Independent Bank (NASDAQ:INDB) Posts Earnings Results, Misses Estimates By $0.09 EPS

Independent Bank (NASDAQ:INDB) posted its quarterly earnings data on Thursday. The bank reported $1.70 earnings per share for the quarter, missing analysts’ consensus estimates of $1.79 by ($0.09), FiscalAI reports. Independent Bank had a net margin of 20.31% and a return on equity of 9.17%. The company had revenue of $253.32 million for the quarter, compared to analysts’ expectations of $257.50 million.

Independent Bank Price Performance

INDB opened at $84.51 on Friday. The company has a market capitalization of $4.08 billion, a price-to-earnings ratio of 15.25 and a beta of 0.77. The company has a current ratio of 0.94, a quick ratio of 0.94 and a debt-to-equity ratio of 0.22. Independent Bank has a 12-month low of $61.55 and a 12-month high of $87.50. The business’s fifty day simple moving average is $81.15 and its 200-day simple moving average is $79.25.

Independent Bank Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Thursday, July 9th. Stockholders of record on Monday, June 29th were issued a $0.64 dividend. The ex-dividend date was Monday, June 29th. This represents a $2.56 dividend on an annualized basis and a dividend yield of 3.0%. Independent Bank’s dividend payout ratio is presently 50.79%.

More Independent Bank News

Here are the key news stories impacting Independent Bank this week:

• Negative Sentiment: Independent Bank reported Q2 earnings of $1.70 per share, missing estimates of $1.77 to $1.79, while revenue of $253.3 million also came in below forecasts. Independent Bank Corp. Reports Second Quarter Net Income of $81.8 Million
• Neutral Sentiment: The company’s second-quarter net income rose to $81.8 million from $79.9 million in the prior quarter, and EPS improved sequentially from $1.63, showing some operational progress even as results missed expectations. Independent Bank Corp. Reports Second Quarter Net Income of $81.8 Million
• Negative Sentiment: Market commentary following the release emphasized that the stock was under pressure because the results missed sales and earnings expectations, overshadowing the company’s solid profitability metrics such as a 19.14% net margin and 8.66% return on equity. Why Independent Bank (INDB) shares are getting obliterated today

Analyst Upgrades and Downgrades

Several research analysts have weighed in on the company. Hovde Group began coverage on Independent Bank in a research note on Friday, May 15th. They issued an “outperform” rating and a $95.00 price target for the company. Keefe, Bruyette & Woods lowered their target price on shares of Independent Bank from $96.00 to $94.00 and set an “outperform” rating on the stock in a report on Monday, April 20th. Independent Research set a $95.00 target price on shares of Independent Bank in a research report on Friday, May 15th. Stephens began coverage on shares of Independent Bank in a research note on Wednesday, April 15th. They set an “overweight” rating and a $88.00 target price for the company. Finally, Raymond James Financial reaffirmed a “strong-buy” rating and set a $97.00 target price on shares of Independent Bank in a research note on Friday, April 17th. One equities research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, two have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, Independent Bank currently has an average rating of “Moderate Buy” and an average price target of $91.57.

Insider Activity

In other Independent Bank news, Director Joseph C. Lerner sold 2,832 shares of the stock in a transaction on Monday, May 18th. The stock was sold at an average price of $77.31, for a total transaction of $218,941.92. Following the sale, the director owned 16,215 shares of the company’s stock, valued at approximately $1,253,581.65. This trade represents a 14.87% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Corporate insiders own 1.60% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in INDB. Advisory Services Network LLC purchased a new position in Independent Bank in the 3rd quarter worth $32,000. EverSource Wealth Advisors LLC increased its holdings in shares of Independent Bank by 233.3% in the second quarter. EverSource Wealth Advisors LLC now owns 550 shares of the bank’s stock valued at $35,000 after purchasing an additional 385 shares during the period. Danske Bank A S purchased a new position in shares of Independent Bank in the third quarter worth about $42,000. Kemnay Advisory Services Inc. purchased a new position in shares of Independent Bank in the fourth quarter worth about $48,000. Finally, Osaic Holdings Inc. lifted its holdings in shares of Independent Bank by 23.3% during the second quarter. Osaic Holdings Inc. now owns 1,116 shares of the bank’s stock worth $70,000 after purchasing an additional 211 shares during the period. 83.40% of the stock is currently owned by hedge funds and other institutional investors.

About Independent Bank

Independent Bank Group, Inc (NASDAQ:INDB) is a bank holding company headquartered in McKinney, Texas, that provides a range of financial services through its wholly owned subsidiary, Independent Bank. Tracing its roots to the late 19th century, the company has grown from a single community bank into a regional financial institution serving individuals, small businesses and commercial clients. Independent Bank Group became a bank holding company in 1983 and expanded its footprint through organic growth and strategic acquisitions.

The company’s primary business activities encompass retail and commercial banking, including deposit products, consumer and business lending and credit services.