Popular (NASDAQ:BPOP) Posts Quarterly Earnings Results, Beats Expectations By $0.66 EPS

Popular (NASDAQ:BPOP) issued its quarterly earnings data on Thursday. The bank reported $4.35 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.69 by $0.66, FiscalAI reports. Popular had a net margin of 20.10% and a return on equity of 14.53%. The company had revenue of $846.92 million during the quarter, compared to the consensus estimate of $865.61 million. During the same quarter in the prior year, the firm earned $3.09 earnings per share.

Here are the key takeaways from Popular’s conference call:

• Popular posted very strong second-quarter results, with net income of $278 million and EPS of $4.35, up 15% sequentially and 41% year over year. ROTCE improved to 17%, and management raised its long-term ROTCE objective to 14%-17%.
• Capital return is being stepped up meaningfully: the company increased its quarterly dividend 20% to $0.90 per share and authorized a new $1 billion share repurchase program. Management also said it expects to repurchase $300 million-$400 million of stock in the remainder of the year.
• Core operating trends remained solid, with loan balances up $460 million, deposits up $2.6 billion, and net interest income rising to $693 million. The company now expects full-year net interest income growth of 8%-9% and said margin should stay generally stable.
• Credit quality was stable overall, but the quarter included some discrete commercial issues. Popular resolved its largest non-performing commercial exposure, while two other commercial relationships went on non-accrual; management said these were borrower-specific and not indicative of broader portfolio deterioration.
• Leadership transition was front and center, as Javier Ferrer announced his retirement at the end of August and Jorge García will become CEO, with Lidio Soriano moving into the CFO role and Luis Sousa becoming CRO. Management emphasized a planned succession process and continuity in strategy.

Popular Trading Down 1.7%

Shares of BPOP opened at $170.88 on Friday. The stock has a market capitalization of $11.03 billion, a price-to-earnings ratio of 12.62, a PEG ratio of 0.94 and a beta of 0.61. Popular has a 12 month low of $108.74 and a 12 month high of $175.12. The firm has a fifty day simple moving average of $160.35 and a 200 day simple moving average of $145.87.

Popular Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, July 1st. Investors of record on Friday, May 29th were issued a dividend of $0.75 per share. The ex-dividend date was Friday, May 29th. This represents a $3.00 annualized dividend and a yield of 1.8%. Popular’s dividend payout ratio is presently 22.16%.

Trending Headlines about Popular

Here are the key news stories impacting Popular this week:

• Positive Sentiment: Popular reported Q2 2026 earnings of $4.35 per share, beating analyst expectations by $0.66, with net income up 13% year over year and earnings call commentary pointing to robust momentum. Popular Inc Earnings Call Highlights Robust Momentum
• Positive Sentiment: The company also announced capital actions, including a higher quarterly dividend and a new share buyback program, which should support capital returns to shareholders. Popular Boosts Dividend and Launches New Buyback Program
• Positive Sentiment: Popular also unveiled a broader capital plan and leadership transition, signaling confidence in its balance sheet and long-term strategy. Popular unveils capital plan and leadership transition
• Positive Sentiment: Revenue for the quarter came in at $846.9 million, above the year-ago level, and the bank’s profitability metrics remained solid, reinforcing the earnings beat. Popular (BPOP) Surpasses Q2 Earnings and Revenue Estimates
• Neutral Sentiment: Management changes, including CEO Javier D. Ferrer’s planned retirement, may be seen as a transition point, but there was no indication of operational disruption. Popular Announces CEO Retirement and Leadership Transition

Insiders Place Their Bets

In other news, Director Alejandro M. Ballester sold 23,000 shares of the stock in a transaction dated Thursday, April 30th. The shares were sold at an average price of $150.00, for a total transaction of $3,450,000.00. Following the completion of the transaction, the director directly owned 34,588 shares in the company, valued at $5,188,200. This represents a 39.94% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, EVP Maria Cristin Gonzalez-Noguera sold 6,200 shares of the stock in a transaction dated Friday, May 1st. The stock was sold at an average price of $148.51, for a total transaction of $920,762.00. Following the transaction, the executive vice president owned 11,255 shares of the company’s stock, valued at approximately $1,671,480.05. This represents a 35.52% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 29,500 shares of company stock valued at $4,415,870 in the last three months. 2.13% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the stock. Sivia Capital Partners LLC bought a new position in shares of Popular in the 2nd quarter valued at about $252,000. Quarry LP raised its holdings in shares of Popular by 24.8% in the 4th quarter. Quarry LP now owns 674 shares of the bank’s stock valued at $84,000 after purchasing an additional 134 shares during the period. Inceptionr LLC bought a new stake in shares of Popular in the 4th quarter valued at about $227,000. Coldstream Capital Management Inc. acquired a new stake in Popular in the 3rd quarter valued at about $208,000. Finally, Caxton Associates LLP acquired a new stake in Popular in the 3rd quarter valued at about $200,000. 87.27% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of equities analysts recently weighed in on BPOP shares. Weiss Ratings raised shares of Popular from a “buy (b+)” rating to a “buy (a-)” rating in a research note on Monday, May 4th. UBS Group lifted their price target on Popular from $160.00 to $170.00 and gave the company a “buy” rating in a research note on Friday, April 24th. Wells Fargo & Company boosted their price target on Popular from $165.00 to $180.00 and gave the company an “overweight” rating in a report on Monday, July 6th. Piper Sandler upped their price objective on Popular from $173.00 to $190.00 and gave the stock an “overweight” rating in a research report on Friday, June 26th. Finally, Benchmark initiated coverage on Popular in a research report on Wednesday, July 15th. They set a “buy” rating and a $201.00 price objective for the company. Two equities research analysts have rated the stock with a Strong Buy rating, ten have assigned a Buy rating and one has issued a Hold rating to the stock. According to MarketBeat.com, Popular has a consensus rating of “Buy” and an average price target of $177.83.

Popular Company Profile

Popular, Inc, headquartered in San Juan, Puerto Rico, is a financial holding company and a leading provider of banking services in the United States mainland and Puerto Rico. Through its primary subsidiaries—Banco Popular de Puerto Rico and Popular Bank—the company delivers comprehensive commercial and consumer banking solutions. It offers deposit products, lending facilities, cash management services and payment-processing solutions designed for individuals, small businesses and large corporations.

The company’s product suite encompasses checking and savings accounts, certificates of deposit, residential and commercial mortgage loans, business lines of credit and credit cards.