First Merchants (NASDAQ:FRME) Stock Price Crosses Above 200-Day Moving Average – Should You Sell?

First Merchants Corporation (NASDAQ:FRME) passed above its 200-day moving average during trading on Monday . The stock has a 200-day moving average of $39.45 and traded as high as $41.48. First Merchants shares last traded at $41.19, with a volume of 474,738 shares.

Wall Street Analysts Forecast Growth

Several brokerages recently weighed in on FRME. Weiss Ratings downgraded shares of First Merchants from a “buy (b)” rating to a “hold (c+)” rating in a research report on Monday, May 18th. Wall Street Zen raised First Merchants from a “sell” rating to a “hold” rating in a research report on Sunday, May 17th. Two analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $48.33.

First Merchants Price Performance

The company has a debt-to-equity ratio of 0.52, a current ratio of 0.94 and a quick ratio of 0.92. The business’s 50 day moving average price is $40.42 and its 200 day moving average price is $39.51. The stock has a market capitalization of $2.68 billion, a P/E ratio of 12.51 and a beta of 0.85.

First Merchants (NASDAQ:FRME) last issued its earnings results on Wednesday, April 22nd. The bank reported $1.03 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.96 by $0.07. First Merchants had a net margin of 18.87% and a return on equity of 9.58%. The company had revenue of $163.53 million for the quarter, compared to analysts’ expectations of $201.91 million. During the same quarter last year, the company posted $1.00 earnings per share. Sell-side analysts forecast that First Merchants Corporation will post 4.24 EPS for the current year.

First Merchants Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, June 19th. Stockholders of record on Friday, June 5th were paid a $0.37 dividend. This is an increase from First Merchants’s previous quarterly dividend of $0.36. The ex-dividend date was Friday, June 5th. This represents a $1.48 dividend on an annualized basis and a dividend yield of 3.5%. First Merchants’s dividend payout ratio (DPR) is 43.53%.

Insider Activity at First Merchants

In related news, Director Larry W. Myers sold 10,000 shares of the company’s stock in a transaction on Thursday, June 11th. The stock was sold at an average price of $41.50, for a total transaction of $415,000.00. Following the completion of the sale, the director owned 99,751 shares in the company, valued at approximately $4,139,666.50. This represents a 9.11% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 1.77% of the stock is owned by insiders.

Institutional Investors Weigh In On First Merchants

Large investors have recently made changes to their positions in the company. AQR Capital Management LLC grew its stake in shares of First Merchants by 19.5% during the 1st quarter. AQR Capital Management LLC now owns 118,650 shares of the bank’s stock valued at $4,798,000 after acquiring an additional 19,375 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in First Merchants by 4.6% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 34,708 shares of the bank’s stock valued at $1,404,000 after purchasing an additional 1,522 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its holdings in First Merchants by 6.6% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 132,785 shares of the bank’s stock valued at $5,370,000 after purchasing an additional 8,212 shares in the last quarter. Jane Street Group LLC boosted its position in shares of First Merchants by 941.6% in the first quarter. Jane Street Group LLC now owns 107,859 shares of the bank’s stock worth $4,362,000 after purchasing an additional 97,504 shares during the period. Finally, Intech Investment Management LLC boosted its position in shares of First Merchants by 42.6% in the first quarter. Intech Investment Management LLC now owns 43,260 shares of the bank’s stock worth $1,749,000 after purchasing an additional 12,922 shares during the period. 73.92% of the stock is currently owned by institutional investors.

About First Merchants

First Merchants Corporation, through its subsidiary First Merchants Bank, offers a comprehensive suite of banking and financial services to individuals, businesses and public sector clients. The company’s core business activities include retail and commercial banking, lending, treasury and cash management, and wealth advisory services. With a focus on relationship banking, First Merchants seeks to deliver tailored solutions for deposit accounts, loan financing and other credit products.

On the consumer side, First Merchants provides checking and savings accounts, certificates of deposit, personal and mortgage loans, and electronic banking conveniences.