Zacks Investment Research cut shares of Bank Ozk (NASDAQ:OZK) from a hold rating to a strong sell rating in a research report sent to investors on Friday morning.
According to Zacks, “Shares of Bank OZK have significantly underperformed the industry over the past six months. Also, the company does not have a decent earnings surprise history, having surpassed the Zacks Consensus Estimate in only one of the trailing four quarters. Estimates have been going down lately ahead of the company's fourth quarter 2018 earnings release. Margin pressure, despite higher interest rates, remains a major near-term concern for the company. Also, persistently rising expenses, due to the company’s expansion strategy through de novo branching, might hamper bottom-line growth to some extent. However, consistent growth in loans and deposits along with benefits from lower tax rates are expected to support profitability.”
Other equities analysts have also recently issued research reports about the company. Brean Capital restated a buy rating on shares of Bank Ozk in a research report on Monday, October 29th. Barclays dropped their price target on Bank Ozk from $38.00 to $27.00 and set an underweight rating on the stock in a research report on Monday, October 22nd. ValuEngine cut Bank Ozk from a sell rating to a strong sell rating in a research report on Thursday, September 13th. Stephens restated a hold rating and issued a $48.00 price target on shares of Bank Ozk in a research report on Thursday, October 18th. Finally, TheStreet cut Bank Ozk from a b- rating to a c+ rating in a research report on Friday, October 12th. Two research analysts have rated the stock with a sell rating, eight have issued a hold rating and two have issued a buy rating to the company. The company presently has a consensus rating of Hold and a consensus target price of $32.22.
Bank Ozk (NASDAQ:OZK) last posted its earnings results on Thursday, October 18th. The company reported $0.58 earnings per share for the quarter, missing the Thomson Reuters’ consensus estimate of $0.90 by ($0.32). Bank Ozk had a net margin of 38.37% and a return on equity of 11.17%. The firm had revenue of $244.74 million during the quarter, compared to analysts’ expectations of $258.05 million. During the same period in the previous year, the firm posted $0.75 earnings per share. On average, equities research analysts expect that Bank Ozk will post 3.18 EPS for the current year.
The company also recently declared a quarterly dividend, which will be paid on Tuesday, January 22nd. Stockholders of record on Tuesday, January 15th will be paid a dividend of $0.22 per share. This is a positive change from Bank Ozk’s previous quarterly dividend of $0.21. The ex-dividend date is Monday, January 14th. This represents a $0.88 annualized dividend and a dividend yield of 3.34%. Bank Ozk’s payout ratio is 28.38%.
Hedge funds have recently bought and sold shares of the stock. Benjamin F. Edwards & Company Inc. purchased a new stake in Bank Ozk in the 3rd quarter valued at approximately $120,000. Paradigm Asset Management Co. LLC purchased a new position in shares of Bank Ozk during the 3rd quarter worth $121,000. Twin Tree Management LP purchased a new position in shares of Bank Ozk during the 3rd quarter worth $141,000. Whittier Trust Co. of Nevada Inc. purchased a new position in shares of Bank Ozk during the 3rd quarter worth $199,000. Finally, US Bancorp DE purchased a new position in shares of Bank Ozk during the 3rd quarter worth $224,000. 86.29% of the stock is currently owned by hedge funds and other institutional investors.
About Bank Ozk
Bank OZK provides a range of retail and commercial banking services to businesses, individuals, and non-profit and governmental entities. The company accepts non-interest bearing checking, interest bearing transaction, business sweep, savings, money market, individual retirement, and other accounts, as well as time deposits.
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