First Internet Bancorp Target of Unusually High Options Trading (NASDAQ:INBK)

First Internet Bancorp (NASDAQ:INBK) was the target of some unusual options trading activity on Friday. Investors acquired 4,968 call options on the company. This is an increase of 22,482% compared to the average volume of 22 call options.

First Internet Bancorp Trading Up 12.1%

Shares of INBK opened at $29.46 on Friday. The firm has a market cap of $256.89 million, a price-to-earnings ratio of -8.18 and a beta of 0.83. The company has a debt-to-equity ratio of 0.96, a quick ratio of 0.87 and a current ratio of 0.88. First Internet Bancorp has a fifty-two week low of $17.05 and a fifty-two week high of $30.05. The firm has a 50 day moving average price of $26.10 and a 200-day moving average price of $23.35.

First Internet Bancorp (NASDAQ:INBK) last announced its quarterly earnings data on Thursday, July 30th. The bank reported $0.27 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.15 by $0.12. First Internet Bancorp had a negative net margin of 9.01% and a negative return on equity of 0.55%. The company had revenue of $41.12 million during the quarter, compared to analysts’ expectations of $43.83 million. First Internet Bancorp has set its FY 2026 guidance at 2.350-2.450 EPS. As a group, equities research analysts forecast that First Internet Bancorp will post 2.4 earnings per share for the current year.

First Internet Bancorp Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, July 15th. Shareholders of record on Tuesday, June 30th were paid a $0.06 dividend. The ex-dividend date of this dividend was Tuesday, June 30th. This represents a $0.24 annualized dividend and a yield of 0.8%. First Internet Bancorp’s payout ratio is currently -6.23%.

Analyst Ratings Changes

Several brokerages have issued reports on INBK. Weiss Ratings upgraded shares of First Internet Bancorp from a “sell (d)” rating to a “sell (d+)” rating in a research report on Wednesday, July 8th. Wall Street Zen raised shares of First Internet Bancorp from a “hold” rating to a “buy” rating in a report on Saturday, June 6th. Benchmark raised their price objective on shares of First Internet Bancorp from $33.00 to $35.00 and gave the company a “buy” rating in a research report on Friday. Piper Sandler lifted their price objective on shares of First Internet Bancorp from $26.00 to $29.50 and gave the stock a “neutral” rating in a report on Friday. Finally, Keefe, Bruyette & Woods upped their target price on shares of First Internet Bancorp from $23.00 to $24.00 and gave the stock a “market perform” rating in a research report on Friday, May 1st. Two analysts have rated the stock with a Buy rating, three have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, First Internet Bancorp has a consensus rating of “Hold” and a consensus target price of $29.38.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the stock. Aegis Financial Corp bought a new position in First Internet Bancorp during the 4th quarter worth approximately $5,224,000. Patriot Financial Partners GP II L.P. bought a new stake in First Internet Bancorp in the third quarter valued at approximately $4,696,000. Heartland Advisors Inc. boosted its stake in shares of First Internet Bancorp by 33.4% during the first quarter. Heartland Advisors Inc. now owns 384,900 shares of the bank’s stock valued at $7,844,000 after purchasing an additional 96,305 shares during the period. Simcoe Capital LLC purchased a new stake in shares of First Internet Bancorp during the fourth quarter valued at approximately $1,935,000. Finally, CSM Advisors LLC grew its holdings in shares of First Internet Bancorp by 35.9% in the fourth quarter. CSM Advisors LLC now owns 191,854 shares of the bank’s stock worth $4,005,000 after purchasing an additional 50,695 shares during the last quarter. 65.46% of the stock is owned by institutional investors.

Key Headlines Impacting First Internet Bancorp

Here are the key news stories impacting First Internet Bancorp this week:

• Positive Sentiment: Quarterly earnings significantly exceeded expectations. First Internet Bancorp reported second-quarter net income of $2.4 million, or $0.27 per diluted share, compared with $0.02 a year earlier and ahead of the roughly $0.15 consensus estimate. Revenue increased 23% year over year to $41.1 million, driven by higher net interest and noninterest income. First Internet Bancorp Reports Second Quarter 2026 Results
• Positive Sentiment: Full-year guidance was raised above Wall Street expectations. Management now expects 2026 diluted EPS of $2.35 to $2.45, compared with the prior consensus estimate of $2.10, providing a meaningful catalyst for the stock.
• Positive Sentiment: Credit quality improved. The provision for credit losses declined to $13.4 million from $16.3 million in the first quarter, while nonperforming loans improved to 1.58% of total loans from 1.63%. Loan balances also grew about 1% sequentially. First Internet Bancorp Q2 net income rises to $2.4 million
• Positive Sentiment: Analyst sentiment improved. Benchmark raised its price target from $33 to $35 and maintained a “buy” rating. Piper Sandler also increased its target from $26 to $29.50, though it retained a neutral rating. Analyst price target updates
• Neutral Sentiment: Unusually heavy options activity included purchases of 4,968 call contracts versus typical volume of about 22. This signals increased speculative interest but does not guarantee further gains.
• Negative Sentiment: Revenue of $41.1 million was below the $43.8 million consensus estimate, deposits declined by $150.3 million, or 3%, sequentially, and profitability metrics remain pressured, including a negative reported net margin and return on equity.

First Internet Bancorp Company Profile

First Internet Bancorp is the bank holding company for First Internet Bank of Indiana, a pioneer in digital banking in the United States. Established with a focus on online-only operations, the company offers fully integrated, web-based financial solutions without the overhead of physical branches. Headquartered in Indianapolis, Indiana, First Internet Bancorp leverages technology to deliver streamlined banking services to customers across the country.

The company’s core offerings include a range of deposit products such as checking accounts, savings accounts, money market accounts, certificates of deposit (CDs) and individual retirement accounts (IRAs).