Regions Financial (NYSE:RF) Hits New 52-Week High – Here’s Why

Shares of Regions Financial Corporation (NYSE:RF) reached a new 52-week high during mid-day trading on Wednesday . The stock traded as high as $31.32 and last traded at $30.9520, with a volume of 1092452 shares changing hands. The stock had previously closed at $30.82.

Wall Street Analyst Weigh In

A number of research analysts have recently issued reports on RF shares. TD Cowen reissued a “buy” rating on shares of Regions Financial in a research note on Tuesday, October 21st. Piper Sandler lifted their target price on Regions Financial from $29.00 to $31.00 and gave the stock a “neutral” rating in a report on Tuesday, January 20th. Truist Financial increased their price target on Regions Financial from $26.00 to $29.00 and gave the stock a “hold” rating in a report on Monday, December 22nd. Wall Street Zen downgraded shares of Regions Financial from a “hold” rating to a “sell” rating in a research report on Saturday, December 13th. Finally, UBS Group reiterated a “neutral” rating and issued a $30.00 price objective on shares of Regions Financial in a research note on Wednesday, February 4th. Six analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and three have assigned a Sell rating to the stock. According to data from MarketBeat.com, Regions Financial presently has a consensus rating of “Hold” and an average target price of $29.84.

Regions Financial Price Performance

The stock has a market capitalization of $27.08 billion, a P/E ratio of 13.47, a price-to-earnings-growth ratio of 1.09 and a beta of 1.04. The business’s 50 day simple moving average is $28.06 and its two-hundred day simple moving average is $26.45. The company has a quick ratio of 0.80, a current ratio of 0.80 and a debt-to-equity ratio of 0.23.

Regions Financial (NYSE:RF) last posted its earnings results on Friday, January 16th. The bank reported $0.57 earnings per share for the quarter, missing analysts’ consensus estimates of $0.61 by ($0.04). The business had revenue of $1.92 billion during the quarter, compared to analyst estimates of $1.94 billion. Regions Financial had a return on equity of 12.55% and a net margin of 22.44%.The company’s revenue was up 5.8% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.56 EPS. As a group, sell-side analysts forecast that Regions Financial Corporation will post 2.26 earnings per share for the current fiscal year.

Regions Financial Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Wednesday, April 1st. Stockholders of record on Monday, March 2nd will be issued a $0.265 dividend. This represents a $1.06 dividend on an annualized basis and a dividend yield of 3.4%. The ex-dividend date is Monday, March 2nd. Regions Financial’s dividend payout ratio (DPR) is currently 46.29%.

Regions Financial declared that its Board of Directors has initiated a stock buyback plan on Wednesday, December 10th that authorizes the company to buyback $3.00 billion in outstanding shares. This buyback authorization authorizes the bank to reacquire up to 12.9% of its shares through open market purchases. Shares buyback plans are typically an indication that the company’s leadership believes its shares are undervalued.

Insider Transactions at Regions Financial

In related news, EVP William D. Ritter sold 36,000 shares of the stock in a transaction on Thursday, January 22nd. The stock was sold at an average price of $28.78, for a total value of $1,036,080.00. Following the completion of the sale, the executive vice president directly owned 17,569 shares of the company’s stock, valued at approximately $505,635.82. This represents a 67.20% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Company insiders own 0.29% of the company’s stock.

Institutional Trading of Regions Financial

Institutional investors and hedge funds have recently made changes to their positions in the company. Charles Schwab Investment Management Inc. grew its position in Regions Financial by 1.3% in the 2nd quarter. Charles Schwab Investment Management Inc. now owns 31,484,310 shares of the bank’s stock worth $740,511,000 after purchasing an additional 391,568 shares in the last quarter. Geode Capital Management LLC grew its holdings in shares of Regions Financial by 0.5% in the second quarter. Geode Capital Management LLC now owns 23,794,677 shares of the bank’s stock valued at $557,370,000 after acquiring an additional 109,549 shares in the last quarter. Victory Capital Management Inc. increased its position in shares of Regions Financial by 52.9% during the third quarter. Victory Capital Management Inc. now owns 13,523,714 shares of the bank’s stock valued at $357,417,000 after acquiring an additional 4,679,285 shares during the last quarter. Norges Bank bought a new stake in Regions Financial during the second quarter worth $246,790,000. Finally, LSV Asset Management lifted its holdings in Regions Financial by 4.0% during the fourth quarter. LSV Asset Management now owns 9,286,352 shares of the bank’s stock worth $251,660,000 after acquiring an additional 357,101 shares during the period. Hedge funds and other institutional investors own 79.39% of the company’s stock.

About Regions Financial

Regions Financial Corporation (NYSE: RF) is a U.S. bank holding company headquartered in Birmingham, Alabama, that provides a broad range of banking and financial services. Its primary banking subsidiary, Regions Bank, serves retail and commercial customers through a combination of branch and ATM networks, digital channels and relationship-based delivery. The company offers deposit accounts, consumer and commercial loans, mortgage origination and servicing, and payment and treasury services.

In addition to core banking, Regions offers wealth management, trust and brokerage services, insurance solutions, and capital markets capabilities to corporate and institutional clients.