Customers Bancorp (NYSE:CUBI) Sees Large Volume Increase Following Strong Earnings

Customers Bancorp, Inc. (NYSE:CUBI) saw unusually-strong trading volume on Friday following a better than expected earnings announcement. Approximately 236,006 shares were traded during mid-day trading, a decline of 17% from the previous session’s volume of 285,346 shares.The stock last traded at $45.74 and had previously closed at $49.53.

The bank reported $1.68 earnings per share for the quarter, topping analysts’ consensus estimates of $1.62 by $0.06. The firm had revenue of $181.62 million for the quarter, compared to analyst estimates of $183.48 million. Customers Bancorp had a net margin of 17.23% and a return on equity of 18.75%. Customers Bancorp’s quarterly revenue was up 8.1% on a year-over-year basis. During the same period in the previous year, the business posted $1.58 earnings per share.

Wall Street Analyst Weigh In

CUBI has been the subject of a number of analyst reports. Jefferies Financial Group upped their price target on Customers Bancorp from $61.00 to $64.00 and gave the company a “buy” rating in a research report on Monday, April 8th. Raymond James upped their target price on Customers Bancorp from $65.00 to $72.00 and gave the company a “strong-buy” rating in a report on Monday, January 29th. Wedbush reduced their price target on Customers Bancorp from $63.00 to $61.00 and set an “outperform” rating on the stock in a report on Friday. Finally, B. Riley upped their price objective on shares of Customers Bancorp from $62.00 to $77.00 and gave the company a “buy” rating in a report on Monday, January 29th. Two research analysts have rated the stock with a hold rating, five have issued a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $61.29.

Insiders Place Their Bets

In related news, CFO Carla A. Leibold sold 35,832 shares of the business’s stock in a transaction dated Tuesday, March 12th. The shares were sold at an average price of $53.15, for a total value of $1,904,470.80. Following the sale, the chief financial officer now directly owns 41,224 shares in the company, valued at approximately $2,191,055.60. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. In other Customers Bancorp news, insider Glenn Hedde sold 666 shares of the business’s stock in a transaction that occurred on Tuesday, February 27th. The stock was sold at an average price of $54.20, for a total value of $36,097.20. Following the sale, the insider now owns 69,428 shares of the company’s stock, valued at $3,762,997.60. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CFO Carla A. Leibold sold 35,832 shares of the company’s stock in a transaction on Tuesday, March 12th. The stock was sold at an average price of $53.15, for a total value of $1,904,470.80. Following the transaction, the chief financial officer now owns 41,224 shares in the company, valued at $2,191,055.60. The disclosure for this sale can be found here. 9.40% of the stock is owned by insiders.

Institutional Trading of Customers Bancorp

Several hedge funds have recently modified their holdings of CUBI. SummerHaven Investment Management LLC lifted its position in shares of Customers Bancorp by 1.0% during the 4th quarter. SummerHaven Investment Management LLC now owns 20,202 shares of the bank’s stock worth $1,164,000 after buying an additional 205 shares during the last quarter. BluePath Capital Management LLC acquired a new stake in Customers Bancorp during the 3rd quarter worth $31,000. Raymond James Financial Services Advisors Inc. lifted its position in Customers Bancorp by 14.7% in the third quarter. Raymond James Financial Services Advisors Inc. now owns 8,796 shares of the bank’s stock valued at $303,000 after acquiring an additional 1,125 shares during the last quarter. GAMMA Investing LLC acquired a new position in Customers Bancorp in the fourth quarter valued at $78,000. Finally, Yousif Capital Management LLC grew its holdings in shares of Customers Bancorp by 11.3% during the fourth quarter. Yousif Capital Management LLC now owns 15,582 shares of the bank’s stock worth $898,000 after purchasing an additional 1,580 shares during the last quarter. 89.29% of the stock is currently owned by institutional investors and hedge funds.

Customers Bancorp Price Performance

The company has a debt-to-equity ratio of 0.92, a current ratio of 0.93 and a quick ratio of 0.91. The firm has a market cap of $1.47 billion, a price-to-earnings ratio of 6.40 and a beta of 1.67. The stock has a 50-day moving average price of $51.53 and a 200 day moving average price of $48.89.

About Customers Bancorp

Customers Bancorp, Inc operates as the bank holding company for Customers Bank that provides financial products and services to individual consumers, and small and middle market businesses. The company provides deposit banking products, which includes commercial and consumer checking, non-interest-bearing and interest-bearing demand, MMDA, savings, and time deposit accounts.