On September 30, 2023, financial services provider M&T Bank (NYSE: MTB) was downgraded by investment analysts at Odeon Capital Group from a “buy” rating to a “hold” rating, according to a research report issued by FlyOnTheWall. This downgrade comes as the company’s stock opened at $126.71 on Friday.
M&T Bank currently has a market cap of $21.03 billion and a price-to-earnings (P/E) ratio of 7.51. The P/E/G ratio stands at 0.93, indicating potential growth opportunities for investors in relation to the company’s earnings performance. With a beta of 0.81, M&T Bank demonstrates relatively lower volatility compared to the broader market.
Over the past fifty days, the firm’s average moving price has been $130.22, while its two-hundred-day moving average price stood at $125.23. Despite these figures, M&T Bank has experienced both highs and lows over the past year, ranging from $109.36 to $192.56.
Examining the company’s financial health, it is worth noting that M&T Bank maintains a debt-to-equity ratio of 0.31, suggesting conservative leverage practices. Furthermore, it possesses current and quick ratios of 0.97 each, indicating stability in meeting short-term obligations.
In terms of institutional investments, hedge funds have made recent changes to their positions in M&T Bank. Wellington Management Group LLP raised its holdings in the firm by 35.2% during the first quarter and now owns approximately 15 million shares valued at $1.81 billion after acquiring an additional 3.9 million shares last quarter.
Additionally,Norges Bank acquired a new position in M&T Bank during the fourth quarter valued at around $231 million as part of its portfolio diversification strategy.Morgan Stanley also increased its holdings during the fourth quarter by 71.6%, now owning over 2.9 million shares of M&T Bank stock worth approximately $433 million. Another notable investor is M&T Bank Corp, which grew its stake during the first quarter by 77% and currently holds around 1.7 million shares worth $212 million.
Institutional investors and hedge funds account for approximately 82.86% of the company’s stock ownership, reflecting a strong interest among financial professionals in M&T Bank.
Previously, on July 19th, M&T Bank announced its quarterly earnings results, surpassing analysts’ consensus estimates. The company reported earnings per share (EPS) of $5.05 for the quarter, beating estimates by $0.89. Revenue for the same period was recorded at $3.32 billion compared to analyst predictions of $2.39 billion.
M&T Bank boasted a net margin of 26.30% and exhibited a return on equity of 13.26% during this quarter, demonstrating sound financial performance and efficient use of shareholder investments.
Analysts anticipate that M&T Bank will post earnings per share (EPS) of $16.36 for the current fiscal year based on these positive quarterly results.
It is important to note that investment ratings and analyses are subject to change as market conditions fluctuate or new information becomes available. Investors are encouraged to consider multiple sources and consult with their financial advisors before making investment decisions related to M&T Bank or any other financial institution.
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Analyzing Analyst Reports and Insider Trading at M&T Bank
M&T Bank, a well-known financial institution, has recently been subject to numerous reports and analyses by various analysts. SpectralCast, for instance, reiterated its “maintains” rating on shares of M&T Bank in a research note issued on June 14th. Similarly, the Royal Bank of Canada lowered their target price from $175.00 to $160.00 but maintained an “outperform” rating for the company in their September 11th research report.
On the other hand, Morgan Stanley raised their price target on M&T Bank shares from $155.00 to $157.00 and labeled the stock as “overweight” in their research report released earlier this month. JPMorgan Chase & Co., in another analysis, boosted their price objective from $133.00 to $147.00 back in June.
Comparatively, Citigroup took a different stance, reducing their target price on M&T Bank shares from $150.00 to $145.00 according to a research report filed on June 26th. The overall consensus is that one analyst rated the stock as a sell while eight analysts assigned it a hold rating and seven gave it a buy rating.
According to data obtained from Bloomberg.com, the average rating for M&T Bank’s stock is currently listed as “Hold,” with an average target price of $157.41.
In additional news surrounding M&T Bank, it has been reported that Executive Vice President (EVP) Doris P. Meister recently sold multiple shares of the company’s stock in separate transactions spread across different dates including Friday, August 11th and Thursday, July 27th.
The EVP sold 1,000 shares on both occasions at an average price of $136.02 – totaling $136,020 per transaction – bringing her total sales value to $272,040 combined. Following these sales, Meister now holds 7,055 shares in the company, equating to a total value of $959,621.10.
The transactions were disclosed by the SEC (Securities and Exchange Commission) and can be accessed through the provided hyperlinks. It is also worth noting that within the same time frame, Meister sold an additional 1,334 shares of M&T Bank stock for an average price of $140.43 per share. This brought her total earnings from that particular transaction to $187,333.62.
Moreover, it was revealed that insiders sold 55,876 shares of M&T Bank’s stock valued at approximately $7,819,234 during the last quarter. Currently, corporate insiders own around 0.97% of the company’s stocks.
These recent financial movements within M&T Bank have raised questions among investors and market observers about its future trajectory. As perplexity surrounding these developments continues to grow, it remains to be seen how they will impact both the short-term and long-term performance of M&T Bank as a whole.
September 30th, 2023
