M&T Bank (MTB) Upgraded by Zacks Investment Research to “Buy”
Zacks Investment Research upgraded shares of M&T Bank (NYSE:MTB) from a hold rating to a buy rating in a report released on Wednesday. The brokerage currently has $211.00 price target on the financial services provider’s stock.
According to Zacks, “Shares of M&T Bank have outperformed the industry over the past six months. Also, the company has an impressive earnings surprise history. It surpassed the Zacks Consensus Estimate for earnings in three of the trailing four quarters. M&T Bank’s top-line growth looks encouraging given its diverse fee income base, and consistent rise in deposits and loan growth amid an improving economy. Also, the bank’s involvement in steady capital deployment activities boosts shareholders’ confidence. Though, consistently rising expenses due to ongoing investments remains a concern, M&T Bank's focus on expansion through inorganic growth opportunities bode well for the long term.”
Several other research analysts also recently issued reports on the company. Barclays upped their price objective on M&T Bank from $205.00 to $210.00 and gave the company an overweight rating in a research note on Monday, February 26th. Keefe, Bruyette & Woods reaffirmed a hold rating on shares of M&T Bank in a research note on Tuesday, February 6th. Wedbush reaffirmed a neutral rating and issued a $186.00 price objective (up previously from $180.00) on shares of M&T Bank in a research note on Tuesday, February 6th. Royal Bank of Canada reaffirmed a buy rating on shares of M&T Bank in a research note on Friday, January 19th. Finally, Piper Jaffray Companies reaffirmed a neutral rating on shares of M&T Bank in a research note on Thursday, January 18th. Three investment analysts have rated the stock with a sell rating, twelve have given a hold rating and six have issued a buy rating to the company. The stock currently has an average rating of Hold and a consensus target price of $176.06.
M&T Bank (NYSE:MTB) last released its quarterly earnings data on Thursday, January 18th. The financial services provider reported $2.66 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $2.40 by $0.26. M&T Bank had a return on equity of 10.12% and a net margin of 23.40%. The company had revenue of $1.46 billion during the quarter, compared to the consensus estimate of $1.41 billion. During the same quarter in the prior year, the firm posted $1.98 earnings per share. The firm’s revenue was up 2.8% compared to the same quarter last year. analysts expect that M&T Bank will post 12.2 EPS for the current fiscal year.
The company also recently announced a quarterly dividend, which will be paid on Friday, March 30th. Shareholders of record on Monday, March 5th will be given a dividend of $0.75 per share. This represents a $3.00 dividend on an annualized basis and a yield of 1.58%. The ex-dividend date of this dividend is Friday, March 2nd. M&T Bank’s dividend payout ratio is presently 34.52%.
M&T Bank announced that its board has authorized a share repurchase plan on Monday, February 5th that permits the company to buyback $745.00 million in shares. This buyback authorization permits the financial services provider to reacquire shares of its stock through open market purchases. Shares buyback plans are often a sign that the company’s board believes its stock is undervalued.
In other news, Director Robert E. Sadler, Jr. sold 1,000 shares of the firm’s stock in a transaction that occurred on Monday, March 12th. The shares were sold at an average price of $194.85, for a total transaction of $194,850.00. Following the completion of the sale, the director now owns 52,197 shares of the company’s stock, valued at approximately $10,170,585.45. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, VP Michele D. Trolli sold 6,000 shares of the firm’s stock in a transaction that occurred on Tuesday, January 23rd. The stock was sold at an average price of $187.35, for a total transaction of $1,124,100.00. Following the sale, the vice president now directly owns 8,978 shares of the company’s stock, valued at approximately $1,682,028.30. The disclosure for this sale can be found here. Insiders have sold a total of 72,091 shares of company stock valued at $13,594,655 in the last three months. Insiders own 0.48% of the company’s stock.
Hedge funds have recently made changes to their positions in the company. Captrust Financial Advisors acquired a new stake in shares of M&T Bank during the 4th quarter worth approximately $171,000. Calton & Associates Inc. acquired a new stake in shares of M&T Bank during the 4th quarter worth approximately $178,000. NuWave Investment Management LLC acquired a new stake in shares of M&T Bank during the 4th quarter worth approximately $197,000. Savant Capital LLC acquired a new stake in shares of M&T Bank during the 4th quarter worth approximately $202,000. Finally, Shelton Capital Management acquired a new stake in shares of M&T Bank during the 4th quarter worth approximately $202,000. 77.61% of the stock is owned by institutional investors.
About M&T Bank
M&T Bank Corporation (M&T) is a bank holding company. As of December 31, 2016, M&T had two bank subsidiaries: Manufacturers and Traders Trust Company (M&T Bank) and Wilmington Trust, National Association (Wilmington Trust, N.A.). The Company, along with its subsidiaries, offers a range of retail and commercial banking, trust and wealth management, and investment services.
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for M&T Bank Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for M&T Bank and related companies with MarketBeat.com's FREE daily email newsletter.