BankUnited Upgraded by Zacks to “Outperform” (BKU)
BankUnited (NYSE:BKU) was upgraded by Zacks from a “neutral” rating to an “outperform” rating in a research note issued on Thursday, Analyst Ratings Network.com reports. The firm currently has a $34.00 price objective on the stock. Zacks‘ target price suggests a potential upside of 9.71% from the stock’s previous close.
Zacks‘ analyst wrote, “We are upgrading our long-term recommendation on BankUnited to Outperform based on its second-quarter 2013 results which substantially surpassed the Zacks Consensus Estimate. Results were primarily driven by growth in net interest income and a decline in operating expenses, partially offset by lower non-interest income. Further, growth in loan and deposit balances was the tailwind for the quarter. The company is conveniently positioned to grow both organically and inorganically based on healthy liquidity levels. Further, robust capital deployment plans and increasing emphasis on the commercial loan portfolio will prove accretive to its overall growth going forward. However, rising expenses, compressed net interest margin, exposure to disadvantageous residential loans, and competitive markets will likely weigh on its financials in the near to mid-term. “
Shares of BankUnited (NYSE:BKU) traded down 2.68% on Thursday, hitting $30.16. 692,742 shares of the company’s stock traded hands. BankUnited has a one year low of $22.01 and a one year high of $31.47. The stock’s 50-day moving average is $30.44 and its 200-day moving average is $27.10. The company has a market cap of $3.037 billion and a P/E ratio of 14.96.
BankUnited (NYSE:BKU) last issued its quarterly earnings data on Wednesday, July 24th. The company reported $0.52 EPS for the quarter, beating the Thomson Reuters consensus estimate of $0.43 by $0.09. The company had revenue of $164.05 million for the quarter, compared to the consensus estimate of $172.11 million. During the same quarter last year, the company posted $0.48 earnings per share. BankUnited’s revenue was up 12.5% compared to the same quarter last year. Analysts expect that BankUnited will post $1.89 EPS for the current fiscal year.
BKU has been the subject of a number of other recent research reports. Analysts at Credit Suisse reiterated a “hold” rating on shares of BankUnited (NYSE:BKU) in a research note to investors on Monday. They now have a $30.00 price target on the stock. Separately, analysts at Janney Montgomery Scott raised their price target on shares of BankUnited (NYSE:BKU) from $31.00 to $33.00 in a research note to investors on Monday. They now have a “buy” rating on the stock. Finally, analysts at Guggenheim initiated coverage on shares of BankUnited (NYSE:BKU) in a research note to investors on Wednesday, September 4th. They set a “buy” rating on the stock.
One analyst has rated the stock with a hold rating and six have issued a buy rating to the company. The stock has a consensus rating of “Buy” and an average price target of $32.17.
The company also recently announced a quarterly dividend, which is scheduled for Tuesday, October 15th. Investors of record on Tuesday, October 1st will be paid a dividend of $0.21 per share. This represents a $0.84 annualized dividend and a dividend yield of 2.71%. The ex-dividend date is Friday, September 27th.
BankUnited, Inc (NYSE:BKU) is a bank holding company with three wholly owned subsidiaries: BankUnited, National Association (the Bank) Herald National Bank (Herald), and BankUnited Investment Services, Inc (BUIS), collectively, the Company.
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