Preferred Bank (NASDAQ:PFBC) Sees Strong Trading Volume Following Earnings Beat

Shares of Preferred Bank (NASDAQ:PFBC) saw an uptick in trading volume on Wednesday following a better than expected earnings announcement. 58,365 shares changed hands during trading, a decline of 47% from the previous session’s volume of 109,819 shares.The stock last traded at $107.6050 and had previously closed at $106.04.

The bank reported $2.78 earnings per share for the quarter, beating analysts’ consensus estimates of $2.65 by $0.13. The company had revenue of $73.47 million for the quarter, compared to the consensus estimate of $73.60 million. Preferred Bank had a return on equity of 17.52% and a net margin of 26.49%.

Preferred Bank Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, July 21st. Stockholders of record on Tuesday, July 7th were paid a $0.80 dividend. This represents a $3.20 annualized dividend and a dividend yield of 3.1%. The ex-dividend date was Tuesday, July 7th. Preferred Bank’s dividend payout ratio is 29.96%.

Preferred Bank News Roundup

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

• Positive Sentiment: Preferred Bank reported Q2 EPS of $2.78, topping the Zacks consensus estimate of $2.65 and coming in above the prior-year quarter’s $2.52. Article title: Preferred Bank (PFBC) Q2 Earnings Surpass Estimates
• Positive Sentiment: The bank said net income rose to $33.5 million from both the prior quarter and the year-ago period, helped by a $4.7 million increase in net interest income versus Q1 and a $3.1 million gain year over year. Article title: Preferred Bank Reports Second Quarter Results
• Neutral Sentiment: Revenue came in at $73.47 million, roughly in line with expectations, but slightly below the cited estimate, which may temper enthusiasm somewhat. Article title: Preferred Bank GAAP EPS of $2.78 beats by $0.13, revenue of $73.47M misses by $0.13M
• Neutral Sentiment: Investors are also digesting the earnings call transcript and key-metrics coverage, which may provide more detail on loan growth, margins, and credit quality but did not add a new major surprise in the headlines. Article title: Preferred Bank (PFBC) Q2 2026 Earnings Call Transcript

Wall Street Analyst Weigh In

A number of analysts have commented on PFBC shares. Piper Sandler upped their target price on shares of Preferred Bank from $105.00 to $111.00 and gave the company an “overweight” rating in a report on Monday, April 27th. Weiss Ratings upgraded shares of Preferred Bank from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Monday, June 8th. Three research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $102.00.

Hedge Funds Weigh In On Preferred Bank

Large investors have recently made changes to their positions in the business. EverSource Wealth Advisors LLC raised its stake in Preferred Bank by 1,224.0% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 331 shares of the bank’s stock valued at $29,000 after purchasing an additional 306 shares during the period. Quarry LP boosted its stake in Preferred Bank by 1,992.0% in the 3rd quarter. Quarry LP now owns 523 shares of the bank’s stock worth $47,000 after purchasing an additional 498 shares during the period. Johnson Financial Group Inc. bought a new position in Preferred Bank in the 3rd quarter worth approximately $70,000. Kemnay Advisory Services Inc. purchased a new stake in Preferred Bank during the 4th quarter valued at approximately $91,000. Finally, Clearstead Advisors LLC grew its holdings in Preferred Bank by 192.1% during the 4th quarter. Clearstead Advisors LLC now owns 1,072 shares of the bank’s stock valued at $101,000 after buying an additional 705 shares in the last quarter. 72.77% of the stock is currently owned by hedge funds and other institutional investors.

Preferred Bank Stock Performance

The stock has a market cap of $1.51 billion, a P/E ratio of 9.82 and a beta of 0.55. The company has a debt-to-equity ratio of 0.45, a current ratio of 1.07 and a quick ratio of 1.06. The firm’s 50-day moving average price is $100.55 and its 200-day moving average price is $94.82.

Preferred Bank Company Profile

Preferred Bank (NASDAQ: PFBC) is a California-chartered commercial bank headquartered in Los Angeles. The institution offers a full range of banking products and services to businesses and individuals, with a particular emphasis on commercial real estate lending, business banking, treasury management and deposit accounts. Preferred Bank operates through branch offices across Southern California and national loan production offices in major U.S. markets.

The bank’s core lending portfolio focuses on commercial real estate acquisition, development and investment properties.