Popular (NASDAQ:BPOP) Issues Earnings Results

Popular (NASDAQ:BPOP) posted its quarterly earnings data on Thursday. The bank reported $4.21 EPS for the quarter, topping analysts’ consensus estimates of $3.95 by $0.26, Zacks reports. The firm had revenue of $874.59 million for the quarter, compared to analyst estimates of $904.43 million. Popular had a return on equity of 16.08% and a net margin of 22.36%. During the same quarter last year, the company earned $3.14 EPS.

Here are the key takeaways from Popular’s conference call:

• Third-quarter earnings remained solid, with net income of $266 million and EPS of $4.21, up 34% year over year. Net interest income increased 1% sequentially, while management expects full-year NII growth of approximately 8.5%.
• Credit costs are expected to rise, with full-year net charge-offs now projected at 80–90 basis points after two borrower-specific commercial credit issues. Non-performing loans increased $52 million to $466 million, lifting the NPL ratio to 1.16%.
• Loan growth expectations were reduced to approximately 2% for 2026, reflecting weaker auto and lease activity, moderating commercial growth, U.S. relationship-discipline measures, and limited transaction supply in Puerto Rico. Total deposits fell $1.5 billion, primarily due to lower Puerto Rico public-sector balances.
• Capital returns remain substantial, with $179 million of share repurchases and a 20% dividend increase during the quarter; Popular expects to repurchase $150–$200 million of stock in the fourth quarter. Management also identified approximately $50 million of recurring efficiencies and continues to target a sustainable 14%–17% ROTCE.

Popular Stock Performance

Shares of Popular stock traded up $1.60 on Friday, hitting $159.24. The stock had a trading volume of 567,540 shares, compared to its average volume of 485,412. The stock has a 50 day moving average of $163.14 and a 200 day moving average of $160.38. The firm has a market capitalization of $10.16 billion, a P/E ratio of 10.03, a PEG ratio of 0.58 and a beta of 0.63. Popular has a twelve month low of $108.74 and a twelve month high of $179.24.

Popular Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, October 1st. Stockholders of record on Thursday, September 10th were paid a $0.90 dividend. This is an increase from Popular’s previous quarterly dividend of $0.75. This represents a $3.60 annualized dividend and a dividend yield of 2.3%. The ex-dividend date of this dividend was Thursday, September 10th. Popular’s payout ratio is currently 22.68%.

Insiders Place Their Bets

In other Popular news, EVP Lidio Soriano sold 3,000 shares of the company’s stock in a transaction that occurred on Monday, August 10th. The shares were sold at an average price of $174.50, for a total value of $523,500.00. Following the completion of the transaction, the executive vice president directly owned 107,320 shares in the company, valued at approximately $18,727,340. This represents a 2.72% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Director Maria Ferre sold 3,385 shares of the company’s stock in a transaction that occurred on Thursday, July 30th. The shares were sold at an average price of $175.42, for a total transaction of $593,796.70. Following the completion of the transaction, the director owned 10,156 shares of the company’s stock, valued at approximately $1,781,565.52. This trade represents a 25.00% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 53,561 shares of company stock worth $9,392,259 over the last quarter. 2.13% of the stock is currently owned by corporate insiders.

Wall Street Analyst Weigh In

Several analysts recently weighed in on the company. Piper Sandler restated an “overweight” rating and set a $198.00 price objective (up from $190.00) on shares of Popular in a research report on Friday, July 24th. Truist Financial lifted their target price on Popular from $192.00 to $197.00 and gave the company a “buy” rating in a research report on Friday, July 24th. Wells Fargo & Company lowered their target price on Popular from $200.00 to $195.00 and set an “overweight” rating for the company in a research note on Tuesday, September 29th. Royal Bank Of Canada increased their target price on shares of Popular from $163.00 to $181.00 and gave the stock an “outperform” rating in a report on Friday, July 24th. Finally, Citigroup reduced their price target on shares of Popular from $200.00 to $192.00 and set a “buy” rating on the stock in a research note on Tuesday, September 22nd. One analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat, Popular currently has a consensus rating of “Buy” and a consensus price target of $187.42.

More Popular News

Here are the key news stories impacting Popular this week:

• Positive Sentiment: Popular reported third-quarter EPS of $4.21, above analyst expectations of roughly $3.97–$3.98 and well ahead of $3.14 a year earlier. The bank also delivered a 21.37% net margin and 15.34% return on equity. Popular Q3 earnings report
• Positive Sentiment: Management highlighted stable credit performance and deposit growth led by key business segments, helping offset concerns about the quarter’s top-line results. BPOP Q3 financial deep dive
• Positive Sentiment: The board maintained Popular’s quarterly cash dividend at $0.90 per share, payable January 4, 2027, to shareholders of record November 13. The unchanged payout signals continued confidence in capital returns. Popular dividend announcement
• Negative Sentiment: Quarterly revenue of approximately $874.6 million fell short of the roughly $904 million consensus estimate; another report cited revenue of $816 million, reflecting differences in reporting measures. The revenue shortfall limits the impact of the EPS beat. Popular earnings report and conference call
• Negative Sentiment: Investors are scrutinizing Popular’s third-quarter results and credit trends because of its significant Puerto Rico banking exposure, increasing uncertainty around the sustainability of earnings and asset quality. Popular stock faces Puerto Rico scrutiny

Popular Company Profile

Popular, Inc (NASDAQ: BPOP) is a financial services company headquartered in San Juan, Puerto Rico. Its principal subsidiary, Banco Popular de Puerto Rico, provides banking services to individuals, businesses and institutions, including deposit accounts, consumer and commercial loans, residential mortgages, credit cards and electronic banking services.

The company also offers investment, brokerage, insurance and wealth management services through specialized subsidiaries and affiliated businesses.