Barclays has initiated coverage of Independent Bank (NASDAQ: INDB) with an equal weight rating and a price target of $80.00, according to a research note released on Wednesday. This move highlights the bank’s ongoing performance amid a fluctuating market environment. Other analysts have also recently provided insights on Independent Bank, reflecting a growing interest in the financial institution.
In a report published on the same day, Independent Research set a price objective of $80.00 for the bank. Meanwhile, Zacks Research downgraded its rating from “strong buy” to “hold” on August 19, 2023. On the other hand, Keefe, Bruyette & Woods upgraded the bank’s rating from “market perform” to “outperform,” increasing their target price from $80.00 to $83.00 on October 21, 2023. Weiss Ratings also reaffirmed a “hold (c+)” rating on October 8, 2023.
Overall, one analyst has rated the stock a strong buy, another a buy, while four have issued hold ratings. Based on data from MarketBeat.com, Independent Bank holds an average rating of “moderate buy” with an average price target of $76.80.
Recent Financial Performance and Dividend Announcement
Independent Bank recently reported its quarterly earnings on February 12, 2023, revealing earnings per share (EPS) of $1.01 for the quarter alongside revenues of $175.25 million. The bank achieved a net margin of 16.64% and a return on equity of 7.19%. Analysts predict that Independent Bank will post an EPS of 5.41 for the current fiscal year.
In addition, the firm announced a quarterly dividend of $0.59, scheduled to be paid on January 7, 2024. Shareholders of record on December 29, 2023 will receive this dividend, which represents an annualized amount of $2.36 and a yield of 3.0%. The current dividend payout ratio stands at 57.42%.
Insider Transactions and Institutional Holdings
In related news, Director Gerard F. Nadeau sold 3,000 shares of Independent Bank on November 21, 2023, at an average price of $70.00, totaling $210,000.00. Following this transaction, he retained 22,395 shares valued at approximately $1,567,650, marking an 11.81% decrease in his holdings. The transaction details are available through filings with the Securities and Exchange Commission (SEC).
Additionally, Director Thomas R. Venables sold 405 shares on December 5, 2023, for a total of $29,941.65. This sale reduced his ownership to 20,557 shares, valued at around $1,519,779.01, reflecting a decrease of 1.93% in his holdings.
In total, insiders have sold 200,405 shares worth $13,971,482 over the last 90 days, with corporate insiders currently owning 0.81% of the company’s stock.
Several institutional investors have also made moves regarding Independent Bank shares. First Horizon Corp acquired a new position valued at $31,000 in the third quarter, while Advisory Services Network LLC purchased a stake worth approximately $32,000. Cullen Frost Bankers Inc. and EverSource Wealth Advisors LLC also increased their stakes during the same quarter, with EverSource growing its position by 233.3%.
As it stands, institutional investors and hedge funds collectively hold approximately 83.40% of Independent Bank’s stock, indicating strong institutional confidence in the company.
Independent Bank Group, Inc., headquartered in McKinney, Texas, has evolved from a community bank established in the late 19th century into a prominent regional financial institution. It offers a variety of financial services, including retail and commercial banking, consumer lending, and credit services, having transitioned to a bank holding company in 1983. This strategic growth through both organic expansion and acquisitions has positioned Independent Bank as a significant player in the financial services sector.
