UMB Financial (NASDAQ:UMBF) Reaches New 52-Week High - Should You Buy?

Key Points

• UMB Financial reached a new 52-week high of $150.85, following quarterly earnings that exceeded analyst expectations: EPS was $3.57 versus the $3.12 consensus, while revenue also topped estimates.
• Analysts maintain a generally positive outlook, with a consensus rating of “Moderate Buy” and an average price target of $163.75, implying potential upside from the trading price.
• The company announced a 3-for-2 stock split and increased its quarterly dividend from $0.43 to $0.50 per share, although insiders have sold more than 34,000 shares over the past 90 days.

UMB Financial Corporation (NASDAQ:UMBF - Get Free Report)'s share price hit a new 52-week high during mid-day trading on Thursday . The stock traded as high as $150.85 and last traded at $150.5260, with a volume of 30552 shares changing hands. The stock had previously closed at $149.45.

Analysts Set New Price Targets

A number of equities analysts recently commented on UMBF shares. Citigroup restated a "neutral" rating and issued a $162.00 price objective (up from $144.00) on shares of UMB Financial in a report on Friday, July 31st. Barclays reiterated an "overweight" rating and issued a $175.00 target price (up from $170.00) on shares of UMB Financial in a research note on Monday, August 3rd. Royal Bank Of Canada reissued an "outperform" rating and issued a $170.00 target price (up from $168.00) on shares of UMB Financial in a research report on Thursday, July 30th. Weiss Ratings restated a "buy (b)" rating on shares of UMB Financial in a research note on Friday, July 24th. Finally, TD Cowen restated a "buy" rating and set a $166.00 price target (up from $161.00) on shares of UMB Financial in a report on Thursday, July 30th. Two research analysts have rated the stock with a Strong Buy rating, nine have issued a Buy rating and three have issued a Hold rating to the company's stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $163.75.

UMB Financial Trading Up 0.9%

The company's fifty day moving average is $141.38 and its 200-day moving average is $129.25. The company has a current ratio of 0.76, a quick ratio of 0.76 and a debt-to-equity ratio of 0.06. The firm has a market capitalization of $11.45 billion, a P/E ratio of 12.55, a P/E/G ratio of 0.72 and a beta of 0.77.

Shares of UMB Financial are going to split on Tuesday, September 1st. The 3-2 split was announced on Tuesday, July 28th. The newly issued shares will be issued to shareholders after the closing bell on Monday, August 31st.

UMB Financial (NASDAQ:UMBF - Get Free Report) last released its earnings results on Tuesday, July 28th. The bank reported $3.57 earnings per share for the quarter, topping analysts' consensus estimates of $3.12 by $0.45. UMB Financial had a net margin of 21.64% and a return on equity of 13.41%. The firm had revenue of $778.00 million during the quarter, compared to analyst estimates of $727.63 million. During the same quarter in the previous year, the business earned $2.96 EPS. As a group, sell-side analysts anticipate that UMB Financial Corporation will post 13.48 earnings per share for the current fiscal year.

UMB Financial Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Thursday, September 10th will be given a dividend of $0.50 per share. The ex-dividend date of this dividend is Thursday, September 10th. This represents a $2.00 annualized dividend and a dividend yield of 1.3%. This is a boost from UMB Financial's previous quarterly dividend of $0.43. UMB Financial's payout ratio is presently 16.65%.

Insider Activity

In other UMB Financial news, Director Susan G. Murphy sold 1,377 shares of UMB Financial stock in a transaction that occurred on Thursday, August 6th. The stock was sold at an average price of $145.55, for a total value of $200,422.35. Following the transaction, the director directly owned 10,635 shares of the company's stock, valued at $1,547,924.25. The trade was a 11.46% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, insider Nikki Farentino Newton sold 2,000 shares of the company's stock in a transaction that occurred on Tuesday, August 4th. The stock was sold at an average price of $148.60, for a total value of $297,200.00. Following the transaction, the insider owned 11,981 shares of the company's stock, valued at approximately $1,780,376.60. This trade represents a 14.31% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 34,171 shares of company stock worth $4,919,826 over the last 90 days. Company insiders own 5.33% of the company's stock.

Institutional Investors Weigh In On UMB Financial

Hedge funds and other institutional investors have recently modified their holdings of the stock. Neumeier Poma Investment Counsel LLC bought a new position in UMB Financial during the second quarter worth $58,645,380,000. Meiji Yasuda Asset Management Co Ltd. bought a new stake in UMB Financial in the 2nd quarter valued at $235,000. Elevation Point Wealth Partners LLC bought a new stake in UMB Financial in the 2nd quarter valued at $486,000. Commerce Bank acquired a new stake in UMB Financial in the 2nd quarter worth $4,197,000. Finally, Northwestern Mutual Wealth Management Co. acquired a new stake in UMB Financial in the 2nd quarter worth $125,000. 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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