Unity Bancorp, Inc. (NASDAQ:UNTY) Receives Consensus Rating of "Buy" from Analysts

Key Points

• Analysts remain bullish on Unity Bancorp: Six analysts collectively rate the stock “Buy,” including five buys and one strong buy, with an average 12-month price target of $65.50 versus the latest price of $59.44.
• Institutional ownership increased: Several hedge funds and investment firms added or initiated positions, and institutional investors now own 42.31% of the company. Insiders own 28.87%, although a director recently sold 1,600 shares.
• Unity raised its dividend to $0.17 per quarter, or $0.68 annually, producing a 1.1% yield. The company’s latest quarterly earnings slightly missed estimates, with EPS of $1.42 versus $1.44 expected.

Shares of Unity Bancorp, Inc. (NASDAQ:UNTY - Get Free Report) have been assigned an average recommendation of "Buy" from the six ratings firms that are presently covering the company, MarketBeat reports. Five equities research analysts have rated the stock with a buy recommendation and one has assigned a strong buy recommendation to the company. The average 1-year price target among analysts that have issued ratings on the stock in the last year is $65.50.

Several equities research analysts have commented on the company. DA Davidson reiterated a "buy" rating and set a $68.00 price objective on shares of Unity Bancorp in a research note on Wednesday, July 15th. Freedom Capital upgraded Unity Bancorp from a "hold" rating to a "strong-buy" rating in a research report on Thursday, July 16th. Weiss Ratings reaffirmed a "buy (b+)" rating on shares of Unity Bancorp in a research note on Friday, July 31st. Finally, Piper Sandler boosted their price target on Unity Bancorp from $65.00 to $68.00 and gave the stock an "overweight" rating in a research report on Friday, June 26th.

Insider Transactions at Unity Bancorp

In other news, Director Mark S. Brody sold 1,600 shares of the company's stock in a transaction on Wednesday, May 27th. The shares were sold at an average price of $55.23, for a total transaction of $88,368.00. Following the completion of the sale, the director owned 113,854 shares of the company's stock, valued at $6,288,156.42. This represents a 1.39% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 28.87% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Unity Bancorp

Several hedge funds and other institutional investors have recently modified their holdings of UNTY. Hsbc Holdings PLC grew its stake in Unity Bancorp by 22.0% during the 2nd quarter. Hsbc Holdings PLC now owns 8,676 shares of the financial services provider's stock valued at $509,000 after acquiring an additional 1,563 shares in the last quarter. Empowered Funds LLC purchased a new position in Unity Bancorp in the 2nd quarter worth approximately $1,517,000. Public Employees Retirement System of Ohio acquired a new position in shares of Unity Bancorp during the 2nd quarter worth approximately $199,000. Bank of America Corp DE acquired a new position in shares of Unity Bancorp during the 2nd quarter worth approximately $1,240,000. Finally, Man Group plc purchased a new stake in shares of Unity Bancorp in the second quarter valued at approximately $712,000. 42.31% of the stock is owned by hedge funds and other institutional investors.

Unity Bancorp Stock Up 0.6%

UNTY stock opened at $59.44 on Friday. The stock has a market capitalization of $596.78 million, a P/E ratio of 10.34 and a beta of 0.62. The firm has a 50-day simple moving average of $58.16 and a 200-day simple moving average of $55.07. The company has a quick ratio of 1.17, a current ratio of 1.17 and a debt-to-equity ratio of 0.88. Unity Bancorp has a 52 week low of $44.34 and a 52 week high of $62.50.

Unity Bancorp (NASDAQ:UNTY - Get Free Report) last issued its quarterly earnings results on Tuesday, July 14th. The financial services provider reported $1.42 earnings per share for the quarter, missing analysts' consensus estimates of $1.44 by ($0.02). The company had revenue of $33.75 million during the quarter, compared to analysts' expectations of $34.62 million. Unity Bancorp had a net margin of 30.26% and a return on equity of 16.10%. Equities analysts forecast that Unity Bancorp will post 5.86 earnings per share for the current fiscal year.

Unity Bancorp Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 17th. Shareholders of record on Thursday, September 3rd will be paid a dividend of $0.17 per share. This is a boost from Unity Bancorp's previous quarterly dividend of $0.16. The ex-dividend date of this dividend is Thursday, September 3rd. This represents a $0.68 annualized dividend and a yield of 1.1%. Unity Bancorp's dividend payout ratio is presently 11.13%.

Unity Bancorp Company Profile

Unity Bancorp, Inc is a bank holding company headquartered in Morrisville, Pennsylvania, trading on the NASDAQ under the ticker UNTY. Through its primary subsidiary, Unity Bank, the company delivers a comprehensive suite of commercial and retail banking services to individuals, businesses and municipal clients in its regional markets.

Founded in 1906, Unity Bank maintains a network of conveniently located branches across Bucks County and adjacent areas of southeastern Pennsylvania. The company's deposit portfolio includes checking and savings accounts, money market accounts and certificates of deposit, while its loan offerings encompass commercial real estate, construction and land development, agricultural and consumer lending solutions.

Beyond traditional deposit and lending activities, Unity Bancorp provides cash management and merchant services, as well as internet and mobile banking platforms designed to streamline day-to-day financial operations.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source