Northpointe Bancshares (NYSE:NPB) Shares Gap Down Following Weak Earnings

Shares of Northpointe Bancshares, Inc. (NYSE:NPB) gapped down prior to trading on Wednesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $18.71, but opened at $17.49. Northpointe Bancshares shares last traded at $17.19, with a volume of 29,103 shares changing hands.

The company reported $0.60 EPS for the quarter, missing the consensus estimate of $0.68 by ($0.08). Northpointe Bancshares had a net margin of 17.72% and a return on equity of 15.10%. The firm had revenue of $64.32 million during the quarter.

Northpointe Bancshares Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, August 4th. Shareholders of record on Wednesday, July 15th will be paid a dividend of $0.025 per share. This represents a $0.10 annualized dividend and a yield of 0.6%. The ex-dividend date of this dividend is Wednesday, July 15th. Northpointe Bancshares’s payout ratio is 4.33%.

Analyst Ratings Changes

Several analysts have recently commented on NPB shares. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Northpointe Bancshares in a research report on Friday, May 29th. Brean Capital began coverage on Northpointe Bancshares in a research report on Wednesday, April 22nd. They set a “neutral” rating and a $20.25 price target on the stock. Keefe, Bruyette & Woods reduced their price objective on Northpointe Bancshares from $22.00 to $21.00 and set an “outperform” rating for the company in a research note on Thursday. Finally, Piper Sandler raised their price objective on Northpointe Bancshares from $21.00 to $22.00 and gave the stock an “overweight” rating in a research report on Thursday, July 2nd. Two equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average target price of $20.62.

Insider Activity at Northpointe Bancshares

In other Northpointe Bancshares news, Director David Stevens Hooker sold 7,500 shares of the stock in a transaction that occurred on Friday, May 1st. The shares were sold at an average price of $17.82, for a total value of $133,650.00. Following the completion of the sale, the director owned 11,500 shares in the company, valued at $204,930. This represents a 39.47% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Charles Alan Williams bought 25,000 shares of the firm’s stock in a transaction on Tuesday, May 12th. The shares were bought at an average cost of $17.21 per share, with a total value of $430,250.00. Following the purchase, the chief executive officer directly owned 2,312,650 shares in the company, valued at approximately $39,800,706.50. This trade represents a 1.09% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. In the last quarter, insiders sold 22,500 shares of company stock worth $410,141. Company insiders own 18.30% of the company’s stock.

Institutional Trading of Northpointe Bancshares

A number of institutional investors have recently bought and sold shares of NPB. Wellington Management Group LLP grew its stake in Northpointe Bancshares by 2.6% in the third quarter. Wellington Management Group LLP now owns 3,841,773 shares of the company’s stock valued at $65,617,000 after purchasing an additional 95,953 shares in the last quarter. Adage Capital Partners GP L.L.C. raised its stake in shares of Northpointe Bancshares by 12.5% during the 4th quarter. Adage Capital Partners GP L.L.C. now owns 2,018,214 shares of the company’s stock worth $33,866,000 after purchasing an additional 224,110 shares in the last quarter. Vanguard Group Inc. raised its stake in shares of Northpointe Bancshares by 84.1% during the 3rd quarter. Vanguard Group Inc. now owns 1,063,156 shares of the company’s stock worth $18,159,000 after purchasing an additional 485,525 shares in the last quarter. Goldman Sachs Group Inc. lifted its holdings in shares of Northpointe Bancshares by 6.3% during the 4th quarter. Goldman Sachs Group Inc. now owns 760,353 shares of the company’s stock valued at $12,759,000 after buying an additional 45,047 shares during the last quarter. Finally, Jacobs Asset Management LLC lifted its holdings in shares of Northpointe Bancshares by 2.7% during the 4th quarter. Jacobs Asset Management LLC now owns 475,000 shares of the company’s stock valued at $7,970,000 after buying an additional 12,500 shares during the last quarter.

Northpointe Bancshares Trading Up 1.9%

The firm has a market cap of $595.71 million and a P/E ratio of 7.46. The company has a 50 day moving average of $18.02 and a 200 day moving average of $17.82. The company has a debt-to-equity ratio of 2.96, a quick ratio of 1.38 and a current ratio of 1.44.

About Northpointe Bancshares

Northpointe Bancshares, Inc is the bank holding company for Northpointe Bank, an FDIC-insured community bank based in Michigan. The company offers a full range of commercial and consumer banking solutions, serving retail, small business and corporate clients through both a physical branch network and digital platforms.

Northpointe Bank’s product suite includes interest-bearing checking and savings accounts, money market and certificate of deposit offerings, as well as residential mortgage lending, home equity financing and unsecured consumer loans.