Bank OZK (NASDAQ:OZK) Shares Gap Down Following Weak Earnings

Bank OZK (NASDAQ:OZK) gapped down prior to trading on Wednesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $47.80, but opened at $46.59. Bank OZK shares last traded at $48.5350, with a volume of 1,816,595 shares changing hands.

The company reported $1.53 earnings per share for the quarter, missing analysts’ consensus estimates of $1.56 by ($0.03). Bank OZK had a net margin of 25.50% and a return on equity of 12.75%. The company had revenue of $436.29 million during the quarter, compared to analyst estimates of $434.68 million. During the same period in the prior year, the business earned $1.56 EPS.

Bank OZK Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, January 20th. Stockholders of record on Tuesday, January 13th were paid a $0.46 dividend. This is an increase from Bank OZK’s previous quarterly dividend of $0.45. The ex-dividend date of this dividend was Tuesday, January 13th. This represents a $1.84 annualized dividend and a dividend yield of 3.8%. Bank OZK’s payout ratio is 29.82%.

Key Headlines Impacting Bank OZK

Here are the key news stories impacting Bank OZK this week:

• Positive Sentiment: Full-year results show strength: 2025 diluted EPS were a record $6.18 and full-year revenue rose ~4.2%, supporting the bank’s longer-term profitability narrative. Bank OZK Announces Fourth Quarter and Full Year 2025 Earnings
• Positive Sentiment: Analyst commentary highlights improving business diversification that could support multiple expansion over time, giving investors a valuation upside thesis despite near-term headwinds. Bank OZK: Improving Diversification Paves The Way For Multiple Expansion
• Neutral Sentiment: Top-line slightly beat expectations — Q4 revenue of $436.3M vs. consensus ~$434.7M — which offsets some concerns but did not prevent the EPS miss. Bank OZK: Q4 Earnings Snapshot
• Neutral Sentiment: Management is publicly downplaying a recent spike in charge-offs, calling it “no cause for alarm,” which may calm short-term investor fear but leaves credit risk watchful. Bank OZK says spike in chargeoffs is no cause for alarm
• Negative Sentiment: Q4 EPS missed estimates ($1.53 vs. $1.56), and investors reacted to rising credit-loss provisions and higher operating expenses; this combination pressured shares after the print. Bank OZK Shares Fall as Q4 Earnings Miss Estimates, Provisions Rise
• Negative Sentiment: Earnings-call commentary and transcripts highlight credit headwinds and the need to optimize reserve and provision levels, keeping near-term credit risk and profitability under scrutiny. Bank OZK (OZK) Q4 2025 Earnings Call Highlights: Navigating Credit Challenges and Optimizing …

Analysts Set New Price Targets

Several equities analysts recently issued reports on OZK shares. Weiss Ratings reiterated a “buy (b-)” rating on shares of Bank OZK in a report on Thursday, October 30th. Wells Fargo & Company upped their target price on shares of Bank OZK from $49.00 to $50.00 and gave the company an “equal weight” rating in a research report on Monday, September 29th. Zacks Research raised shares of Bank OZK from a “strong sell” rating to a “hold” rating in a research note on Wednesday, January 7th. National Bankshares set a $67.00 price target on shares of Bank OZK in a research report on Wednesday, September 24th. Finally, Wall Street Zen upgraded shares of Bank OZK from a “sell” rating to a “hold” rating in a report on Saturday, January 3rd. Five research analysts have rated the stock with a Buy rating, five have given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Hold” and an average target price of $57.78.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. Wasatch Advisors LP increased its stake in Bank OZK by 34.9% in the third quarter. Wasatch Advisors LP now owns 7,437,646 shares of the company’s stock valued at $379,171,000 after purchasing an additional 1,924,387 shares in the last quarter. Charles Schwab Investment Management Inc. grew its holdings in shares of Bank OZK by 1.3% in the 2nd quarter. Charles Schwab Investment Management Inc. now owns 4,406,933 shares of the company’s stock valued at $207,390,000 after buying an additional 56,713 shares during the period. First Trust Advisors LP grew its holdings in shares of Bank OZK by 0.6% in the 3rd quarter. First Trust Advisors LP now owns 2,808,166 shares of the company’s stock valued at $143,160,000 after buying an additional 17,427 shares during the period. American Century Companies Inc. increased its position in shares of Bank OZK by 4.3% in the 3rd quarter. American Century Companies Inc. now owns 2,743,655 shares of the company’s stock valued at $139,872,000 after buying an additional 112,048 shares in the last quarter. Finally, Van Berkom & Associates Inc. raised its stake in Bank OZK by 0.7% during the 3rd quarter. Van Berkom & Associates Inc. now owns 1,818,447 shares of the company’s stock worth $92,704,000 after buying an additional 12,733 shares during the period. Institutional investors own 86.18% of the company’s stock.

Bank OZK Price Performance

The company has a 50 day moving average of $46.74 and a 200 day moving average of $48.76. The company has a current ratio of 1.03, a quick ratio of 1.03 and a debt-to-equity ratio of 0.13. The firm has a market cap of $5.35 billion, a price-to-earnings ratio of 7.75 and a beta of 0.90.

Bank OZK Company Profile

Bank OZK, formerly known as Bank of the Ozarks, is a regional commercial bank headquartered in Little Rock, Arkansas. Established in 1903, the bank offers a full suite of banking products and services to both individual and corporate clients. Through a combination of organic growth and targeted acquisitions, Bank OZK has built a diversified lending portfolio and a strong deposit franchise.

The bank’s core operations focus on commercial real estate lending, including acquisition, development and construction financing.