FDx Advisors Inc., a financial services firm, has recently reported purchasing a new stake in HSBC Holdings plc (NYSE:HSBC) during the second quarter of the year. The firm acquired 5,941 shares of HSBC’s stock, with an approximate value of $235,000, according to its most recent Form 13F filing with the Securities & Exchange Commission.
HSBC is a prominent global banking and financial services provider that operates in over 60 countries. With a strong presence in both developed and emerging markets, the company offers a wide range of banking products and services to individual and corporate clients.
In addition to this investment activity, HSBC recently declared its quarterly dividend payment. On September 21st, stockholders as of August 11th received a dividend of $0.50 per share. This dividend represents an annualized payout of $2.00 per share and a dividend yield of 5.07%. The ex-dividend date for this payment was on August 10th.
HSBC’s payout ratio currently stands at 33.39%. The payout ratio is calculated by dividing the total dividends paid by the company in a given period by its net income over the same period. It gives investors an idea of how much profit is distributed as dividends versus being reinvested back into the company.
These recent developments highlight increased investor interest in HSBC as well as the company’s commitment to rewarding its shareholders through regular dividend payments. Dividends are often seen as a sign of financial stability and confidence in future earnings prospects.
The purchase of HSBC shares by FDx Advisors Inc. further demonstrates their belief in the long-term growth potential of the company. As one of the world’s largest banks, HSBC continues to navigate through challenges while focusing on expanding its customer base and delivering sustainable returns to shareholders.
Please note that this article references information from October 2, 2023.
HSBC Stocks Gain Attention from Hedge Funds and Institutional Investors Amid Positive Ratings and Stable Performance
In recent months, there has been a notable increase in hedge funds buying and selling shares of HSBC, a leading financial services provider. US Bancorp DE, for instance, saw a 5.6% rise in its stake in HSBC during the first quarter, now owning 91,878 shares worth $3,136,000 after purchasing an additional 4,836 shares in the last quarter alone. Level Four Advisory Services LLC also boosted its stake by 3.3% during the same period, now owning 30,757 shares valued at $1,050,000.
Meanwhile, SYSTM Wealth Solutions LLC entered the marketplace by acquiring a new position in HSBC worth about $261,000 during the first quarter. American Century Companies Inc., on the other hand, increased its position in HSBC by 9.6%, holding onto 436,319 shares valued at $14,889,000 after purchasing an additional 38,202 shares.
Schechter Investment Advisors LLC experienced remarkable growth with a 154.1% increase in their holdings of HSBC during the fourth quarter. They now own 21,806 shares worth $679,000 after buying an additional 13,223 shares.
It is worth noting that hedge funds and other institutional investors collectively possess approximately 1.48% of HSBC’s stock.
In response to these developments among hedge funds and institutional investors buying and selling HSBC shares as of late,JPMorgan Chase & Co’s brokerages upgraded their rating on HSBC from “neutral” to “overweight” on August 7th.StockNews.com had previously labeled it as “hold”. In addition,Berenberg Bank raised their target price for HSBC from GBX780 ($9.52) to GBX820 ($10.01)on August3rd.
Similarly,CICC Research upgraded their rating onHSBC from “market perform”to “outperform” on June14th,while Royal Bank of Canada increased their price objective for HSBC fromGBX 800 ($9.77) to GBX825 ($10.07) on August 14th overall,four equities research analysts assigned a hold rating, whereas seven bestowed a buy rating to HSBC’s stock.
As of October 2,the shares of HSBC opened at $39.46.The stock has demonstrated stability with a 50-day moving average price of $39.16 and a 200-day moving average price of $37.97.HSBC’s one year low is$24.77and its one year high is$42.47.The company currently holds debt-to-equity ratio of0.57,a quick ratioof0.98 and current ratio of0.90.HSBC possesses a market capitalization worth$158.12 billion,and trades at a price-to-earnings ratio (P/E)of6.65.The PEG (price/earnings growth)ratio stands at0.24, indicating its potential for future growth.In terms of risk assessment, the stock exhibits low volatility with a betaof0.59.
The most recent earnings results released by HSBC on August1strevealed an impressive performance.Looking at the financial figures,the company reported earnings per share (EPS)of $1.70 for the quarter.This figure surpassed analysts’ consensus estimates by $0.20 per share.Moreover,HSBC recorded a net marginof26.43%and a return on equity (ROE)of12.19%.In terms of revenue generated,HSCB earned $16.71 billion during this quarter, exceeding analyst expectations which predicted revenue around $15 .87 billion.
Based on these data points from HSBC’s financials, analysts forecast that the company will achieve an EPSof7 .1for the current fiscal year.
In conclusion, HSBC has been the subject of increased buying and selling activity by hedge funds and institutional investors. The endorsement from brokerages and positive ratings from equities research analysts further contribute to the positive sentiment surrounding HSBC’s stock. Despite market fluctuations, HSBC has managed to demonstrate stability, presenting itself as an attractive investment option for those seeking steady returns.