Home BancShares (NYSE:HOMB) Hits New 1-Year High After Strong Earnings

Home BancShares, Inc. (NYSE:HOMB)’s share price reached a new 52-week high during mid-day trading on Thursday following a better than expected earnings announcement. The stock traded as high as $30.88 and last traded at $30.8150, with a volume of 2053551 shares trading hands. The stock had previously closed at $29.29.

The financial services provider reported $0.64 EPS for the quarter, beating the consensus estimate of $0.62 by $0.02. Home BancShares had a net margin of 32.48% and a return on equity of 11.11%. The business had revenue of $295.10 million during the quarter, compared to analyst estimates of $288.70 million. During the same quarter in the previous year, the business posted $0.58 EPS. The company’s quarterly revenue was up 8.9% compared to the same quarter last year.

Home BancShares Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, June 3rd. Investors of record on Wednesday, May 13th were paid a $0.21 dividend. The ex-dividend date of this dividend was Wednesday, May 13th. This represents a $0.84 dividend on an annualized basis and a yield of 2.7%. Home BancShares’s payout ratio is 34.57%.

Wall Street Analyst Weigh In

Several analysts have issued reports on HOMB shares. Keefe, Bruyette & Woods dropped their target price on Home BancShares from $32.00 to $30.00 and set a “market perform” rating on the stock in a research report on Monday, April 20th. Piper Sandler set a $33.00 price target on Home BancShares and gave the stock an “overweight” rating in a research report on Friday, April 17th. Cantor Fitzgerald restated a “neutral” rating on shares of Home BancShares in a research note on Thursday. Weiss Ratings downgraded Home BancShares from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Tuesday, May 26th. Finally, Benchmark initiated coverage on Home BancShares in a research note on Wednesday, June 24th. They issued a “hold” rating on the stock. Two analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company’s stock. According to MarketBeat.com, Home BancShares has an average rating of “Hold” and a consensus price target of $31.20.

Insider Buying and Selling at Home BancShares

In other news, CAO Jennifer C. Floyd sold 3,000 shares of the stock in a transaction on Tuesday, April 21st. The stock was sold at an average price of $27.11, for a total transaction of $81,330.00. Following the completion of the sale, the chief accounting officer owned 4,635 shares in the company, valued at approximately $125,654.85. This represents a 39.29% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO John W. Allison acquired 100,000 shares of the stock in a transaction dated Friday, April 17th. The stock was acquired at an average cost of $26.96 per share, with a total value of $2,696,000.00. Following the transaction, the chief executive officer directly owned 5,798,926 shares in the company, valued at approximately $156,339,044.96. This represents a 1.75% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Corporate insiders own 6.39% of the company’s stock.

Hedge Funds Weigh In On Home BancShares

Several hedge funds have recently modified their holdings of the stock. Millennium Capital Advisors LLC purchased a new position in Home BancShares in the 4th quarter worth $1,450,000. Vanguard Group Inc. grew its stake in Home BancShares by 3.1% during the 4th quarter. Vanguard Group Inc. now owns 20,423,768 shares of the financial services provider’s stock valued at $567,372,000 after purchasing an additional 621,751 shares during the last quarter. Norges Bank purchased a new stake in Home BancShares during the 4th quarter valued at about $66,673,000. SG Americas Securities LLC increased its holdings in shares of Home BancShares by 220.0% in the fourth quarter. SG Americas Securities LLC now owns 69,900 shares of the financial services provider’s stock valued at $1,942,000 after purchasing an additional 48,053 shares during the period. Finally, Jefferies Financial Group Inc. acquired a new position in shares of Home BancShares in the fourth quarter valued at about $2,658,000. Institutional investors and hedge funds own 67.31% of the company’s stock.

Home BancShares Stock Performance

The stock has a market capitalization of $6.20 billion, a PE ratio of 12.67 and a beta of 0.68. The company has a quick ratio of 0.92, a current ratio of 0.92 and a debt-to-equity ratio of 0.18. The firm has a 50 day moving average price of $27.52 and a 200-day moving average price of $27.78.

Home BancShares Company Profile

Home BancShares, Inc is a bank holding company based in Conway, Arkansas, operating through its primary subsidiary, Home Bank, National Association. Founded in March 1999, the company provides a comprehensive suite of banking services to individuals, small and middle-market businesses, and public entities. These services encompass deposit accounts, consumer and commercial lending, mortgage origination and servicing, treasury management, and wealth management solutions.

The company’s core products include checking and savings accounts, certificates of deposit, and money market accounts, as well as a variety of loan offerings such as commercial real estate financing, equipment loans, agricultural lending, and residential mortgages.