First Merchants (NASDAQ:FRME) Issues Earnings Results, Misses Expectations By $0.28 EPS

First Merchants (NASDAQ:FRME) released its quarterly earnings results on Wednesday. The bank reported $0.74 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.02 by ($0.28), FiscalAI reports. The company had revenue of $202.49 million during the quarter, compared to analyst estimates of $202.78 million. First Merchants had a net margin of 18.87% and a return on equity of 9.58%.

First Merchants Stock Down 0.6%

NASDAQ FRME opened at $43.75 on Thursday. The business has a fifty day moving average price of $41.72 and a 200 day moving average price of $40.26. The company has a debt-to-equity ratio of 0.52, a quick ratio of 0.92 and a current ratio of 0.94. The company has a market cap of $2.76 billion, a P/E ratio of 12.87 and a beta of 0.84. First Merchants has a one year low of $34.66 and a one year high of $45.33.

First Merchants Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, June 19th. Investors of record on Friday, June 5th were paid a $0.37 dividend. The ex-dividend date of this dividend was Friday, June 5th. This represents a $1.48 annualized dividend and a yield of 3.4%. This is an increase from First Merchants’s previous quarterly dividend of $0.36. First Merchants’s dividend payout ratio is currently 43.53%.

Wall Street Analysts Forecast Growth

Several equities analysts have issued reports on FRME shares. Piper Sandler increased their price objective on shares of First Merchants from $49.00 to $51.00 and gave the company an “overweight” rating in a report on Friday, June 26th. Wall Street Zen raised shares of First Merchants from a “sell” rating to a “hold” rating in a research note on Sunday, May 17th. Finally, Weiss Ratings downgraded shares of First Merchants from a “buy (b)” rating to a “hold (c+)” rating in a research report on Monday, May 18th. Two equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus price target of $49.00.

Insider Transactions at First Merchants

In other news, Director Larry W. Myers sold 10,000 shares of the company’s stock in a transaction on Thursday, June 11th. The shares were sold at an average price of $41.50, for a total transaction of $415,000.00. Following the completion of the sale, the director owned 99,751 shares of the company’s stock, valued at $4,139,666.50. This represents a 9.11% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 1.77% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On First Merchants

A number of institutional investors and hedge funds have recently bought and sold shares of the business. Mercer Global Advisors Inc. ADV grew its stake in First Merchants by 26.8% during the 4th quarter. Mercer Global Advisors Inc. ADV now owns 9,595 shares of the bank’s stock valued at $360,000 after acquiring an additional 2,025 shares in the last quarter. Mendon Capital Advisors Corp lifted its stake in First Merchants by 26.7% in the 4th quarter. Mendon Capital Advisors Corp now owns 95,000 shares of the bank’s stock worth $3,561,000 after purchasing an additional 20,000 shares in the last quarter. nVerses Capital LLC acquired a new position in shares of First Merchants during the 4th quarter worth approximately $310,000. Wellington Management Group LLP acquired a new position in shares of First Merchants during the 4th quarter worth approximately $3,725,000. Finally, Tudor Investment Corp ET AL grew its position in shares of First Merchants by 3.1% in the fourth quarter. Tudor Investment Corp ET AL now owns 101,567 shares of the bank’s stock valued at $3,807,000 after purchasing an additional 3,044 shares in the last quarter. 73.92% of the stock is currently owned by institutional investors and hedge funds.

First Merchants Company Profile

First Merchants Corporation, through its subsidiary First Merchants Bank, offers a comprehensive suite of banking and financial services to individuals, businesses and public sector clients. The company’s core business activities include retail and commercial banking, lending, treasury and cash management, and wealth advisory services. With a focus on relationship banking, First Merchants seeks to deliver tailored solutions for deposit accounts, loan financing and other credit products.

On the consumer side, First Merchants provides checking and savings accounts, certificates of deposit, personal and mortgage loans, and electronic banking conveniences.