Home BancShares, Inc. (NYSE:HOMB) has been assigned an average rating of “Moderate Buy” by analysts from seven research firms, according to MarketBeat Ratings. This assessment includes three analysts recommending a hold rating, three issuing a buy rating, and one suggesting a strong buy on the stock. The average twelve-month price target for Home BancShares stands at $32.60.
Several analysts have recently provided updates on the company’s stock. On January 16, 2024, Piper Sandler reaffirmed an “overweight” rating and increased its target price to $35.00, up from a previous $34.00. Zacks Research upgraded its rating from “hold” to “strong buy” on January 19, 2024. Conversely, Wall Street Zen downgraded the stock from a “hold” rating to a “sell” rating shortly thereafter. Additionally, Royal Bank of Canada set a price objective of $31.00 in a report released on January 12, 2024. Weiss Ratings also maintained a “buy (B-)” rating on December 29, 2023.
Quarterly Earnings and Dividend Announcement
Home BancShares recently reported its quarterly earnings on January 14, 2024. The financial services provider achieved an earnings per share (EPS) of $0.60, aligning with analysts’ expectations. The company generated revenue of $282.09 million for the quarter, surpassing the anticipated $272.48 million. Home BancShares boasted a net margin of 32.18% and a return on equity of 11.16%. This quarter’s revenue marked a growth of 9.2% compared to the same period last year, when the company reported an EPS of $0.50.
In addition to its earnings report, Home BancShares announced a quarterly dividend of $0.21 per share, scheduled to be paid on March 4, 2024. Investors of record on February 11, 2024, will receive this dividend, which translates to an annualized total of $0.84 and a yield of 2.9%. The company’s dividend payout ratio is currently 34.85%.
Insider Transactions and Institutional Investment
In recent insider trading activity, Director Donna Townsell sold 5,563 shares of Home BancShares on January 28, 2024, at an average price of $28.38, totaling approximately $157,877.94. Following this transaction, Townsell retains ownership of 218,460 shares, valued at around $6,199,894.80. This sale represented a 2.48% reduction in Townsell’s stake, which is documented in a filing with the Securities and Exchange Commission (SEC).
Recent changes in institutional investment have also been notable. Numerous hedge funds have adjusted their positions in Home BancShares. Binnacle Investments Inc. increased its stake by 76.7% during the second quarter, now holding 1,329 shares valued at approximately $38,000. Other institutional moves include First Horizon Corp purchasing a new position worth about $43,000 in the third quarter, and Danske Bank A S acquiring a stake valued at around $57,000 during the same period. Hedge funds and institutional investors collectively own 67.31% of Home BancShares.
About Home BancShares
Home BancShares, Inc. is a bank holding company headquartered in Conway, Arkansas. Established in March 1999, it operates primarily through its subsidiary, Home Bank, National Association. The company offers a wide array of banking services tailored for individuals, small to medium-sized businesses, and public entities. Key services include deposit accounts, consumer and commercial lending, mortgage origination, treasury management, and wealth management solutions. Its core products encompass checking and savings accounts, certificates of deposit, and various loan offerings such as commercial real estate financing and residential mortgages.
As the company continues to navigate the financial landscape, it remains a focal point for investors and analysts alike, reflecting the ongoing interest in regional banking institutions.
