City (NASDAQ:CHCO) Sees Large Volume Increase – What’s Next?

City Holding Company (NASDAQ:CHCO) saw unusually-strong trading volume on Monday . 71,500 shares changed hands during mid-day trading, a decline of 36% from the previous session’s volume of 111,032 shares.The stock last traded at $132.12 and had previously closed at $134.02.

Analyst Upgrades and Downgrades

Several brokerages have recently issued reports on CHCO. Hovde Group raised their price target on shares of City from $133.00 to $135.00 and gave the stock a “market perform” rating in a research note on Tuesday, April 28th. Weiss Ratings reiterated a “buy (b)” rating on shares of City in a research note on Wednesday, May 27th. One analyst has rated the stock with a Buy rating and five have issued a Hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average price target of $134.25.

City Stock Performance

The company has a debt-to-equity ratio of 0.19, a current ratio of 0.84 and a quick ratio of 0.84. The firm has a market capitalization of $1.87 billion, a PE ratio of 14.61 and a beta of 0.49. The company’s fifty day simple moving average is $125.79 and its 200 day simple moving average is $123.84.

City (NASDAQ:CHCO) last posted its quarterly earnings results on Thursday, April 23rd. The bank reported $2.20 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.17 by $0.03. The company had revenue of $79.25 million for the quarter, compared to analyst estimates of $79.25 million. City had a net margin of 32.72% and a return on equity of 16.58%. As a group, equities research analysts expect that City Holding Company will post 8.99 EPS for the current fiscal year.

City Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, July 31st. Shareholders of record on Wednesday, July 15th will be issued a dividend of $0.87 per share. The ex-dividend date of this dividend is Wednesday, July 15th. This represents a $3.48 dividend on an annualized basis and a yield of 2.6%. City’s payout ratio is presently 38.33%.

City announced that its Board of Directors has initiated a share repurchase plan on Wednesday, March 25th that allows the company to buyback 1,000,000 outstanding shares. This buyback authorization allows the bank to reacquire shares of its stock through open market purchases. Shares buyback plans are often a sign that the company’s board of directors believes its stock is undervalued.

Insider Buying and Selling

In related news, CEO Charles R. Hageboeck sold 1,858 shares of the business’s stock in a transaction on Friday, May 29th. The stock was sold at an average price of $124.40, for a total transaction of $231,135.20. Following the sale, the chief executive officer directly owned 48,483 shares in the company, valued at approximately $6,031,285.20. The trade was a 3.69% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CFO David L. Bumgarner sold 1,161 shares of the stock in a transaction dated Friday, May 22nd. The stock was sold at an average price of $124.50, for a total value of $144,544.50. Following the sale, the chief financial officer directly owned 10,666 shares in the company, valued at $1,327,917. This trade represents a 9.82% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have bought 455 shares of company stock worth $57,018 and have sold 12,975 shares worth $1,622,853. Corporate insiders own 1.75% of the company’s stock.

Institutional Investors Weigh In On City

Institutional investors and hedge funds have recently modified their holdings of the company. Kestra Advisory Services LLC purchased a new position in City during the fourth quarter valued at approximately $29,000. First Horizon Corp lifted its stake in City by 146.0% in the 4th quarter. First Horizon Corp now owns 246 shares of the bank’s stock worth $29,000 after purchasing an additional 146 shares in the last quarter. Quarry LP purchased a new stake in City in the 3rd quarter worth approximately $32,000. Simplex Trading LLC bought a new position in City in the 4th quarter valued at $36,000. Finally, Geneos Wealth Management Inc. boosted its holdings in City by 113.1% in the 2nd quarter. Geneos Wealth Management Inc. now owns 373 shares of the bank’s stock valued at $46,000 after purchasing an additional 198 shares during the period. 72.43% of the stock is owned by hedge funds and other institutional investors.

City Company Profile

City Holding Company (NASDAQ:CHCO) is a bank holding company headquartered in Morgantown, West Virginia. Through its wholly owned subsidiary, City National Bank, the company offers a full range of banking and financial services to individuals, businesses and nonprofit organizations. Its operations emphasize community-oriented banking, combining local decision-making with access to digital banking platforms.

The company’s product portfolio includes deposit accounts such as checking, savings and money market accounts, as well as consumer and commercial lending solutions ranging from personal loans and mortgages to commercial real estate and equipment financing.