Clearbridge Investments LLC Boosts Holdings in HSBC Holdings plc $HSBC

Clearbridge Investments LLC raised its holdings in HSBC Holdings plc (NYSE:HSBC) by 77.0% during the 4th quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 1,443,716 shares of the financial services provider’s stock after purchasing an additional 627,857 shares during the quarter. Clearbridge Investments LLC’s holdings in HSBC were worth $113,577,000 at the end of the most recent reporting period.

Several other hedge funds also recently added to or reduced their stakes in HSBC. Sivia Capital Partners LLC boosted its holdings in HSBC by 19.0% in the second quarter. Sivia Capital Partners LLC now owns 11,896 shares of the financial services provider’s stock valued at $723,000 after purchasing an additional 1,899 shares during the last quarter. Invesco Ltd. boosted its holdings in HSBC by 22.5% in the second quarter. Invesco Ltd. now owns 7,052 shares of the financial services provider’s stock valued at $429,000 after purchasing an additional 1,295 shares during the last quarter. Jump Financial LLC purchased a new stake in HSBC in the second quarter valued at $221,000. Cerity Partners LLC boosted its holdings in 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 during the last quarter. Finally, Qube Research & Technologies Ltd boosted its stake in shares of HSBC by 36.7% during 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 owned by hedge funds and other institutional investors.

HSBC Stock Up 0.1%

HSBC opened at $90.85 on Monday. HSBC Holdings plc has a twelve month low of $58.14 and a twelve month high of $95.61. The company has a 50-day moving average price of $89.60 and a 200 day moving average price of $84.06. The company has a quick ratio of 0.92, a current ratio of 0.92 and a debt-to-equity ratio of 0.52. The company has a market cap of $312.22 billion, a PE ratio of 14.89, a price-to-earnings-growth ratio of 0.81 and a beta of 0.56.

HSBC (NYSE:HSBC) last posted its quarterly earnings data on Tuesday, March 31st. The financial services provider reported $0.44 EPS for the quarter. The company had revenue of $19.13 billion during the quarter. HSBC had a return on equity of 13.35% and a net margin of 16.06%. Sell-side analysts expect that HSBC Holdings plc will post 8.55 earnings per share for the current fiscal year.

HSBC Cuts Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, June 26th. Stockholders of record on Friday, May 15th will be paid a $0.50 dividend. The ex-dividend date of this dividend is Friday, May 15th. This represents a $2.00 dividend on an annualized basis and a dividend yield of 2.2%. HSBC’s payout ratio is currently 32.46%.

Key Headlines Impacting HSBC

Here are the key news stories impacting HSBC this week:

• Negative Sentiment: Reports that Hong Kong banks may face stricter scrutiny on mainland Chinese clients sparked concern over reduced account growth, cross-border deposits, and fee revenue for HSBC. HSBC, AIA Slump After Report of Hong Kong Bank Account Curbs
• Negative Sentiment: HSBC was also mentioned in connection with a whistleblower allegation against HSBC Bank USA involving possible Sarbanes-Oxley violations, adding another legal and compliance overhang. Whistleblower Accuses HSBC Bank USA of Sarbanes-Oxley Violations
• Neutral Sentiment: Citi said the recent decline in HSBC and Standard Chartered may be excessive, suggesting the market reaction could be overdone if the account-opening concerns prove limited. HSBC and StanChart sell-off overdone, says Citi
• Neutral Sentiment: HSBC also appeared in routine capital-markets notices from its Continental Europe unit, which are not likely to materially affect the stock. HSBC Continental Europe: Post Stabilisation Notice
• Neutral Sentiment: HSBC Research also published a macro view on India’s potential need for dollar inflows to support the rupee, which is informative but not a direct earnings driver for the bank’s shares. India may need up to $70 bn in inflows as policymakers weigh rupee-support package: HSBC

Analyst Upgrades and Downgrades

Several research firms have recently issued reports on HSBC. Royal Bank Of Canada reissued a “sector perform” rating on shares of HSBC in a research note on Thursday, May 14th. The Goldman Sachs Group began coverage on shares of HSBC in a research note on Thursday, March 26th. They set a “buy” rating on the stock. Zacks Research lowered shares of HSBC from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, May 5th. BNP Paribas Exane lowered shares of HSBC from an “outperform” rating to a “neutral” rating in a research note on Tuesday, April 14th. Finally, Weiss Ratings lowered shares of HSBC from a “hold (c+)” rating to a “hold (c)” rating in a research note on Wednesday, May 6th. Five research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Hold”.

Insider Activity

In other news, insider Daniel Scott Palomaki sold 23,123 shares of HSBC stock in a transaction that occurred on Thursday, May 7th. The stock was sold at an average price of $18.11, for a total value of $418,757.53. Following the sale, the insider directly 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 legal filing with the SEC, which is available at this link. 0.01% of the stock is owned by corporate insiders.

HSBC Company Profile

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.