MetroCity Bankshares (NASDAQ:MCBS) Stock Price Down 6.7% After Earnings Miss

MetroCity Bankshares, Inc. (NASDAQ:MCBS) shares were down 6.7% on Monday after the company announced weaker than expected quarterly earnings. The company traded as low as $33.11 and last traded at $34.11. 15,067 shares were traded during trading, a decline of 83% from the average daily volume of 88,714 shares. The stock had previously closed at $36.57.

The company reported $0.76 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.81 by ($0.05). The firm had revenue of $49.80 million during the quarter, compared to analysts’ expectations of $52.40 million. MetroCity Bankshares had a return on equity of 15.55% and a net margin of 28.40%.

MetroCity Bankshares Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, August 7th. Investors of record on Wednesday, July 29th will be paid a dividend of $0.29 per share. This represents a $1.16 annualized dividend and a yield of 3.3%. The ex-dividend date is Wednesday, July 29th. MetroCity Bankshares’s payout ratio is 41.88%.

Analysts Set New Price Targets

A number of equities research analysts have commented on MCBS shares. Wall Street Zen cut MetroCity Bankshares from a “buy” rating to a “hold” rating in a research note on Sunday, July 12th. Keefe, Bruyette & Woods boosted their price target on MetroCity Bankshares from $32.00 to $33.00 and gave the stock a “market perform” rating in a research note on Thursday, April 9th. Finally, Weiss Ratings restated a “buy (b)” rating on shares of MetroCity Bankshares in a report on Wednesday, July 8th. One analyst has rated the stock with a Buy rating and one has issued a Hold rating to the company. According to MarketBeat, MetroCity Bankshares has a consensus rating of “Moderate Buy” and a consensus price target of $33.00.

Institutional Investors Weigh In On MetroCity Bankshares

Large investors have recently made changes to their positions in the stock. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its position in shares of MetroCity Bankshares by 4.5% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 10,969 shares of the company’s stock valued at $302,000 after acquiring an additional 468 shares during the period. Jane Street Group LLC acquired a new stake in MetroCity Bankshares during the 1st quarter worth about $717,000. Legal & General Group Plc lifted its position in MetroCity Bankshares by 8.0% during the 2nd quarter. Legal & General Group Plc now owns 19,744 shares of the company’s stock worth $564,000 after acquiring an additional 1,460 shares during the period. First Trust Advisors LP increased its holdings in shares of MetroCity Bankshares by 7.8% in the second quarter. First Trust Advisors LP now owns 16,396 shares of the company’s stock valued at $469,000 after purchasing an additional 1,189 shares during the period. Finally, Qube Research & Technologies Ltd raised its stake in shares of MetroCity Bankshares by 14.7% in the second quarter. Qube Research & Technologies Ltd now owns 17,387 shares of the company’s stock worth $497,000 after purchasing an additional 2,226 shares during the last quarter. 25.33% of the stock is owned by hedge funds and other institutional investors.

MetroCity Bankshares Stock Performance

The company has a quick ratio of 1.20, a current ratio of 1.21 and a debt-to-equity ratio of 0.77. The stock has a market capitalization of $993.36 million, a PE ratio of 12.03 and a beta of 0.70. The firm has a 50 day moving average price of $34.63 and a 200-day moving average price of $31.24.

MetroCity Bankshares Company Profile

MetroCity Bankshares, Inc is a bank holding company headquartered in Houston, Texas. Through its wholly owned subsidiary, MetroCity Bank, the company provides a range of banking and financial services to individuals and businesses. MetroCity Bankshares focuses on community banking, leveraging local expertise to support the financial needs of the greater Houston metropolitan area.

MetroCity Bank offers traditional deposit products, including checking and savings accounts, money market accounts and certificates of deposit.