. Secure Trust Bank operates principally from its head office in Solihull, West Midlands. The Group's diversified lending portfolio currently focuses on two sectors: • Business finance through its Real Estate Finance and Commercial Finance divisions, and • Consumer finance through its Vehicle Finance and Retail Finance divisions. Secure Trust Bank PLC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Secure Trust Bank PLC, Yorke House, Arleston Way, Solihull, B90 4LH.

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