Short Interest in Third Coast Bancshares, Inc. (NASDAQ:TCBX) Declines By 29.6%

Key Points

• Short interest in Third Coast Bancshares, Inc. declined by 29.6% in August, falling to 253,700 shares from 360,200 shares at the end of July.
• The company's recent quarterly earnings exceeded expectations, with $0.96 earnings per share reported, outperforming the consensus estimate of $0.75.
• Third Coast Bancshares recently announced a $30 million share repurchase plan, indicating confidence from company leadership in the value of its stock.

Third Coast Bancshares, Inc. (NASDAQ:TCBX - Get Free Report) was the target of a significant decrease in short interest during the month of August. As of August 15th, there was short interest totaling 253,700 shares, a decrease of 29.6% from the July 31st total of 360,200 shares. Based on an average trading volume of 65,800 shares, the days-to-cover ratio is presently 3.9 days. Currently, 2.3% of the company's stock are sold short. Currently, 2.3% of the company's stock are sold short. Based on an average trading volume of 65,800 shares, the days-to-cover ratio is presently 3.9 days.

Analyst Upgrades and Downgrades

Separately, Keefe, Bruyette & Woods lifted their price target on Third Coast Bancshares from $38.00 to $42.00 and gave the company a "market perform" rating in a report on Monday, July 28th. One investment analyst has rated the stock with a Buy rating and two have assigned a Hold rating to the company's stock. According to data from MarketBeat, Third Coast Bancshares presently has an average rating of "Hold" and an average price target of $40.00.

Insider Activity

In other news, insider William Bobbora acquired 1,300 shares of the business's stock in a transaction that occurred on Tuesday, July 29th. The stock was acquired at an average cost of $37.56 per share, for a total transaction of $48,828.00. Following the completion of the acquisition, the insider owned 11,750 shares in the company, valued at approximately $441,330. The trade was a 12.44% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Corporate insiders own 10.28% of the company's stock.

Institutional Trading of Third Coast Bancshares

Several large investors have recently modified their holdings of the company. Dimensional Fund Advisors LP raised its holdings in Third Coast Bancshares by 26.7% in the 4th quarter. Dimensional Fund Advisors LP now owns 294,411 shares of the company's stock worth $9,996,000 after acquiring an additional 62,019 shares during the period. Northern Trust Corp grew its position in shares of Third Coast Bancshares by 4.6% in the fourth quarter. Northern Trust Corp now owns 104,514 shares of the company's stock valued at $3,548,000 after purchasing an additional 4,628 shares during the last quarter. AXA S.A. bought a new position in shares of Third Coast Bancshares in the fourth quarter worth about $912,000. Algert Global LLC acquired a new position in shares of Third Coast Bancshares during the 4th quarter worth about $260,000. Finally, Ameriprise Financial Inc. boosted its stake in Third Coast Bancshares by 24.8% during the 4th quarter. Ameriprise Financial Inc. now owns 73,271 shares of the company's stock valued at $2,488,000 after purchasing an additional 14,560 shares during the period. 36.88% of the stock is owned by institutional investors.

Third Coast Bancshares Stock Performance

Shares of TCBX traded up $0.45 during trading hours on Thursday, hitting $39.85. 82,931 shares of the company were exchanged, compared to its average volume of 56,770. The company has a market cap of $552.32 million, a PE ratio of 12.19 and a beta of 0.41. The firm's 50 day moving average is $37.73 and its 200-day moving average is $33.60. Third Coast Bancshares has a 52 week low of $25.00 and a 52 week high of $41.25.

Third Coast Bancshares (NASDAQ:TCBX - Get Free Report) last issued its quarterly earnings data on Wednesday, July 23rd. The company reported $0.96 earnings per share for the quarter, beating analysts' consensus estimates of $0.75 by $0.21. The business had revenue of $52.02 million for the quarter, compared to the consensus estimate of $47.52 million. Third Coast Bancshares had a return on equity of 12.05% and a net margin of 16.30%. As a group, equities analysts forecast that Third Coast Bancshares will post 3.1 earnings per share for the current fiscal year.

Third Coast Bancshares declared that its board has approved a share buyback plan on Tuesday, June 17th that permits the company to repurchase $30.00 million in outstanding shares. This repurchase authorization permits the company to reacquire up to 7.3% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company's leadership believes its stock is undervalued.

About Third Coast Bancshares

Third Coast Bancshares, Inc operates as a bank holding company for Third Coast Bank, SSB that provides various commercial banking solutions to small and medium-sized businesses, and professionals. The company's deposit products include checking, savings, individual retirement, and money market accounts, as well as certificates of deposit.