Live Oak Bancshares (NYSE:LOB) Reaches New 1-Year High – Time to Buy?

Live Oak Bancshares, Inc. (NYSE:LOB) shares hit a new 52-week high on Monday . The company traded as high as $43.86 and last traded at $43.7780, with a volume of 286396 shares. The stock had previously closed at $42.80.

Wall Street Analyst Weigh In

LOB has been the subject of a number of research analyst reports. TD Cowen increased their price target on shares of Live Oak Bancshares from $47.00 to $49.00 and gave the stock a “buy” rating in a research report on Monday, July 27th. Piper Sandler increased their price target on Live Oak Bancshares from $40.00 to $41.00 and gave the company a “neutral” rating in a report on Monday, April 27th. Keefe, Bruyette & Woods lifted their price objective on Live Oak Bancshares from $45.00 to $47.00 and gave the stock an “outperform” rating in a research note on Friday, July 24th. Zacks Research upgraded shares of Live Oak Bancshares from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, July 21st. Finally, Cantor Fitzgerald raised their target price on Live Oak Bancshares from $41.00 to $44.00 and gave the stock a “neutral” rating in a research report on Wednesday, July 15th. One investment analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and three have given a Hold rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $46.20.

Live Oak Bancshares Stock Performance

The firm has a market capitalization of $2.03 billion, a price-to-earnings ratio of 15.41 and a beta of 1.87. The business’s 50-day moving average is $40.07 and its two-hundred day moving average is $37.94.

Live Oak Bancshares (NYSE:LOB) last announced its earnings results on Wednesday, July 22nd. The company reported $0.74 earnings per share for the quarter, topping analysts’ consensus estimates of $0.64 by $0.10. The firm had revenue of $156.15 million during the quarter. Live Oak Bancshares had a net margin of 12.68% and a return on equity of 11.95%. Analysts forecast that Live Oak Bancshares, Inc. will post 3.07 EPS for the current year.

Live Oak Bancshares Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Monday, June 15th. Stockholders of record on Tuesday, June 2nd were paid a dividend of $0.03 per share. The ex-dividend date was Tuesday, June 2nd. This represents a $0.12 annualized dividend and a dividend yield of 0.3%. Live Oak Bancshares’s payout ratio is currently 4.23%.

Insider Activity

In related news, Director David G. Lucht sold 3,000 shares of the firm’s stock in a transaction dated Monday, July 27th. The shares were sold at an average price of $42.13, for a total value of $126,390.00. Following the completion of the sale, the director directly owned 15,623 shares in the company, valued at approximately $658,196.99. This trade represents a 16.11% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director William L. Williams III sold 8,400 shares of Live Oak Bancshares stock in a transaction dated Wednesday, July 1st. The stock was sold at an average price of $41.61, for a total value of $349,524.00. Following the transaction, the director owned 1,122,526 shares of the company’s stock, valued at $46,708,306.86. The trade was a 0.74% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders have sold 25,900 shares of company stock valued at $1,069,022. 22.40% of the stock is owned by company insiders.

Hedge Funds Weigh In On Live Oak Bancshares

Several institutional investors and hedge funds have recently modified their holdings of LOB. NewEdge Wealth LLC acquired a new stake in shares of Live Oak Bancshares during the 4th quarter worth $43,261,000. William Blair Investment Management LLC bought a new position in shares of Live Oak Bancshares in the 4th quarter valued at $22,278,000. Millennium Management LLC grew its holdings in Live Oak Bancshares by 655.6% during the 1st quarter. Millennium Management LLC now owns 687,885 shares of the company’s stock worth $18,339,000 after acquiring an additional 596,841 shares during the last quarter. Loomis Sayles & Co. L P bought a new position in Live Oak Bancshares during the 4th quarter worth $19,181,000. Finally, Ameriprise Financial Inc. lifted its stake in shares of Live Oak Bancshares by 366.9% in the third quarter. Ameriprise Financial Inc. now owns 519,957 shares of the company’s stock worth $18,313,000 after acquiring an additional 408,591 shares during the period. 63.95% of the stock is currently owned by institutional investors and hedge funds.

About Live Oak Bancshares

Live Oak Bancshares, Inc is a bank holding company headquartered in Wilmington, North Carolina, and operates through its subsidiary Live Oak Banking Company. Founded in 2008, the company leverages a branchless, technology-driven platform to deliver specialty lending and deposit products across the United States. Live Oak Bancshares completed its initial public offering in February 2018 and trades on the NYSE under the ticker symbol LOB.

The company’s primary focus is on originating and servicing commercial loans for small businesses in select industry verticals.