VersaBank (NASDAQ:VBNK) Sets New 1-Year High – Here’s Why

Shares of VersaBank (NASDAQ:VBNK) hit a new 52-week high on Monday . The company traded as high as $25.05 and last traded at $19.90, with a volume of 93623 shares trading hands. The stock had previously closed at $20.20.

Wall Street Analysts Forecast Growth

Several equities research analysts have weighed in on VBNK shares. Roth Mkm reissued a “neutral” rating and issued a $20.00 price target on shares of VersaBank in a report on Monday, June 8th. Zacks Research raised VersaBank from a “strong sell” rating to a “hold” rating in a report on Monday, May 4th. Finally, Weiss Ratings downgraded VersaBank from a “buy (b-)” rating to a “hold (c+)” rating in a report on Tuesday, June 9th. Three analysts have rated the stock with a Hold rating, According to data from MarketBeat.com, the company currently has an average rating of “Hold” and an average target price of $20.00.

VersaBank Price Performance

The company has a market capitalization of $629.75 million, a price-to-earnings ratio of 28.35 and a beta of 1.10. The stock has a fifty day simple moving average of $17.68 and a 200-day simple moving average of $15.85.

VersaBank (NASDAQ:VBNK) last announced its quarterly earnings results on Wednesday, June 3rd. The company reported $0.28 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.26 by $0.02. The company had revenue of $28.17 million during the quarter, compared to the consensus estimate of $26.86 million. VersaBank had a return on equity of 8.32% and a net margin of 9.34%. As a group, equities analysts expect that VersaBank will post 1.3 EPS for the current fiscal year.

VersaBank Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, July 31st. Stockholders of record on Friday, July 10th will be paid a dividend of $0.025 per share. This represents a $0.10 annualized dividend and a dividend yield of 0.5%. The ex-dividend date of this dividend is Friday, July 10th. VersaBank’s dividend payout ratio is presently 10.14%.

Institutional Trading of VersaBank

Several large investors have recently made changes to their positions in VBNK. CSM Advisors LLC purchased a new stake in shares of VersaBank during the third quarter worth approximately $3,418,000. Pembroke Management LTD grew its holdings in VersaBank by 40.7% in the 4th quarter. Pembroke Management LTD now owns 736,222 shares of the company’s stock valued at $11,029,000 after buying an additional 213,037 shares in the last quarter. Mudita Advisors LLP purchased a new stake in VersaBank in the 4th quarter valued at $1,462,000. Alliancebernstein L.P. grew its holdings in VersaBank by 2.7% in the 3rd quarter. Alliancebernstein L.P. now owns 2,915,984 shares of the company’s stock valued at $35,604,000 after buying an additional 75,358 shares in the last quarter. Finally, Compass Rose Asset Management LP acquired a new position in shares of VersaBank in the 3rd quarter valued at $720,000. 56.86% of the stock is currently owned by hedge funds and other institutional investors.

About VersaBank

VersaBank is a Canadian Schedule I chartered bank that operates as a fully digital institution, offering a range of deposit and lending solutions through its proprietary technology platform. Headquartered in London, Ontario, the bank has chosen to forego a traditional branch network in favor of online and digital distribution, enabling it to serve clients across Canada and the United States with efficiency and lower overhead.

The bank’s primary business activities include the origination and securitization of commercial loans, equipment financing, residential mortgages and construction loans.