Hope Bancorp (NASDAQ:HOPE) Trading Down 3.9% Following Weak Earnings

Shares of Hope Bancorp, Inc. (NASDAQ:HOPE) were down 3.9% during mid-day trading on Monday following a weaker than expected earnings announcement. The stock traded as low as $10.24 and last traded at $10.53. Approximately 118,727 shares changed hands during mid-day trading, a decline of 82% from the average daily volume of 644,997 shares. The stock had previously closed at $10.96.

The financial services provider reported $0.21 EPS for the quarter, missing analysts’ consensus estimates of $0.26 by ($0.05). Hope Bancorp had a return on equity of 6.43% and a net margin of 10.80%. The firm had revenue of $123.30 million during the quarter, compared to the consensus estimate of $130.42 million. During the same quarter in the prior year, the business posted $0.33 EPS. Hope Bancorp’s revenue was down 14.9% compared to the same quarter last year.

Hope Bancorp Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, May 23rd. Shareholders of record on Thursday, May 9th will be paid a dividend of $0.14 per share. The ex-dividend date of this dividend is Wednesday, May 8th. This represents a $0.56 dividend on an annualized basis and a yield of 5.59%. Hope Bancorp’s dividend payout ratio is currently 56.00%.

Analyst Ratings Changes

A number of equities analysts have recently commented on HOPE shares. DA Davidson raised shares of Hope Bancorp from a “neutral” rating to a “buy” rating and set a $12.50 price objective for the company in a report on Tuesday. Wedbush dropped their price target on shares of Hope Bancorp from $12.00 to $11.00 and set a “neutral” rating for the company in a research report on Tuesday. Finally, StockNews.com raised Hope Bancorp from a “sell” rating to a “hold” rating in a report on Saturday, January 6th. Three equities research analysts have rated the stock with a hold rating and one has issued a buy rating to the company. According to data from MarketBeat, Hope Bancorp presently has an average rating of “Hold” and an average price target of $11.50.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Vanguard Group Inc. grew its holdings in shares of Hope Bancorp by 0.9% in the 4th quarter. Vanguard Group Inc. now owns 13,730,473 shares of the financial services provider’s stock worth $165,864,000 after purchasing an additional 115,826 shares during the last quarter. Charles Schwab Investment Management Inc. boosted its position in Hope Bancorp by 6.7% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 1,844,319 shares of the financial services provider’s stock valued at $22,279,000 after buying an additional 115,543 shares in the last quarter. Boston Partners grew its stake in Hope Bancorp by 32.5% during the third quarter. Boston Partners now owns 1,216,170 shares of the financial services provider’s stock worth $10,742,000 after buying an additional 298,349 shares during the last quarter. American Century Companies Inc. increased its holdings in shares of Hope Bancorp by 11.9% during the third quarter. American Century Companies Inc. now owns 1,155,150 shares of the financial services provider’s stock worth $10,223,000 after buying an additional 123,041 shares in the last quarter. Finally, Norges Bank bought a new position in shares of Hope Bancorp in the fourth quarter valued at approximately $9,960,000. 84.00% of the stock is owned by institutional investors.

Hope Bancorp Stock Up 1.0 %

The firm has a market capitalization of $1.21 billion, a price-to-earnings ratio of 10.02 and a beta of 1.13. The firm has a fifty day moving average price of $10.92 and a 200 day moving average price of $10.75. The company has a current ratio of 1.00, a quick ratio of 1.05 and a debt-to-equity ratio of 0.43.

Hope Bancorp Company Profile

Hope Bancorp, Inc operates as the bank holding company for Bank of Hope that provides retail and commercial banking services for businesses and individuals in the United States. It accepts personal and business checking, money market, savings, time deposit, and individual retirement accounts. The company also offers loans comprising commercial and industrial loans to businesses for various purposes, such as working capital, purchasing inventory, debt refinancing, business acquisitions, international trade finance, other business-related financing, and loans syndication services; commercial real estate loans; residential mortgage loans; small business administration loans; and consumer loans, such as single-family mortgage, home equity, automobile, credit card, and personal loans.