Analysts Set First Merchants Corporation (NASDAQ:FRME) Target Price at $47.75

Shares of First Merchants Corporation (NASDAQ:FRME) have received an average rating of “Hold” from the six ratings firms that are covering the firm, MarketBeat.com reports. Four research analysts have rated the stock with a hold recommendation and two have given a buy recommendation to the company. The average 1 year target price among brokers that have covered the stock in the last year is $47.75.

A number of equities research analysts have commented on FRME shares. Weiss Ratings restated a “hold (c+)” rating on shares of First Merchants in a research note on Monday, December 29th. Piper Sandler boosted their price target on First Merchants from $46.00 to $49.00 and gave the stock an “overweight” rating in a report on Wednesday, February 4th. Finally, Zacks Research cut shares of First Merchants from a “strong-buy” rating to a “hold” rating in a research note on Monday, December 1st.

First Merchants Price Performance

NASDAQ FRME opened at $38.18 on Monday. The business’s fifty day moving average is $39.36 and its 200 day moving average is $38.23. First Merchants has a fifty-two week low of $33.13 and a fifty-two week high of $43.22. The company has a debt-to-equity ratio of 0.35, a quick ratio of 0.90 and a current ratio of 0.91. The company has a market capitalization of $2.42 billion, a PE ratio of 9.81 and a beta of 0.93.

First Merchants (NASDAQ:FRME) last issued its quarterly earnings results on Monday, January 26th. The bank reported $0.98 EPS for the quarter, topping analysts’ consensus estimates of $0.96 by $0.02. First Merchants had a return on equity of 9.58% and a net margin of 21.49%.The business had revenue of $178.36 million during the quarter, compared to analysts’ expectations of $172.89 million. During the same quarter in the prior year, the business posted $1.10 earnings per share. Sell-side analysts predict that First Merchants will post 3.79 earnings per share for the current year.

First Merchants Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, March 20th. Stockholders of record on Friday, March 6th were given a dividend of $0.36 per share. The ex-dividend date was Friday, March 6th. This represents a $1.44 dividend on an annualized basis and a dividend yield of 3.8%. First Merchants’s dividend payout ratio (DPR) is presently 37.02%.

Insider Activity

In related news, VP Larry W. Myers sold 5,000 shares of the business’s stock in a transaction dated Thursday, February 26th. The stock was sold at an average price of $41.50, for a total value of $207,500.00. Following the sale, the vice president directly owned 109,491 shares in the company, valued at approximately $4,543,876.50. The trade was a 4.37% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Eva D. Scurlock sold 3,227 shares of the stock in a transaction that occurred on Friday, February 6th. The shares were sold at an average price of $42.29, for a total value of $136,469.83. Following the transaction, the insider owned 20,063 shares of the company’s stock, valued at $848,464.27. This represents a 13.86% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders own 1.37% of the company’s stock.

Hedge Funds Weigh In On First Merchants

Several institutional investors have recently bought and sold shares of the business. Northwestern Mutual Wealth Management Co. lifted its holdings in shares of First Merchants by 27,081,812.5% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 15,165,871 shares of the bank’s stock valued at $568,417,000 after acquiring an additional 15,165,815 shares during the last quarter. Capital International Investors increased its stake in First Merchants by 64.4% during the third quarter. Capital International Investors now owns 1,346,300 shares of the bank’s stock worth $50,756,000 after acquiring an additional 527,545 shares during the last quarter. FJ Capital Management LLC raised its position in First Merchants by 115.0% during the fourth quarter. FJ Capital Management LLC now owns 633,668 shares of the bank’s stock valued at $23,750,000 after purchasing an additional 338,950 shares during the period. Hotchkis & Wiley Capital Management LLC raised its position in First Merchants by 252.0% during the third quarter. Hotchkis & Wiley Capital Management LLC now owns 321,550 shares of the bank’s stock valued at $12,122,000 after purchasing an additional 230,192 shares during the period. Finally, Qube Research & Technologies Ltd raised its holdings in First Merchants by 169.3% during the 2nd quarter. Qube Research & Technologies Ltd now owns 261,904 shares of the bank’s stock valued at $10,031,000 after buying an additional 164,664 shares during the period. Institutional investors own 73.92% of the company’s stock.

First Merchants Company Profile

First Merchants Corporation, through its subsidiary First Merchants Bank, offers a comprehensive suite of banking and financial services to individuals, businesses and public sector clients. The company’s core business activities include retail and commercial banking, lending, treasury and cash management, and wealth advisory services. With a focus on relationship banking, First Merchants seeks to deliver tailored solutions for deposit accounts, loan financing and other credit products.

On the consumer side, First Merchants provides checking and savings accounts, certificates of deposit, personal and mortgage loans, and electronic banking conveniences.