HSBC Holdings plc (NYSE:HSBC) Receives Average Rating of “Hold” from Analysts

Shares of HSBC Holdings plc (NYSE:HSBC) have received an average recommendation of “Hold” from the twelve analysts that are presently covering the firm, Marketbeat.com reports. Eight equities research analysts have rated the stock with a hold recommendation and four have issued a buy recommendation on the company.

A number of brokerages recently weighed in on HSBC. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating on shares of HSBC in a research report on Tuesday, June 23rd. Citigroup reaffirmed a “buy” rating on shares of HSBC in a report on Thursday, July 16th. Royal Bank Of Canada reiterated a “sector perform” rating on shares of HSBC in a research report on Thursday, May 14th. BNP Paribas Exane lowered shares of HSBC from an “outperform” rating to a “neutral” rating in a research note on Tuesday, April 14th. Finally, Zacks Research lowered shares of HSBC from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, May 5th.

HSBC Trading Up 0.5%

NYSE HSBC opened at $103.96 on Thursday. The company has a market capitalization of $357.27 billion, a price-to-earnings ratio of 17.04, a price-to-earnings-growth ratio of 0.92 and a beta of 0.57. HSBC has a 12 month low of $60.61 and a 12 month high of $104.33. The company’s fifty day moving average price is $95.51 and its two-hundred day moving average price is $89.63. The company has a debt-to-equity ratio of 0.52, a current ratio of 0.92 and a quick ratio of 0.92.

HSBC (NYSE:HSBC) last announced its quarterly earnings data on Tuesday, March 31st. The financial services provider reported $0.44 earnings per share (EPS) for the quarter. The firm had revenue of $19.12 billion for the quarter. HSBC had a return on equity of 13.35% and a net margin of 16.06%. As a group, research analysts predict that HSBC will post 8.66 earnings per share for the current fiscal year.

HSBC Cuts Dividend

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

Insider Buying and Selling

In related news, insider Daniel Scott Palomaki sold 23,123 shares of the business’s stock in a transaction that occurred on Thursday, May 7th. The stock was sold at an average price of $18.11, for a total transaction of $418,757.53. Following the sale, the insider owned 4,973 shares of the company’s stock, valued at $90,061.03. The trade was a 82.30% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 0.01% of the stock is currently owned by insiders.

Institutional Investors Weigh In On HSBC

Hedge funds and other institutional investors have recently bought and sold shares of the business. Sivia Capital Partners LLC raised its holdings in shares of HSBC by 19.0% in the 2nd quarter. Sivia Capital Partners LLC now owns 11,896 shares of the financial services provider’s stock worth $723,000 after purchasing an additional 1,899 shares in the last quarter. Invesco Ltd. raised its holdings in HSBC by 22.5% during the 2nd quarter. Invesco Ltd. now owns 7,052 shares of the financial services provider’s stock worth $429,000 after buying an additional 1,295 shares during the period. Jump Financial LLC purchased a new stake in shares of HSBC in the 2nd quarter valued at approximately $221,000. Cerity Partners LLC lifted its holdings in shares of HSBC by 3.1% in the second quarter. Cerity Partners LLC now owns 98,708 shares of the financial services provider’s stock valued at $6,000,000 after purchasing an additional 2,940 shares in the last quarter. Finally, Qube Research & Technologies Ltd lifted its stake in HSBC by 36.7% in the 2nd quarter. Qube Research & Technologies Ltd now owns 365,570 shares of the financial services provider’s stock worth $22,223,000 after acquiring an additional 98,048 shares in the last quarter. 1.48% of the stock is currently owned by institutional investors.

Key HSBC News

Here are the key news stories impacting HSBC this week:

• Positive Sentiment: HSBC plans to hire more than 100 artificial-intelligence specialists and 100 wealth relationship managers in Singapore. The investment could accelerate automation, improve productivity and expand wealth-management revenue, a higher-margin business that supports the bank’s Asian growth strategy. Reuters article on HSBC hiring AI specialists and wealth managers
• Positive Sentiment: The bank is also tapping debt-capital-markets leaders across the United States and Middle East. The hires indicate an effort to capture more corporate-finance and bond-issuance activity, potentially boosting fee income. Bloomberg article on HSBC debt-capital-markets hires
• Neutral Sentiment: Blackstone’s credit arm is reportedly nearing a deal to acquire HSBC’s Australian loan book, valued at more than $30 billion. A sale could simplify HSBC’s portfolio and release capital for strategic priorities, but the financial terms, timing and effect on earnings have not been disclosed. Yahoo Finance report on Blackstone and HSBC Australian loan book
• Neutral Sentiment: HSBC is reportedly raising mortgage rates in the United Kingdom for the second time in a week. Higher rates may support lending margins, but could reduce mortgage demand and increase pressure on customers and competitors. Report on HSBC increasing mortgage rates

About HSBC

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.