BankUnited (NYSE:BKU) Releases Quarterly Earnings Results, Misses Estimates By $0.03 EPS

BankUnited (NYSE:BKU) posted its earnings results on Wednesday. The financial services provider reported $0.97 EPS for the quarter, missing analysts’ consensus estimates of $1.00 by ($0.03), Briefing.com reports. BankUnited had a net margin of 14.46% and a return on equity of 9.11%. During the same quarter last year, the firm posted $0.91 earnings per share.

BankUnited Price Performance

Shares of NYSE BKU opened at $48.03 on Wednesday. The company has a current ratio of 0.82, a quick ratio of 0.82 and a debt-to-equity ratio of 0.58. The stock has a market cap of $3.49 billion, a price-to-earnings ratio of 13.38 and a beta of 1.17. The company’s 50-day moving average price is $47.63 and its 200 day moving average price is $47.02. BankUnited has a 52 week low of $34.79 and a 52 week high of $52.11.

BankUnited Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, July 31st. Investors of record on Friday, July 10th will be given a $0.33 dividend. The ex-dividend date is Friday, July 10th. This represents a $1.32 annualized dividend and a dividend yield of 2.7%. BankUnited’s payout ratio is currently 36.77%.

Analyst Upgrades and Downgrades

A number of research analysts recently issued reports on the company. Zacks Research upgraded BankUnited from a “hold” rating to a “strong-buy” rating in a report on Monday, June 22nd. Citigroup cut BankUnited from a “neutral” rating to a “sell” rating and decreased their price objective for the company from $50.00 to $45.00 in a research note on Tuesday, June 30th. Wells Fargo & Company upped their target price on shares of BankUnited from $50.00 to $55.00 and gave the stock an “overweight” rating in a research note on Monday, March 30th. Raymond James Financial reiterated an “outperform” rating on shares of BankUnited in a report on Wednesday, April 22nd. Finally, Keefe, Bruyette & Woods reduced their price objective on shares of BankUnited from $55.00 to $50.00 and set a “market perform” rating on the stock in a report on Thursday, April 23rd. One equities research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, four have given a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $52.73.

Key Headlines Impacting BankUnited

Here are the key news stories impacting BankUnited this week:

• Positive Sentiment: BankUnited’s quarterly EPS improved year over year, rising to $0.97 from $0.91, showing continued earnings growth even though results missed estimates.
• Positive Sentiment: Zacks Research still maintains a Strong-Buy rating on BankUnited and kept longer-term earnings forecasts above the current-year consensus, suggesting analysts remain constructive on the company’s outlook.
• Neutral Sentiment: The company reported $71 million in net income and released its quarterly press release and slide deck alongside earnings, providing investors with updated operating details. Article Title
• Negative Sentiment: The biggest negative catalyst is the earnings miss versus analyst expectations, which can weigh on investor sentiment and raises questions about near-term execution. Article Title

Insider Buying and Selling

In related news, Director John N. Digiacomo sold 1,000 shares of the stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $45.97, for a total transaction of $45,970.00. Following the transaction, the director directly owned 15,027 shares in the company, valued at approximately $690,791.19. This represents a 6.24% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, insider Jay D. Richards sold 4,000 shares of the company’s stock in a transaction dated Monday, June 15th. The shares were sold at an average price of $48.67, for a total transaction of $194,680.00. Following the transaction, the insider directly owned 40,502 shares of the company’s stock, valued at approximately $1,971,232.34. This represents a 8.99% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 1.00% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On BankUnited

A number of large investors have recently bought and sold shares of BKU. Fiduciary Trust Co purchased a new stake in BankUnited during the third quarter valued at about $226,000. Cibc World Markets Corp purchased a new position in shares of BankUnited in the 4th quarter worth about $223,000. PharVision Advisers LLC purchased a new position in shares of BankUnited in the 3rd quarter worth about $217,000. Legacy Advisors LLC acquired a new position in shares of BankUnited in the 3rd quarter valued at about $206,000. Finally, Abel Hall LLC purchased a new stake in shares of BankUnited during the 4th quarter worth about $205,000. Hedge funds and other institutional investors own 99.70% of the company’s stock.

BankUnited Company Profile

BankUnited, Inc is a bank holding company based in Miami Lakes, Florida, operating through its subsidiary BankUnited, National Association. The company provides a broad range of commercial banking products and services, including deposit accounts, commercial lending and treasury management. It serves middle-market and small-business clients, offering tailored financing solutions across a variety of industry sectors.

The bank’s lending portfolio includes commercial and industrial loans, commercial real estate loans and construction financing, as well as residential mortgage lending.