Hilltop (NYSE:HTH) Shares Gap Up Following Better-Than-Expected Earnings

Hilltop Holdings Inc. (NYSE:HTH) shares gapped up prior to trading on Friday following a better than expected earnings announcement. The stock had previously closed at $29.80, but opened at $32.00. Hilltop shares last traded at $31.32, with a volume of 29,880 shares trading hands.

The financial services provider reported $0.55 EPS for the quarter, topping the consensus estimate of $0.28 by $0.27. Hilltop had a net margin of 6.65% and a return on equity of 4.90%.

Hilltop Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, February 27th. Stockholders of record on Thursday, February 13th will be issued a $0.18 dividend. The ex-dividend date of this dividend is Thursday, February 13th. This is a boost from Hilltop’s previous quarterly dividend of $0.17. This represents a $0.72 annualized dividend and a dividend yield of 2.39%. Hilltop’s dividend payout ratio (DPR) is 39.08%.

Analyst Upgrades and Downgrades

Several research analysts have recently issued reports on the stock. Keefe, Bruyette & Woods increased their price objective on shares of Hilltop from $34.00 to $35.00 and gave the company a “market perform” rating in a report on Wednesday, December 4th. Raymond James cut shares of Hilltop from a “market perform” rating to an “underperform” rating in a report on Thursday, December 19th. Finally, StockNews.com upgraded shares of Hilltop from a “sell” rating to a “hold” rating in a report on Thursday, October 10th. One equities research analyst has rated the stock with a sell rating and three have issued a hold rating to the company’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus target price of $34.50.

Insider Activity at Hilltop

In related news, CAO Keith E. Bornemann sold 2,500 shares of the company’s stock in a transaction that occurred on Friday, November 22nd. The shares were sold at an average price of $32.00, for a total value of $80,000.00. Following the completion of the sale, the chief accounting officer now owns 9,124 shares in the company, valued at approximately $291,968. This represents a 21.51 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Martin Bradley Winges sold 30,851 shares of the stock in a transaction that occurred on Thursday, November 7th. The stock was sold at an average price of $32.61, for a total transaction of $1,006,051.11. Following the completion of the sale, the chief executive officer now owns 77,748 shares of the company’s stock, valued at approximately $2,535,362.28. The trade was a 28.41 % decrease in their position. The disclosure for this sale can be found here. 29.30% of the stock is owned by insiders.

Institutional Investors Weigh In On Hilltop

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in HTH. The Manufacturers Life Insurance Company lifted its position in Hilltop by 3.6% in the 2nd quarter. The Manufacturers Life Insurance Company now owns 26,416 shares of the financial services provider’s stock worth $826,000 after buying an additional 913 shares in the last quarter. SG Americas Securities LLC lifted its position in Hilltop by 101.3% in the 3rd quarter. SG Americas Securities LLC now owns 27,846 shares of the financial services provider’s stock worth $896,000 after buying an additional 14,015 shares in the last quarter. Inspire Investing LLC lifted its position in Hilltop by 12.9% in the 3rd quarter. Inspire Investing LLC now owns 12,786 shares of the financial services provider’s stock worth $411,000 after buying an additional 1,462 shares in the last quarter. Beese Fulmer Investment Management Inc. purchased a new stake in Hilltop in the 3rd quarter worth approximately $203,000. Finally, Assenagon Asset Management S.A. lifted its position in Hilltop by 187.9% in the 3rd quarter. Assenagon Asset Management S.A. now owns 511,286 shares of the financial services provider’s stock worth $16,443,000 after buying an additional 333,695 shares in the last quarter. Hedge funds and other institutional investors own 57.13% of the company’s stock.

Hilltop Stock Performance

The company’s 50 day moving average price is $29.75 and its 200 day moving average price is $31.21. The company has a market cap of $1.96 billion, a price-to-earnings ratio of 18.48 and a beta of 1.15.

Hilltop Company Profile

Hilltop Holdings Inc provides business and consumer banking services. It operates through three segments: Banking, Broker-Dealer, and Mortgage Origination. The Banking segment offers savings, checking, interest-bearing checking, and money market accounts; certificates of deposit; lines and letters of credit, home improvement and equity loans, loans for purchasing and carrying securities, term, agricultural and commercial real estate, equipment loans, and other lending products; and mortgage, commercial and industrial loans, and term and construction finance.