Wall Street Zen Upgrades Shore Bancshares (NASDAQ:SHBI) to Buy

Key Points

• Wall Street Zen has upgraded Shore Bancshares from a "hold" to a "buy" rating, indicating improving sentiment among analysts.
• Shore Bancshares reported earnings per share of $0.51 for the last quarter, surpassing expectations and contributing to its recent price performance.
• Insider activity is notable, as Director Konrad Wayson increased their stake by purchasing 5,000 shares at $14.25 each, reflecting confidence in the company’s prospects.

Wall Street Zen upgraded shares of Shore Bancshares (NASDAQ:SHBI - Free Report) from a hold rating to a buy rating in a research note issued to investors on Saturday.

Shore Bancshares Price Performance

Shore Bancshares stock traded down $0.05 during mid-day trading on Friday, hitting $16.15. 12,973 shares of the company traded hands, compared to its average volume of 177,205. The stock has a market cap of $538.76 million, a price-to-earnings ratio of 10.04 and a beta of 0.97. The company has a debt-to-equity ratio of 0.22, a quick ratio of 0.94 and a current ratio of 0.94. Shore Bancshares has a one year low of $11.47 and a one year high of $17.61. The stock has a fifty day moving average price of $15.47 and a 200-day moving average price of $14.77.

Shore Bancshares (NASDAQ:SHBI - Get Free Report) last announced its quarterly earnings data on Thursday, July 24th. The bank reported $0.51 earnings per share for the quarter, topping analysts' consensus estimates of $0.41 by $0.10. The firm had revenue of $56.57 million during the quarter, compared to analyst estimates of $53.77 million. Shore Bancshares had a net margin of 15.98% and a return on equity of 11.10%. On average, equities analysts predict that Shore Bancshares will post 1.59 earnings per share for the current fiscal year.

Shore Bancshares Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, May 23rd. Stockholders of record on Monday, May 12th were issued a $0.12 dividend. The ex-dividend date was Monday, May 12th. This represents a $0.48 dividend on an annualized basis and a dividend yield of 2.97%. Shore Bancshares's payout ratio is 29.81%.

Insider Buying and Selling at Shore Bancshares

In other Shore Bancshares news, Director Konrad Wayson acquired 5,000 shares of the stock in a transaction dated Friday, May 2nd. The stock was purchased at an average cost of $14.25 per share, for a total transaction of $71,250.00. Following the acquisition, the director owned 59,328 shares in the company, valued at $845,424. The trade was a 9.20% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available at this link. In the last three months, insiders have purchased 6,250 shares of company stock valued at $89,468. Insiders own 8.57% of the company's stock.

Institutional Investors Weigh In On Shore Bancshares

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. IFP Advisors Inc raised its holdings in Shore Bancshares by 31,320.0% during the 2nd quarter. IFP Advisors Inc now owns 1,571 shares of the bank's stock valued at $25,000 after buying an additional 1,566 shares during the last quarter. Investment Management Corp VA ADV bought a new stake in Shore Bancshares during the 4th quarter valued at $38,000. Russell Investments Group Ltd. raised its holdings in Shore Bancshares by 43,326.3% during the 4th quarter. Russell Investments Group Ltd. now owns 8,251 shares of the bank's stock valued at $131,000 after buying an additional 8,232 shares during the last quarter. AlphaQuest LLC bought a new stake in Shore Bancshares during the 1st quarter valued at $145,000. Finally, Stoneridge Investment Partners LLC bought a new stake in Shore Bancshares during the 1st quarter valued at $158,000. 59.76% of the stock is currently owned by institutional investors.

Shore Bancshares Company Profile

Shore Bancshares, Inc operates as a bank holding company for the Shore United Bank, N.A. that provides various commercial and consumer banking products and services to individuals, businesses, and other organizations. It offers checking, savings, overnight investment sweep, and money market accounts; and regular and IRA certificates of deposit, as well as CDARS programs and cash management services.