Northpointe Bancshares (NYSE:NPB) Shares Gap Down on Disappointing Earnings

Northpointe Bancshares, Inc. (NYSE:NPB) shares gapped down before the market opened on Wednesday following a dissappointing earnings announcement. The stock had previously closed at $18.71, but opened at $17.49. Northpointe Bancshares shares last traded at $17.19, with a volume of 29,103 shares traded.

The company reported $0.60 earnings per share for the quarter, missing analysts’ consensus estimates of $0.68 by ($0.08). The company had revenue of $64.32 million for the quarter. Northpointe Bancshares had a return on equity of 14.80% and a net margin of 17.92%.

Northpointe Bancshares Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, August 4th. Stockholders of record on Wednesday, July 15th will be given a dividend of $0.025 per share. The ex-dividend date of this dividend is Wednesday, July 15th. This represents a $0.10 annualized dividend and a dividend yield of 0.6%. Northpointe Bancshares’s payout ratio is presently 4.50%.

Wall Street Analysts Forecast Growth

NPB has been the subject of several recent analyst reports. Weiss Ratings restated a “sell (d)” rating on shares of Northpointe Bancshares in a research report on Friday, May 29th. Brean Capital initiated coverage on shares of Northpointe Bancshares in a report on Wednesday, April 22nd. They issued a “neutral” rating and a $20.25 target price on the stock. Finally, Piper Sandler increased their price target on shares of Northpointe Bancshares from $21.00 to $22.00 and gave the company an “overweight” rating in a research note on Thursday, July 2nd. One equities research analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $20.50.

Insiders Place Their Bets

In other news, CEO Charles Alan Williams acquired 25,000 shares of the company’s stock in a transaction dated Tuesday, May 12th. The stock was acquired at an average cost of $17.21 per share, with a total value of $430,250.00. Following the completion of the purchase, the chief executive officer owned 2,312,650 shares of the company’s stock, valued at $39,800,706.50. This represents a 1.09% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available at this link. Also, Director David Stevens Hooker sold 7,500 shares of the business’s stock in a transaction on Friday, May 1st. The shares were sold at an average price of $17.82, for a total value of $133,650.00. Following the completion of the sale, the director owned 11,500 shares in the company, valued at $204,930. This represents a 39.47% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 22,500 shares of company stock worth $410,141 over the last 90 days. 18.30% of the stock is owned by insiders.

Hedge Funds Weigh In On Northpointe Bancshares

Hedge funds and other institutional investors have recently bought and sold shares of the company. Cubist Systematic Strategies LLC purchased a new stake in Northpointe Bancshares during the first quarter worth about $26,000. Goldman Sachs Group Inc. purchased a new position in shares of Northpointe Bancshares in the first quarter valued at approximately $9,908,000. Jane Street Group LLC purchased a new position in shares of Northpointe Bancshares in the first quarter valued at approximately $146,000. Geode Capital Management LLC grew its holdings in shares of Northpointe Bancshares by 138.9% in the second quarter. Geode Capital Management LLC now owns 234,789 shares of the company’s stock valued at $3,220,000 after purchasing an additional 136,490 shares in the last quarter. Finally, JPMorgan Chase & Co. acquired a new position in shares of Northpointe Bancshares in the second quarter valued at approximately $776,000.

Northpointe Bancshares Stock Performance

The firm’s 50 day moving average is $18.02 and its two-hundred day moving average is $17.82. The stock has a market capitalization of $594.26 million and a PE ratio of 7.74. The company has a debt-to-equity ratio of 2.96, a quick ratio of 1.38 and a current ratio of 1.44.

Northpointe Bancshares Company Profile

Northpointe Bancshares, Inc is the bank holding company for Northpointe Bank, an FDIC-insured community bank based in Michigan. The company offers a full range of commercial and consumer banking solutions, serving retail, small business and corporate clients through both a physical branch network and digital platforms.

Northpointe Bank’s product suite includes interest-bearing checking and savings accounts, money market and certificate of deposit offerings, as well as residential mortgage lending, home equity financing and unsecured consumer loans.