BankUnited Lowered to Neutral at Zacks (BKU)
BankUnited (NYSE:BKU) was downgraded by Zacks from an “outperform” rating to a “neutral” rating in a note issued to investors on Wednesday, AnalystRatings.Net reports. They currently have a $32.00 price objective on the stock. Zacks‘ price target points to a potential upside of 4.07% from the stock’s previous close.
Zacks‘ analyst wrote, “We are downgrading our long-term recommendation on BankUnited to Neutral based on elevated expense level. However, the company’s second-quarter earnings significantly outpaced the Zacks Consensus Estimate and were primarily driven by growth in net interest income and a decline in operating expenses, partially offset by lower non-interest income. 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, compressed net interest margin, exposure to disadvantageous residential loans, and competitive markets will likely weigh on its financials in the near term.”
Shares of BankUnited (NYSE:BKU) traded down 0.10% during mid-day trading on Wednesday, hitting $30.72. The stock had a trading volume of 90,373 shares. BankUnited has a 52 week low of $22.01 and a 52 week high of $31.47. The stock has a 50-day moving average of $30.54 and a 200-day moving average of $27.61. The company has a market cap of $3.094 billion and a P/E ratio of 14.85.
BankUnited (NYSE:BKU) last posted its quarterly earnings results 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 in the prior year, the company posted $0.48 earnings per share. The company’s quarterly revenue was up 12.5% on a year-over-year basis. On average, analysts predict that BankUnited will post $1.90 earnings per share for the current fiscal year.
The company also recently announced a quarterly dividend, which is scheduled for Tuesday, October 15th. Shareholders 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 2.73%. The ex-dividend date is Friday, September 27th.
Several other analysts have also recently commented on the stock. Analysts at Guggenheim raised their price target on shares of BankUnited from $34.00 to $35.00 in a research note to investors on Monday. They now have a “buy” rating on the stock. Separately, analysts at Deutsche Bank reiterated a “hold” rating on shares of BankUnited in a research note to investors on Wednesday, October 2nd. They now have a $31.00 price target on the stock, up previously from $29.00. Finally, analysts at Credit Suisse reiterated a “hold” rating on shares of BankUnited in a research note to investors on Monday, September 16th. They now have a $30.00 price target on the stock. Three research analysts have rated the stock with a hold rating and five have given a buy rating to the stock. BankUnited has an average rating of “Buy” and a consensus target price of $32.57.
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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