City (NASDAQ:CHCO) Reaches New 52-Week High After Strong Earnings

City Holding Company (NASDAQ:CHCO)’s share price hit a new 52-week high on Wednesday after the company announced better than expected quarterly earnings. The company traded as high as $139.74 and last traded at $138.58, with a volume of 144599 shares traded. The stock had previously closed at $134.99.

The bank reported $2.35 EPS for the quarter, topping analysts’ consensus estimates of $2.23 by $0.12. City had a return on equity of 16.58% and a net margin of 32.72%.The company had revenue of $81.52 million during the quarter, compared to analysts’ expectations of $80.64 million.

City Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, July 31st. Shareholders of record on Wednesday, July 15th will be paid a dividend of $0.87 per share. The ex-dividend date of this dividend is Wednesday, July 15th. This represents a $3.48 annualized dividend and a yield of 2.5%. City’s payout ratio is presently 38.33%.

City declared that its Board of Directors has approved a stock buyback program on Wednesday, March 25th that allows the company to buyback 1,000,000 shares. This buyback authorization allows the bank to reacquire shares of its stock through open market purchases. Shares buyback programs are typically an indication that the company’s management believes its shares are undervalued.

More City News

Here are the key news stories impacting City this week:

• Positive Sentiment: City Holding beat Q2 estimates, reporting earnings of $2.35 per share versus $2.22 expected, with revenue of $81.52 million also coming in above forecasts. Article Title
• Positive Sentiment: The company also posted solid profitability metrics, including a 16.58% return on equity and a 32.72% net margin, which may support investor confidence in the bank’s earnings power. Article Title
• Neutral Sentiment: Analysts currently have a consensus recommendation of “Hold” on City Holding, suggesting expectations remain balanced despite the earnings beat. Article Title

Analyst Ratings Changes

A number of equities analysts recently issued reports on CHCO shares. Weiss Ratings upgraded shares of City from a “buy (b)” rating to a “buy (b+)” rating in a research report on Thursday, July 16th. Hovde Group raised their target price on shares of City from $133.00 to $135.00 and gave the company a “market perform” rating in a research report on Tuesday, April 28th. One equities research analyst has rated the stock with a Buy rating and four have given a Hold rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $134.00.

Insider Buying and Selling at City

In other news, EVP Jeffrey Dale Legge sold 1,309 shares of the firm’s stock in a transaction on Tuesday, May 26th. The shares were sold at an average price of $125.00, for a total transaction of $163,625.00. Following the completion of the transaction, the executive vice president owned 7,656 shares of the company’s stock, valued at approximately $957,000. This trade represents a 14.60% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Charles R. Hageboeck sold 5,855 shares of the business’s stock in a transaction on Tuesday, April 28th. The stock was sold at an average price of $125.30, for a total transaction of $733,631.50. Following the completion of the sale, the chief executive officer directly owned 50,341 shares in the company, valued at approximately $6,307,727.30. This represents a 10.42% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders have sold 12,975 shares of company stock valued at $1,622,853. Insiders own 1.75% of the company’s stock.

Institutional Investors Weigh In On City

A number of institutional investors have recently made changes to their positions in CHCO. Two Sigma Investments LP lifted its stake in shares of City by 136.4% in the third quarter. Two Sigma Investments LP now owns 123,803 shares of the bank’s stock worth $15,335,000 after acquiring an additional 71,436 shares during the period. Tudor Investment Corp ET AL increased its position in City by 63.2% during the 3rd quarter. Tudor Investment Corp ET AL now owns 77,039 shares of the bank’s stock valued at $9,543,000 after purchasing an additional 29,828 shares during the period. Renaissance Technologies LLC increased its position in City by 55.0% during the 1st quarter. Renaissance Technologies LLC now owns 61,686 shares of the bank’s stock valued at $7,373,000 after purchasing an additional 21,898 shares during the period. Marshall Wace LLP bought a new position in City during the 2nd quarter worth approximately $2,216,000. Finally, Healthcare of Ontario Pension Plan Trust Fund bought a new position in City during the 4th quarter worth approximately $2,157,000. Institutional investors own 72.43% of the company’s stock.

City Trading Up 3.1%

The stock has a market cap of $1.96 billion, a P/E ratio of 15.33 and a beta of 0.49. The company has a debt-to-equity ratio of 0.19, a quick ratio of 0.84 and a current ratio of 0.84. The firm’s fifty day simple moving average is $129.31 and its 200-day simple moving average is $125.05.

City Company Profile

City Holding Company (NASDAQ:CHCO) is a bank holding company headquartered in Morgantown, West Virginia. Through its wholly owned subsidiary, City National Bank, the company offers a full range of banking and financial services to individuals, businesses and nonprofit organizations. Its operations emphasize community-oriented banking, combining local decision-making with access to digital banking platforms.

The company’s product portfolio includes deposit accounts such as checking, savings and money market accounts, as well as consumer and commercial lending solutions ranging from personal loans and mortgages to commercial real estate and equipment financing.