Banc of California (NYSE:BANC) Shares Gap Down on Disappointing Earnings

Banc of California, Inc. (NYSE:BANC)’s stock price gapped down before the market opened on Tuesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $14.68, but opened at $13.46. Banc of California shares last traded at $13.50, with a volume of 696,290 shares changing hands.

The bank reported $0.10 earnings per share for the quarter, missing the consensus estimate of $0.19 by ($0.09). The firm had revenue of $492.38 million during the quarter, compared to the consensus estimate of $271.42 million. Banc of California had a negative net margin of 21.99% and a positive return on equity of 2.27%. During the same quarter in the prior year, the business earned $0.32 earnings per share.

Banc of California Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Monday, July 1st. Shareholders of record on Friday, June 14th were paid a dividend of $0.10 per share. The ex-dividend date of this dividend was Friday, June 14th. This represents a $0.40 annualized dividend and a yield of 3.09%. Banc of California’s payout ratio is -12.01%.

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on BANC. Wells Fargo & Company lowered their price objective on shares of Banc of California from $16.00 to $15.00 and set an “equal weight” rating on the stock in a research note on Tuesday, July 9th. Truist Financial raised their target price on shares of Banc of California from $13.00 to $15.00 and gave the stock a “hold” rating in a report on Wednesday. Stephens decreased their target price on shares of Banc of California from $15.00 to $14.00 and set an “equal weight” rating for the company in a report on Wednesday. Wedbush reiterated a “neutral” rating and issued a $14.00 target price on shares of Banc of California in a report on Wednesday. Finally, Barclays decreased their target price on shares of Banc of California from $15.00 to $14.00 and set an “equal weight” rating for the company in a report on Wednesday. One equities research analyst has rated the stock with a sell rating, five have issued a hold rating and three have given a buy rating to the stock. According to MarketBeat.com, the stock has an average rating of “Hold” and a consensus target price of $15.69.

Hedge Funds Weigh In On Banc of California

A number of institutional investors have recently modified their holdings of BANC. Fifth Third Bancorp raised its position in shares of Banc of California by 146.3% in the second quarter. Fifth Third Bancorp now owns 2,143 shares of the bank’s stock valued at $27,000 after purchasing an additional 1,273 shares during the period. Riverview Trust Co bought a new position in shares of Banc of California in the first quarter valued at approximately $29,000. Future Financial Wealth Managment LLC bought a new position in shares of Banc of California in the first quarter valued at approximately $30,000. Lee Financial Co bought a new position in shares of Banc of California in the fourth quarter valued at approximately $40,000. Finally, Longfellow Investment Management Co. LLC bought a new position in shares of Banc of California in the fourth quarter valued at approximately $41,000. Institutional investors own 86.88% of the company’s stock.

Banc of California Stock Performance

The company has a debt-to-equity ratio of 0.32, a current ratio of 0.89 and a quick ratio of 0.89. The stock’s 50-day moving average price is $13.37 and its 200 day moving average price is $13.84.

Banc of California Company Profile

Banc of California, Inc operates as the bank holding company for Banc of California that provides various banking products and services in California. The company offers deposit products, such as checking, savings, money market, demand, and time deposits; certificates of deposit; retirement accounts; and safe deposit boxes.