Zacks Investment Research Lowers Veritex (VBTX) to Sell

Zacks Investment Research lowered shares of Veritex (NASDAQ:VBTX) from a hold rating to a sell rating in a research note issued to investors on Friday, July 27th.

According to Zacks, “Veritex Holdings, Inc. is a bank holding company. The Bank, through its wholly owned subsidiary, Veritex Community Bank conducts its banking activities. Veritex Community Bank provides various commercial banking services to individual and corporate customers. The company offers a range of deposit accounts, loans and a range of online banking solutions. It offers debit cards, night depository services, direct deposits, cashier’s checks, and letters of credit; cash management deposit products, as well as treasury management services. Veritex Holdings, Inc. is headquartered in Dallas, Texas. “

Other analysts have also recently issued reports about the stock. BidaskClub upgraded shares of Veritex from a hold rating to a buy rating in a research note on Tuesday, May 22nd. Sandler O’Neill reiterated a buy rating and issued a $33.00 target price on shares of Veritex in a research note on Wednesday, April 25th. One equities research analyst has rated the stock with a sell rating, one has given a hold rating and three have issued a buy rating to the company. The company presently has an average rating of Hold and an average price target of $34.00.

Shares of NASDAQ:VBTX traded down $0.26 during trading on Friday, reaching $30.50. The stock had a trading volume of 206,705 shares, compared to its average volume of 283,881. Veritex has a one year low of $23.84 and a one year high of $33.08. The stock has a market capitalization of $743.84 million, a P/E ratio of 22.78, a P/E/G ratio of 1.66 and a beta of 1.42. The company has a debt-to-equity ratio of 0.25, a quick ratio of 1.02 and a current ratio of 1.02.

Veritex (NASDAQ:VBTX) last released its quarterly earnings results on Tuesday, July 24th. The financial services provider reported $0.43 earnings per share for the quarter, meeting analysts’ consensus estimates of $0.43. Veritex had a net margin of 23.09% and a return on equity of 6.53%. The business had revenue of $30.22 million for the quarter, compared to analysts’ expectations of $29.60 million. research analysts forecast that Veritex will post 1.86 EPS for the current year.

In related news, CEO C Malcolm Holland III sold 3,750 shares of Veritex stock in a transaction that occurred on Friday, June 1st. The shares were sold at an average price of $30.95, for a total value of $116,062.50. Following the completion of the sale, the chief executive officer now directly owns 96,002 shares in the company, valued at approximately $2,971,261.90. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. 4.70% of the stock is owned by company insiders.

A number of hedge funds and other institutional investors have recently made changes to their positions in VBTX. Wells Fargo & Company MN lifted its stake in Veritex by 57.4% during the 4th quarter. Wells Fargo & Company MN now owns 28,649 shares of the financial services provider’s stock valued at $790,000 after acquiring an additional 10,445 shares during the period. BlackRock Inc. lifted its stake in Veritex by 13.9% during the 4th quarter. BlackRock Inc. now owns 916,772 shares of the financial services provider’s stock valued at $25,293,000 after acquiring an additional 111,791 shares during the period. Geode Capital Management LLC lifted its stake in Veritex by 8.1% during the 4th quarter. Geode Capital Management LLC now owns 146,525 shares of the financial services provider’s stock valued at $4,042,000 after acquiring an additional 10,921 shares during the period. Two Sigma Advisers LP lifted its stake in Veritex by 86.3% during the 4th quarter. Two Sigma Advisers LP now owns 23,100 shares of the financial services provider’s stock valued at $637,000 after acquiring an additional 10,700 shares during the period. Finally, Cornerstone Capital Management Holdings LLC. acquired a new stake in Veritex during the 4th quarter valued at approximately $179,000. Institutional investors and hedge funds own 70.02% of the company’s stock.

About Veritex

Veritex Holdings, Inc operates as the holding company for Veritex Community Bank that provides various commercial banking products and services to small and medium-sized businesses, and professionals. The company's deposit products include checking, demand, savings, money market, and time deposit accounts, as well as commercial deposit and financial institution money market accounts.

See Also: Price to Earnings Ratio (PE), For Valuing Stocks

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