Customers Bancorp (NYSE:CUBI) Sees Unusually-High Trading Volume After Better-Than-Expected Earnings

Customers Bancorp, Inc. (NYSE:CUBI) shares saw strong trading volume on Friday following a better than expected earnings announcement. 236,006 shares changed hands during mid-day trading, a decline of 17% from the previous session’s volume of 285,346 shares.The stock last traded at $45.74 and had previously closed at $49.53.

The bank reported $1.68 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.62 by $0.06. Customers Bancorp had a net margin of 17.23% and a return on equity of 18.75%. The company had revenue of $181.62 million for the quarter, compared to the consensus estimate of $183.48 million. During the same quarter in the previous year, the firm posted $1.58 EPS. The business’s revenue was up 8.1% compared to the same quarter last year.

Wall Street Analysts Forecast Growth

Several brokerages have weighed in on CUBI. B. Riley upped their price objective on shares of Customers Bancorp from $62.00 to $77.00 and gave the stock a “buy” rating in a research note on Monday, January 29th. Wedbush cut their price objective on shares of Customers Bancorp from $63.00 to $61.00 and set an “outperform” rating on the stock in a report on Friday. Raymond James upped their target price on shares of Customers Bancorp from $65.00 to $72.00 and gave the company a “strong-buy” rating in a research note on Monday, January 29th. Finally, Jefferies Financial Group increased their price objective on shares of Customers Bancorp from $61.00 to $64.00 and gave the stock a “buy” rating in a research report on Monday, April 8th. Two investment analysts have rated the stock with a hold rating, five have given a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $61.29.

Insider Activity

In other Customers Bancorp news, CFO Carla A. Leibold sold 35,832 shares of Customers Bancorp stock in a transaction dated Tuesday, March 12th. The shares were sold at an average price of $53.15, for a total value of $1,904,470.80. Following the sale, the chief financial officer now owns 41,224 shares of the company’s stock, valued at $2,191,055.60. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. In related news, insider Glenn Hedde sold 666 shares of the company’s stock in a transaction on Tuesday, February 27th. The shares were sold at an average price of $54.20, for a total transaction of $36,097.20. Following the completion of the sale, the insider now directly owns 69,428 shares in the company, valued at approximately $3,762,997.60. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Carla A. Leibold sold 35,832 shares of the company’s stock in a transaction on Tuesday, March 12th. The stock was sold at an average price of $53.15, for a total transaction of $1,904,470.80. Following the completion of the transaction, the chief financial officer now owns 41,224 shares of the company’s stock, valued at $2,191,055.60. The disclosure for this sale can be found here. Corporate insiders own 9.40% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the stock. Cornercap Investment Counsel Inc. purchased a new position in shares of Customers Bancorp in the fourth quarter worth approximately $1,254,000. Assenagon Asset Management S.A. raised its holdings in Customers Bancorp by 99.4% in the fourth quarter. Assenagon Asset Management S.A. now owns 183,169 shares of the bank’s stock worth $10,554,000 after purchasing an additional 91,311 shares in the last quarter. Victory Capital Management Inc. bought a new position in Customers Bancorp in the third quarter worth about $1,712,000. Numerai GP LLC acquired a new position in shares of Customers Bancorp during the third quarter valued at about $363,000. Finally, American Century Companies Inc. boosted its position in Customers Bancorp by 14.6% in the third quarter. American Century Companies Inc. now owns 364,767 shares of the bank’s stock valued at $12,566,000 after buying an additional 46,347 shares during the last quarter. 89.29% of the stock is currently owned by institutional investors.

Customers Bancorp Trading Down 6.5 %

The company has a quick ratio of 0.91, a current ratio of 0.93 and a debt-to-equity ratio of 0.92. The stock has a 50-day moving average of $51.63 and a 200 day moving average of $48.89. The stock has a market cap of $1.46 billion, a PE ratio of 6.33 and a beta of 1.67.

About Customers Bancorp

Customers Bancorp, Inc operates as the bank holding company for Customers Bank that provides financial products and services to individual consumers, and small and middle market businesses. The company provides deposit banking products, which includes commercial and consumer checking, non-interest-bearing and interest-bearing demand, MMDA, savings, and time deposit accounts.