Customers Bancorp (NYSE:CUBI) Shares Gap Up After Strong Earnings

Customers Bancorp, Inc. (NYSE:CUBI)’s share price gapped up prior to trading on Friday following a better than expected earnings announcement. The stock had previously closed at $50.35, but opened at $53.53. Customers Bancorp shares last traded at $56.38, with a volume of 222,482 shares.

The bank reported $1.36 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.21 by $0.15. Customers Bancorp had a return on equity of 13.55% and a net margin of 15.22%.

Wall Street Analyst Weigh In

A number of analysts recently commented on CUBI shares. Stephens reiterated an “equal weight” rating and issued a $58.00 target price on shares of Customers Bancorp in a report on Friday. Raymond James cut their price objective on Customers Bancorp from $80.00 to $70.00 and set a “strong-buy” rating for the company in a research report on Wednesday, October 2nd. Piper Sandler decreased their target price on Customers Bancorp from $61.00 to $55.00 and set a “neutral” rating on the stock in a report on Monday, November 4th. B. Riley boosted their target price on Customers Bancorp from $78.00 to $80.00 and gave the stock a “buy” rating in a research report on Monday, November 4th. Finally, Keefe, Bruyette & Woods increased their price target on Customers Bancorp from $52.00 to $62.00 and gave the company a “market perform” rating in a research report on Wednesday, December 4th. Six equities research analysts have rated the stock with a hold rating, three have issued a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $62.56.

Insider Buying and Selling

In other Customers Bancorp news, CEO Jay S. Sidhu sold 860 shares of Customers Bancorp stock in a transaction on Thursday, November 7th. The shares were sold at an average price of $54.73, for a total transaction of $47,067.80. Following the completion of the sale, the chief executive officer now owns 1,189,738 shares of the company’s stock, valued at $65,114,360.74. This trade represents a 0.07 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Also, insider Glenn Hedde sold 5,002 shares of the company’s stock in a transaction on Wednesday, November 6th. The stock was sold at an average price of $53.68, for a total transaction of $268,507.36. Following the completion of the transaction, the insider now directly owns 66,256 shares in the company, valued at $3,556,622.08. This trade represents a 7.02 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 96,440 shares of company stock valued at $5,425,815. Corporate insiders own 6.92% of the company’s stock.

Institutional Investors Weigh In On Customers Bancorp

A number of hedge funds and other institutional investors have recently made changes to their positions in CUBI. Basswood Capital Management L.L.C. bought a new stake in Customers Bancorp in the third quarter worth $26,000. R Squared Ltd acquired a new stake in shares of Customers Bancorp in the fourth quarter worth about $42,000. KBC Group NV boosted its stake in shares of Customers Bancorp by 82.8% during the 4th quarter. KBC Group NV now owns 1,495 shares of the bank’s stock worth $73,000 after acquiring an additional 677 shares in the last quarter. GAMMA Investing LLC increased its holdings in shares of Customers Bancorp by 21.7% during the 3rd quarter. GAMMA Investing LLC now owns 1,580 shares of the bank’s stock valued at $73,000 after acquiring an additional 282 shares during the last quarter. Finally, Quest Partners LLC raised its stake in shares of Customers Bancorp by 143.4% in the 3rd quarter. Quest Partners LLC now owns 1,633 shares of the bank’s stock valued at $76,000 after acquiring an additional 962 shares in the last quarter. 89.29% of the stock is owned by hedge funds and other institutional investors.

Customers Bancorp Trading Up 14.1 %

The stock has a market capitalization of $1.80 billion, a price-to-earnings ratio of 9.33 and a beta of 1.68. The company has a current ratio of 0.93, a quick ratio of 0.92 and a debt-to-equity ratio of 0.78. The company has a fifty day moving average of $51.41 and a two-hundred day moving average of $51.01.

About Customers Bancorp

Customers Bancorp, Inc operates as the bank holding company for Customers Bank that provides financial products and services to individual consumers, and small and middle market businesses. The company provides deposit banking products, which includes commercial and consumer checking, non-interest-bearing and interest-bearing demand, MMDA, savings, and time deposit accounts.