Mechanics Bancorp (NASDAQ:MCHB) Releases Quarterly Earnings Results, Beats Estimates By $0.02 EPS

Mechanics Bancorp (NASDAQ:MCHB) posted its earnings results on Wednesday. The company reported $0.27 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.25 by $0.02, Zacks reports. Mechanics Bancorp had a return on equity of 10.61% and a net margin of 21.71%.

Mechanics Bancorp Stock Performance

Mechanics Bancorp stock traded up $0.26 during mid-day trading on Wednesday, reaching $16.09. The company’s stock had a trading volume of 236,000 shares, compared to its average volume of 478,774. The firm has a market cap of $3.56 billion, a price-to-earnings ratio of 21.47 and a beta of 1.41. Mechanics Bancorp has a twelve month low of $12.46 and a twelve month high of $16.68. The business has a 50 day moving average price of $15.40 and a 200-day moving average price of $15.06. The company has a current ratio of 0.80, a quick ratio of 0.80 and a debt-to-equity ratio of 0.05.

Mechanics Bancorp Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, May 28th. Shareholders of record on Saturday, May 23rd were issued a dividend of $0.70 per share. The ex-dividend date of this dividend was Friday, May 22nd. This represents a $2.80 dividend on an annualized basis and a yield of 17.4%. This is a boost from Mechanics Bancorp’s previous quarterly dividend of $0.40. Mechanics Bancorp’s dividend payout ratio (DPR) is 373.33%.

Wall Street Analysts Forecast Growth

A number of analysts recently commented on the company. Cantor Fitzgerald assumed coverage on Mechanics Bancorp in a research report on Friday, April 10th. They set an “overweight” rating and a $17.00 price objective for the company. Zacks Research upgraded shares of Mechanics Bancorp to a “hold” rating in a report on Monday, June 1st. Keefe, Bruyette & Woods reduced their price objective on shares of Mechanics Bancorp from $16.00 to $15.50 and set a “market perform” rating on the stock in a research note on Monday, May 4th. Raymond James Financial assumed coverage on shares of Mechanics Bancorp in a research note on Thursday, May 28th. They issued an “outperform” rating and a $17.00 target price for the company. Finally, Weiss Ratings lowered Mechanics Bancorp from a “buy (b)” rating to a “buy (b-)” rating in a research note on Thursday, July 23rd. Three equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $16.62.

Institutional Investors Weigh In On Mechanics Bancorp

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Rhumbline Advisers bought a new position in Mechanics Bancorp during the 3rd quarter valued at $355,000. JPMorgan Chase & Co. acquired a new position in Mechanics Bancorp in the 3rd quarter worth approximately $118,000. Vanguard Group Inc. acquired a new position in Mechanics Bancorp during the third quarter valued at $13,128,000. Victory Capital Management Inc. acquired a new position in Mechanics Bancorp in the 3rd quarter valued at approximately $322,000. Finally, Dimensional Fund Advisors LP acquired a new stake in Mechanics Bancorp during the third quarter valued at $9,557,000. 74.71% of the stock is currently owned by institutional investors.

About Mechanics Bancorp

HomeStreet, Inc operates as the bank holding company for HomeStreet Bank that provides commercial, mortgage, and consumer/retail banking services primarily in the Western United States. The company offers personal and business checking, savings accounts, interest-bearing negotiable order of withdrawal accounts, money market accounts, and time certificates of deposit; credit cards; insurance; and treasury management products and services. Its loan products include commercial business and agriculture loans, single family residential mortgages, consumer loans, commercial loans secured by residential and commercial real estate, and construction loans for residential and commercial real estate development, as well as consumer installment loans and permanent loans on commercial real estate and single-family residences.