Home BancShares (NYSE:HOMB) Sets New 12-Month Low – Here’s Why

Home BancShares, Inc. (NYSE:HOMB)’s stock price hit a new 52-week low during trading on Wednesday . The company traded as low as $25.67 and last traded at $25.7530, with a volume of 571606 shares changing hands. The stock had previously closed at $26.28.

Analyst Upgrades and Downgrades

A number of equities research analysts recently commented on the stock. Keefe, Bruyette & Woods reduced their price objective on shares of Home BancShares from $32.00 to $30.00 and set a “market perform” rating for the company in a research report on Monday, April 20th. Wall Street Zen downgraded shares of Home BancShares from a “hold” rating to a “sell” rating in a research report on Saturday, April 18th. Zacks Research downgraded shares of Home BancShares from a “strong-buy” rating to a “hold” rating in a research report on Monday, March 16th. Piper Sandler set a $33.00 price target on shares of Home BancShares and gave the company an “overweight” rating in a research report on Friday, April 17th. Finally, Stephens reduced their price target on shares of Home BancShares from $34.00 to $32.00 and set an “overweight” rating for the company in a research report on Friday, April 17th. Three investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $31.40.

Home BancShares Price Performance

The stock has a market capitalization of $5.17 billion, a price-to-earnings ratio of 10.56 and a beta of 0.69. The company has a 50 day moving average of $26.87 and a 200 day moving average of $27.82. The company has a quick ratio of 0.92, a current ratio of 0.92 and a debt-to-equity ratio of 0.18.

Home BancShares (NYSE:HOMB) last issued its quarterly earnings results on Wednesday, April 15th. The financial services provider reported $0.60 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $0.60. Home BancShares had a return on equity of 11.11% and a net margin of 32.48%.The firm had revenue of $266.71 million for the quarter, compared to analyst estimates of $274.06 million. During the same period last year, the company earned $0.56 EPS. The firm’s quarterly revenue was up 2.5% on a year-over-year basis. As a group, equities research analysts forecast that Home BancShares, Inc. will post 2.48 EPS for the current fiscal year.

Home BancShares Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, June 3rd. Shareholders of record on Wednesday, May 13th will be issued a $0.21 dividend. The ex-dividend date is Wednesday, May 13th. This represents a $0.84 dividend on an annualized basis and a yield of 3.3%. Home BancShares’s payout ratio is currently 34.57%.

Insiders Place Their Bets

In other news, Director John W. Allison II sold 5,000 shares of the stock in a transaction dated Monday, February 23rd. The shares were sold at an average price of $28.19, for a total transaction of $140,950.00. Following the transaction, the director owned 651,995 shares of the company’s stock, valued at approximately $18,379,739.05. This trade represents a 0.76% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO John W. Allison purchased 100,000 shares of Home BancShares stock in a transaction dated Friday, April 17th. The shares were bought at an average cost of $26.96 per share, for a total transaction of $2,696,000.00. Following the transaction, the chief executive officer directly owned 5,798,926 shares of the company’s stock, valued at approximately $156,339,044.96. The trade was a 1.75% increase in their position. The disclosure for this purchase is available in the SEC filing. 6.39% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Home BancShares

Large investors have recently modified their holdings of the stock. Root Financial Partners LLC lifted its position in shares of Home BancShares by 76.9% during the first quarter. Root Financial Partners LLC now owns 1,090 shares of the financial services provider’s stock worth $29,000 after purchasing an additional 474 shares during the last quarter. CIBC Private Wealth Group LLC lifted its position in shares of Home BancShares by 164.8% during the fourth quarter. CIBC Private Wealth Group LLC now owns 1,083 shares of the financial services provider’s stock worth $30,000 after purchasing an additional 674 shares during the last quarter. Kestra Advisory Services LLC bought a new position in shares of Home BancShares during the fourth quarter worth about $36,000. Covestor Ltd lifted its position in shares of Home BancShares by 110.6% during the fourth quarter. Covestor Ltd now owns 1,327 shares of the financial services provider’s stock worth $37,000 after purchasing an additional 697 shares during the last quarter. Finally, Binnacle Investments Inc lifted its position in shares of Home BancShares by 76.7% during the second quarter. Binnacle Investments Inc now owns 1,329 shares of the financial services provider’s stock worth $38,000 after purchasing an additional 577 shares during the last quarter. Institutional investors own 67.31% of the company’s stock.

Home BancShares Company Profile

Home BancShares, Inc is a bank holding company based in Conway, Arkansas, operating through its primary subsidiary, Home Bank, National Association. Founded in March 1999, the company provides a comprehensive suite of banking services to individuals, small and middle-market businesses, and public entities. These services encompass deposit accounts, consumer and commercial lending, mortgage origination and servicing, treasury management, and wealth management solutions.

The company’s core products include checking and savings accounts, certificates of deposit, and money market accounts, as well as a variety of loan offerings such as commercial real estate financing, equipment loans, agricultural lending, and residential mortgages.