NewEdge Advisors LLC Decreases Stock Position in HSBC Holdings plc $HSBC

NewEdge Advisors LLC lessened its stake in shares of HSBC Holdings plc (NYSE:HSBC) by 23.3% in the 1st quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund owned 23,706 shares of the financial services provider’s stock after selling 7,201 shares during the period. NewEdge Advisors LLC’s holdings in HSBC were worth $1,956,000 as of its most recent filing with the Securities & Exchange Commission.

Other large investors have also recently made changes to their positions in the company. Northwestern Mutual Wealth Management Co. boosted its stake in HSBC by 1,272.2% during the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 909,464 shares of the financial services provider’s stock valued at $71,548,000 after buying an additional 843,186 shares during the last quarter. Bleakley Financial Group LLC bought a new stake in HSBC in the 4th quarter worth approximately $988,000. May Hill Capital LLC raised its holdings in shares of HSBC by 105.9% during the 4th quarter. May Hill Capital LLC now owns 23,424 shares of the financial services provider’s stock worth $1,843,000 after acquiring an additional 12,047 shares in the last quarter. Quantinno Capital Management LP raised its holdings in shares of HSBC by 20.9% during the 1st quarter. Quantinno Capital Management LP now owns 525,775 shares of the financial services provider’s stock worth $43,371,000 after acquiring an additional 90,711 shares in the last quarter. Finally, Assetmark Inc. boosted its position in shares of HSBC by 74.6% during the 4th quarter. Assetmark Inc. now owns 47,456 shares of the financial services provider’s stock valued at $3,733,000 after acquiring an additional 20,281 shares during the last quarter. 1.48% of the stock is owned by institutional investors.

Wall Street Analysts Forecast Growth

Several brokerages recently weighed in on HSBC. Deutsche Bank Aktiengesellschaft restated a “hold” rating on shares of HSBC in a research report on Tuesday, June 23rd. Zacks Research lowered shares of HSBC from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, May 5th. Royal Bank Of Canada reissued a “sector perform” rating on shares of HSBC in a research note on Thursday, May 14th. Erste Group Bank cut shares of HSBC from a “buy” rating to a “hold” rating in a research report on Wednesday, July 15th. Finally, BNP Paribas Exane downgraded shares of HSBC from an “outperform” rating to a “neutral” rating in a report on Tuesday, April 14th. Four research analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold”.

Trending Headlines about HSBC

Here are the key news stories impacting HSBC this week:

• Positive Sentiment: Strategic exit from Australian retail banking: HSBC will sell approximately A$36 billion (US$25.3 billion) of Australian home and personal loans to Blackstone. The transaction allows HSBC to leave a noncore consumer-banking market, simplify operations and potentially redeploy capital toward higher-return businesses. Pepper Money will service the loan portfolio after the deal closes. HSBC to sell $25.3 billion Australian home loan portfolio to Blackstone
• Positive Sentiment: Capital structure management: HSBC plans to redeem in full its £1 billion 5.875% perpetual subordinated contingent convertible securities and delist the issue. The move may simplify the capital structure and remove an expensive instrument, although it will require a cash outlay. HSBC to Redeem £1bn Contingent Convertible Securities and Delist Issue
• Neutral Sentiment: Routine share-capital update: HSBC confirmed its issued share capital and total voting rights as of July 30. The disclosure does not indicate a material change to the investment case. HSBC Confirms Total Voting Rights Following Share Capital Update
• Negative Sentiment: Sale-related earnings drag: HSBC is expected to record a loss of less than US$100 million on the Australian portfolio sale, while the exit removes future interest income and customer relationships. The market will focus on the final accounting impact and how effectively HSBC redeploys the released capital. HSBC to sell US$25b of Australian home loans to Blackstone at a loss

Insider Activity at HSBC

In related news, insider Daniel Scott Palomaki sold 23,123 shares of the firm’s stock in a transaction dated Thursday, May 7th. The shares were sold at an average price of $18.11, for a total value of $418,757.53. Following the transaction, the insider owned 4,973 shares of the company’s stock, valued at $90,061.03. This trade represents a 82.30% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Insiders own 0.01% of the company’s stock.

HSBC Trading Down 0.6%

Shares of NYSE HSBC opened at $106.44 on Friday. HSBC Holdings plc has a fifty-two week low of $60.61 and a fifty-two week high of $107.58. The company has a debt-to-equity ratio of 0.52, a quick ratio of 0.92 and a current ratio of 0.92. The company has a market cap of $365.81 billion, a price-to-earnings ratio of 17.45, a PEG ratio of 0.95 and a beta of 0.57. The business’s 50 day moving average price is $96.62 and its 200-day moving average price is $90.26.

HSBC (NYSE:HSBC) last posted its quarterly earnings data on Tuesday, March 31st. The financial services provider reported $0.44 earnings per share (EPS) for the quarter. HSBC had a return on equity of 13.35% and a net margin of 16.06%.The company had revenue of $19.12 billion during the quarter. On average, sell-side analysts expect that HSBC Holdings plc will post 8.64 earnings per share for the current year.

HSBC Cuts Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, June 26th. Stockholders of record on Friday, May 15th were paid a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a dividend yield of 1.9%. The ex-dividend date of this dividend was Friday, May 15th. HSBC’s payout ratio is currently 32.46%.

HSBC Profile

HSBC Holdings plc (NYSE: HSBC) is a multinational banking and financial services organization headquartered in London. It traces its origins to the Hongkong and Shanghai Banking Corporation, founded in 1865 to facilitate trade between Europe and Asia, and has since grown into one of the world’s largest banking groups. The company is publicly listed in multiple markets, including the London Stock Exchange, the Hong Kong Stock Exchange and as an American depositary receipt on the New York Stock Exchange.

HSBC operates a universal banking model, serving retail, commercial, corporate and institutional clients.