VersaBank (NASDAQ:VBNK) Sees Strong Trading Volume – What’s Next?

Shares of VersaBank (NASDAQ:VBNK) saw unusually-high trading volume on Thursday . 90,129 shares changed hands during trading, an increase of 25% from the previous session’s volume of 71,879 shares.The stock last traded at $22.2420 and had previously closed at $21.70.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on the stock. Roth Capital upgraded shares of VersaBank from a “neutral” rating to a “buy” rating and increased their target price for the stock from $20.00 to $25.00 in a research note on Tuesday, June 30th. Weiss Ratings lowered shares of VersaBank from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Tuesday, June 9th. Finally, Zacks Research raised shares of VersaBank from a “strong sell” rating to a “hold” rating in a report on Monday, May 4th. One equities research analyst has rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $25.00.

VersaBank Trading Up 2.2%

The stock has a market capitalization of $714.07 million, a P/E ratio of 32.19 and a beta of 1.04. The stock’s fifty day moving average price is $19.13 and its two-hundred day moving average price is $16.80.

VersaBank (NASDAQ:VBNK) last released its earnings results on Wednesday, June 3rd. The company reported $0.28 EPS for the quarter, beating the consensus estimate of $0.26 by $0.02. VersaBank had a net margin of 9.34% and a return on equity of 8.32%. The company had revenue of $28.17 million for the quarter, compared to analyst estimates of $26.86 million. As a group, analysts expect that VersaBank will post 1.3 earnings per share for the current fiscal year.

VersaBank Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, July 31st. Shareholders of record on Friday, July 10th will be given a dividend of $0.025 per share. This represents a $0.10 annualized dividend and a yield of 0.5%. The ex-dividend date is Friday, July 10th. VersaBank’s dividend payout ratio is presently 10.14%.

Institutional Investors Weigh In On VersaBank

Institutional investors have recently bought and sold shares of the stock. CSM Advisors LLC purchased a new position in VersaBank in the 3rd quarter worth approximately $3,418,000. Pembroke Management LTD boosted its stake in shares of VersaBank by 40.7% during the fourth quarter. Pembroke Management LTD now owns 736,222 shares of the company’s stock valued at $11,029,000 after purchasing an additional 213,037 shares during the period. Mudita Advisors LLP purchased a new position in shares of VersaBank in the fourth quarter worth $1,462,000. Alliancebernstein L.P. raised its holdings in VersaBank by 2.7% during the 3rd quarter. Alliancebernstein L.P. now owns 2,915,984 shares of the company’s stock valued at $35,604,000 after buying an additional 75,358 shares during the last quarter. Finally, Compass Rose Asset Management LP bought a new stake in VersaBank during the 3rd quarter valued at $720,000. 56.86% of the stock is currently owned by hedge funds and other institutional investors.

VersaBank Company Profile

VersaBank is a Canadian Schedule I chartered bank that operates as a fully digital institution, offering a range of deposit and lending solutions through its proprietary technology platform. Headquartered in London, Ontario, the bank has chosen to forego a traditional branch network in favor of online and digital distribution, enabling it to serve clients across Canada and the United States with efficiency and lower overhead.

The bank’s primary business activities include the origination and securitization of commercial loans, equipment financing, residential mortgages and construction loans.