Bank of N.T. Butterfield & Son (NYSE:NTB) Sets New 1-Year High – Should You Buy?

Bank of N.T. Butterfield & Son Limited (The) (NYSE:NTB)’s stock price reached a new 52-week high during trading on Wednesday . The stock traded as high as $55.97 and last traded at $55.9310, with a volume of 5457 shares. The stock had previously closed at $54.39.

Analysts Set New Price Targets

NTB has been the topic of several research reports. Wells Fargo & Company boosted their price objective on shares of Bank of N.T. Butterfield & Son from $50.00 to $57.00 and gave the stock an “equal weight” rating in a research note on Thursday, February 12th. Keefe, Bruyette & Woods boosted their price objective on shares of Bank of N.T. Butterfield & Son from $52.00 to $58.00 and gave the stock a “market perform” rating in a research note on Wednesday, February 11th. Weiss Ratings raised shares of Bank of N.T. Butterfield & Son from a “buy (b+)” rating to a “buy (a-)” rating in a research note on Monday. Finally, Zacks Research raised shares of Bank of N.T. Butterfield & Son from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, February 11th. Two investment analysts have rated the stock with a Strong Buy rating, one has assigned a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat, the stock has an average rating of “Buy” and an average price target of $55.00.

Bank of N.T. Butterfield & Son Price Performance

The firm’s 50 day moving average price is $51.94 and its 200-day moving average price is $48.65. The stock has a market cap of $2.34 billion, a P/E ratio of 10.17 and a beta of 0.51.

Bank of N.T. Butterfield & Son (NYSE:NTB) last issued its earnings results on Monday, February 9th. The bank reported $1.54 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.46 by $0.08. The firm had revenue of $158.90 million for the quarter, compared to the consensus estimate of $153.49 million. Bank of N.T. Butterfield & Son had a net margin of 29.00% and a return on equity of 21.72%. During the same quarter in the prior year, the firm posted $1.34 earnings per share. On average, analysts expect that Bank of N.T. Butterfield & Son Limited will post 4.4 earnings per share for the current year.

Bank of N.T. Butterfield & Son Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, March 9th. Stockholders of record on Monday, February 23rd were paid a $0.50 dividend. This represents a $2.00 annualized dividend and a dividend yield of 3.6%. The ex-dividend date was Monday, February 23rd. Bank of N.T. Butterfield & Son’s dividend payout ratio is currently 36.50%.

Bank of N.T. Butterfield & Son declared that its Board of Directors has initiated a stock repurchase program on Monday, February 9th that permits the company to repurchase $3.00 million in outstanding shares. This repurchase authorization permits the bank to reacquire shares of its stock through open market purchases. Stock repurchase programs are usually an indication that the company’s board believes its stock is undervalued.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in NTB. Millennium Management LLC lifted its stake in shares of Bank of N.T. Butterfield & Son by 119.4% in the third quarter. Millennium Management LLC now owns 395,731 shares of the bank’s stock worth $16,985,000 after buying an additional 215,397 shares in the last quarter. Assenagon Asset Management S.A. lifted its stake in shares of Bank of N.T. Butterfield & Son by 420.7% in the third quarter. Assenagon Asset Management S.A. now owns 255,544 shares of the bank’s stock worth $10,968,000 after buying an additional 206,464 shares in the last quarter. Lord Abbett & CO. LLC bought a new position in shares of Bank of N.T. Butterfield & Son in the fourth quarter worth approximately $9,579,000. LSV Asset Management lifted its stake in shares of Bank of N.T. Butterfield & Son by 26.5% in the fourth quarter. LSV Asset Management now owns 823,925 shares of the bank’s stock worth $41,048,000 after buying an additional 172,666 shares in the last quarter. Finally, UBS Group AG lifted its stake in shares of Bank of N.T. Butterfield & Son by 380.1% in the fourth quarter. UBS Group AG now owns 196,771 shares of the bank’s stock worth $9,803,000 after buying an additional 155,784 shares in the last quarter. Institutional investors own 62.73% of the company’s stock.

Bank of N.T. Butterfield & Son Company Profile

Bank of N.T. Butterfield & Son Limited, commonly known as Butterfield, is a Bermuda-based provider of banking and wealth management services. Founded in 1858, the firm has grown from a local colonial bank into an international financial institution. With a focus on personalized client service, Butterfield offers a comprehensive suite of banking and fiduciary solutions to private individuals, families, and corporate clients.

The bank’s core activities include private banking, retail and commercial lending, trust and corporate administration, and fund services.