Towne Bank (NASDAQ:TOWN) Stock Price Passes Above 50-Day Moving Average - What's Next?

Key Points

• Towne Bank's stock recently crossed above its 50-day moving average
• The bank slightly missed earnings for the quarter with $0.70 EPS vs. a $0.71 consensus and revenue of $221.09M (vs. $225.43M), though revenue was up 25.3% year‑over‑year; market cap is $2.72B and P/E is 15.67.
• Towne Bank announced a quarterly dividend of $0.27 (a 3.1% yield, ex-dividend Mar 31), while analysts hold a consensus rating of "Hold" with a $41 price target and institutional investors now own about 56% of the shares amid recent position increases.

Towne Bank (NASDAQ:TOWN - Get Free Report)'s stock price crossed above its fifty day moving average during trading on Monday . The stock has a fifty day moving average of $34.63 and traded as high as $34.64. Towne Bank shares last traded at $34.48, with a volume of 530,344 shares traded.

Analysts Set New Price Targets

Several research analysts have issued reports on the company. Zacks Research downgraded Towne Bank from a "hold" rating to a "strong sell" rating in a report on Monday, February 2nd. Weiss Ratings reaffirmed a "buy (b-)" rating on shares of Towne Bank in a report on Wednesday, January 21st. Two investment analysts have rated the stock with a Buy rating and one has given a Sell rating to the company's stock. According to MarketBeat, the stock has a consensus rating of "Hold" and a consensus price target of $41.00.

Towne Bank Stock Up 1.7%

The firm's 50-day simple moving average is $34.63 and its 200 day simple moving average is $34.26. The company has a market cap of $2.72 billion, a P/E ratio of 15.67 and a beta of 0.72. The company has a debt-to-equity ratio of 0.02, a quick ratio of 0.86 and a current ratio of 0.87.

Towne Bank (NASDAQ:TOWN - Get Free Report) last issued its earnings results on Friday, January 30th. The bank reported $0.70 EPS for the quarter, missing the consensus estimate of $0.71 by ($0.01). The business had revenue of $221.09 million for the quarter, compared to the consensus estimate of $225.43 million. Towne Bank had a net margin of 15.12% and a return on equity of 9.95%. The business's revenue was up 25.3% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.55 EPS. On average, research analysts forecast that Towne Bank will post 2.6 earnings per share for the current fiscal year.

Towne Bank Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, April 10th. Shareholders of record on Tuesday, March 31st will be given a dividend of $0.27 per share. The ex-dividend date is Tuesday, March 31st. This represents a $1.08 annualized dividend and a dividend yield of 3.1%. Towne Bank's payout ratio is presently 49.09%.

Institutional Trading of Towne Bank

Several institutional investors and hedge funds have recently made changes to their positions in TOWN. AQR Capital Management LLC raised its position in shares of Towne Bank by 32.3% during the 1st quarter. AQR Capital Management LLC now owns 34,996 shares of the bank's stock valued at $1,197,000 after acquiring an additional 8,538 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its position in shares of Towne Bank by 4.6% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 41,837 shares of the bank's stock valued at $1,430,000 after buying an additional 1,837 shares in the last quarter. Millennium Management LLC increased its position in shares of Towne Bank by 56.6% in the 1st quarter. Millennium Management LLC now owns 381,761 shares of the bank's stock valued at $13,052,000 after buying an additional 137,988 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its position in shares of Towne Bank by 4.7% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 157,713 shares of the bank's stock valued at $5,392,000 after buying an additional 7,115 shares in the last quarter. Finally, Jane Street Group LLC increased its position in shares of Towne Bank by 1,220.9% in the 1st quarter. Jane Street Group LLC now owns 157,411 shares of the bank's stock valued at $5,382,000 after buying an additional 145,494 shares in the last quarter. Institutional investors own 55.99% of the company's stock.

Towne Bank Company Profile

TowneBank is a Virginia‐based financial services company organized as a bank holding company. Its primary subsidiary, TowneBank, operates a network of community banking offices and mortgage production facilities. The company offers a comprehensive range of commercial and consumer banking solutions, including deposit accounts, lending products, treasury management, and private banking services tailored to individuals, small businesses, and middle‐market corporations.

In addition to traditional banking, TowneBank provides specialty services through affiliated subsidiaries.

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