Hilltop (NYSE:HTH) Downgraded by Zacks Research to “Strong Sell”

Zacks Research lowered shares of Hilltop (NYSE:HTH) from a hold rating to a strong sell rating in a research note issued to investors on Thursday,Zacks.com reports.

Several other equities analysts also recently weighed in on HTH. Wall Street Zen upgraded Hilltop from a “sell” rating to a “hold” rating in a research report on Saturday. Weiss Ratings reiterated a “buy (b)” rating on shares of Hilltop in a research report on Tuesday. Finally, Keefe, Bruyette & Woods increased their target price on Hilltop from $34.00 to $39.00 and gave the stock a “market perform” rating in a research report on Tuesday, February 3rd. One research analyst has rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company has an average rating of “Hold” and a consensus price target of $37.50.

Hilltop Trading Down 3.4%

NYSE HTH opened at $36.68 on Thursday. The business’s 50-day moving average price is $36.81 and its 200 day moving average price is $35.40. Hilltop has a twelve month low of $28.43 and a twelve month high of $40.41. The company has a market capitalization of $2.18 billion, a PE ratio of 13.89 and a beta of 0.92.

Hilltop (NYSE:HTH) last released its earnings results on Thursday, April 23rd. The financial services provider reported $0.64 earnings per share for the quarter, topping the consensus estimate of $0.54 by $0.10. Hilltop had a return on equity of 7.29% and a net margin of 10.13%.The firm had revenue of $300.51 million for the quarter, compared to the consensus estimate of $304.87 million. During the same period in the prior year, the business posted $0.65 earnings per share. Equities analysts predict that Hilltop will post 2.04 EPS for the current year.

Hilltop Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, May 22nd. Shareholders of record on Friday, May 8th will be paid a dividend of $0.20 per share. The ex-dividend date is Friday, May 8th. This represents a $0.80 annualized dividend and a yield of 2.2%. Hilltop’s dividend payout ratio is currently 30.30%.

Insiders Place Their Bets

In other Hilltop news, CEO Martin Bradley Winges sold 26,000 shares of the company’s stock in a transaction dated Tuesday, February 3rd. The stock was sold at an average price of $38.46, for a total transaction of $999,960.00. Following the completion of the sale, the chief executive officer directly owned 65,831 shares in the company, valued at $2,531,860.26. This represents a 28.31% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CEO Steve B. Thompson sold 9,025 shares of the company’s stock in a transaction dated Friday, February 6th. The stock was sold at an average price of $39.84, for a total value of $359,556.00. Following the sale, the chief executive officer owned 91,817 shares of the company’s stock, valued at $3,657,989.28. This represents a 8.95% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 294,796 shares of company stock worth $11,225,619 over the last three months. 29.90% of the stock is owned by insiders.

Institutional Investors Weigh In On Hilltop

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Ameriprise Financial Inc. increased its stake in Hilltop by 0.8% during the second quarter. Ameriprise Financial Inc. now owns 870,474 shares of the financial services provider’s stock worth $26,419,000 after acquiring an additional 7,302 shares during the last quarter. Goldman Sachs Group Inc. grew its stake in shares of Hilltop by 32.0% in the first quarter. Goldman Sachs Group Inc. now owns 796,277 shares of the financial services provider’s stock valued at $24,247,000 after buying an additional 192,991 shares in the last quarter. Millennium Management LLC grew its stake in shares of Hilltop by 3.7% in the third quarter. Millennium Management LLC now owns 762,326 shares of the financial services provider’s stock valued at $25,477,000 after buying an additional 27,203 shares in the last quarter. Jacobs Levy Equity Management Inc. grew its stake in shares of Hilltop by 37.5% in the third quarter. Jacobs Levy Equity Management Inc. now owns 711,802 shares of the financial services provider’s stock valued at $23,788,000 after buying an additional 194,287 shares in the last quarter. Finally, UBS Group AG grew its stake in shares of Hilltop by 42.3% in the third quarter. UBS Group AG now owns 647,003 shares of the financial services provider’s stock valued at $21,623,000 after buying an additional 192,439 shares in the last quarter. 57.13% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Hilltop

Here are the key news stories impacting Hilltop this week:

• Positive Sentiment: Q1 EPS beat expectations — Hilltop reported $0.64 EPS vs. consensus ~$0.54, driven by higher net interest income; management also highlighted improved provision levels. Read More.
• Positive Sentiment: Net interest income rose and credit‑loss provisions plunged, which supported profitability despite headwinds in other areas. This operational improvement is a near‑term positive for margins and earnings. Read More.
• Positive Sentiment: Dividend and capital returns — Board declared a $0.20 quarterly dividend (ex‑div May 8) and the company signaled progress on its capital‑return plan, supporting yield and shareholder returns. Read More.
• Neutral Sentiment: Earnings call and management commentary are available — review the Q1 transcript for color on deposit trends, margin outlook and capital actions (useful for gauging management confidence but no new headline change). Read More.
• Neutral Sentiment: Company slide deck and press release provide detailed metrics (LOAN mix, NPA trends, segment results) for investor modeling. Read More.
• Negative Sentiment: Revenue and non‑interest income missed expectations — consolidated revenue was ~$300.5M vs. consensus ~$305M, and lower non‑interest income trimmed upside versus the EPS beat. Read More.
• Negative Sentiment: Deposit decline and portfolio risks — deposits fell ~3.2% YoY; management/analysts flagged high CRE exposure (about 43% of loans) and rising nonperforming asset ratios, increasing downside risk if local Texas commercial real estate weakens. Read More.

About Hilltop

Hilltop Holdings, Inc (NYSE: HTH) is a Dallas, Texas–based financial holding company offering commercial banking, mortgage lending and capital markets services through its three primary subsidiaries: PlainsCapital Corporation, PrimeLending and HilltopSecurities. PlainsCapital provides deposit, lending and treasury management solutions to small and mid-sized businesses, professionals and individuals. PrimeLending specializes in home purchase and refinance loans, serving retail, wholesale and correspondent channels.