Popular (NASDAQ:BPOP) Shares Gap Up After Strong Earnings

Popular, Inc. (NASDAQ:BPOP) shares gapped up prior to trading on Wednesday following a stronger than expected earnings report. The stock had previously closed at $102.46, but opened at $105.70. Popular shares last traded at $104.23, with a volume of 37,097 shares traded.

The bank reported $2.51 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.04 by $0.47. Popular had a return on equity of 11.35% and a net margin of 12.36%.

Popular Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, January 2nd. Shareholders of record on Friday, December 6th were issued a $0.70 dividend. This is an increase from Popular’s previous quarterly dividend of $0.62. This represents a $2.80 annualized dividend and a dividend yield of 2.71%. The ex-dividend date was Friday, December 6th. Popular’s dividend payout ratio is 38.04%.

Analyst Upgrades and Downgrades

A number of research analysts have weighed in on the stock. Piper Sandler cut their price target on shares of Popular from $112.00 to $100.00 and set an “overweight” rating on the stock in a research note on Thursday, October 24th. Barclays boosted their price objective on shares of Popular from $110.00 to $115.00 and gave the company an “overweight” rating in a research report on Friday, December 20th. UBS Group initiated coverage on Popular in a report on Tuesday, December 17th. They set a “neutral” rating and a $104.00 target price for the company. Keefe, Bruyette & Woods boosted their price target on Popular from $116.00 to $129.00 and gave the company an “outperform” rating in a report on Wednesday. Finally, Royal Bank of Canada increased their price objective on Popular from $100.00 to $110.00 and gave the stock an “outperform” rating in a report on Wednesday. Two investment analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company’s stock. According to MarketBeat, Popular has an average rating of “Moderate Buy” and an average target price of $112.25.

Insiders Place Their Bets

In other Popular news, EVP Beatriz Castellvi sold 3,500 shares of Popular stock in a transaction on Wednesday, November 6th. The shares were sold at an average price of $99.16, for a total transaction of $347,060.00. Following the completion of the transaction, the executive vice president now directly owns 25,115 shares of the company’s stock, valued at $2,490,403.40. The trade was a 12.23 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, VP Adorno Denissa Rodriguez sold 1,825 shares of Popular stock in a transaction dated Wednesday, November 6th. The stock was sold at an average price of $97.71, for a total transaction of $178,320.75. Following the sale, the vice president now directly owns 3,332 shares of the company’s stock, valued at $325,569.72. The trade was a 35.39 % decrease in their position. The disclosure for this sale can be found here. Company insiders own 2.09% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Financial Management Professionals Inc. acquired a new position in shares of Popular in the 3rd quarter valued at approximately $29,000. Capital Performance Advisors LLP acquired a new position in Popular during the third quarter valued at approximately $35,000. Brooklyn Investment Group bought a new stake in Popular during the third quarter worth $47,000. Wilmington Savings Fund Society FSB bought a new position in shares of Popular in the 3rd quarter valued at $81,000. Finally, R Squared Ltd acquired a new position in shares of Popular during the 4th quarter worth $166,000. Institutional investors and hedge funds own 87.27% of the company’s stock.

Popular Stock Down 0.2 %

The firm has a 50 day moving average of $97.17 and a two-hundred day moving average of $97.39. The firm has a market capitalization of $7.38 billion, a price-to-earnings ratio of 14.06, a price-to-earnings-growth ratio of 0.65 and a beta of 0.81.

About Popular

Popular, Inc, through its subsidiaries, provides various retail, mortgage, and commercial banking products and services in Puerto Rico, the United States, and the British Virgin Islands. The company provides savings, NOW, money market, and other interest-bearing demand accounts; non-interest bearing demand deposits; and certificates of deposit.