Cadence Bank (NYSE:CADE) Stock Price Down 3.8% – What’s Next?

Cadence Bank (NYSE:CADE)’s share price was down 3.8% on Thursday . The company traded as low as $43.66 and last traded at $44.6780. Approximately 1,503,606 shares changed hands during trading, a decline of 46% from the average daily volume of 2,782,746 shares. The stock had previously closed at $46.46.

Key Stories Impacting Cadence Bank

Here are the key news stories impacting Cadence Bank this week:

• Positive Sentiment: Q4 earnings beat and operational strength — Cadence reported Q4 EPS of $0.85 vs. consensus $0.79 and revenue of $528.4M, with management highlighting solid loan and deposit growth; these results underpin the recent rally. Read More.
• Positive Sentiment: Dividend announcement lifted the stock to a 12?month high — management’s dividend increase boosted income-investor interest and helped drive a near-term valuation rerating. Read More.
• Neutral Sentiment: Company press release / full results available — the official 10?Q/press release provides detail on credit trends, margins and capital that investors will parse for sustainability of loan growth and payout levels. Read More.
• Neutral Sentiment: Sector context: regional-bank strategy debate — commentary from peers (Huntington) on regional vs. national strategy is shaping investor views on growth opportunities and M&A, which could influence Cadence’s strategic premium. Read More.
• Negative Sentiment: Profit-taking and intraday pullback — despite the beat and dividend, the stock pulled back on reports that traders were booking gains after the run-up; short?term volatility increased. Read More.
• Negative Sentiment: Valuation scrutiny — some coverage highlights a P/E premium versus discounted?cash?flow measures, so investors are weighing earnings strength against a potentially rich multiple. Read More.

Analysts Set New Price Targets

A number of research analysts recently issued reports on CADE shares. Keefe, Bruyette & Woods downgraded Cadence Bank from a “moderate buy” rating to a “hold” rating and boosted their price target for the company from $41.00 to $49.00 in a report on Monday, November 3rd. Weiss Ratings restated a “hold (c+)” rating on shares of Cadence Bank in a report on Wednesday. Morgan Stanley lowered Cadence Bank from an “overweight” rating to a “sell” rating in a research note on Tuesday, October 28th. Stephens downgraded shares of Cadence Bank from an “overweight” rating to an “equal weight” rating in a research report on Tuesday, October 28th. Finally, Piper Sandler set a $40.00 target price on shares of Cadence Bank and gave the stock a “neutral” rating in a research report on Monday, October 27th. Two research analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company’s stock. According to data from MarketBeat.com, Cadence Bank presently has an average rating of “Hold” and an average target price of $42.33.

Cadence Bank Stock Down 1.7%

The company has a market capitalization of $7.82 billion, a P/E ratio of 15.23 and a beta of 0.95. The company has a 50-day moving average of $42.53 and a two-hundred day moving average of $38.75. The company has a quick ratio of 0.82, a current ratio of 0.86 and a debt-to-equity ratio of 0.15.

Cadence Bank (NYSE:CADE) last posted its quarterly earnings data on Thursday, January 22nd. The company reported $0.85 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.79 by $0.06. Cadence Bank had a return on equity of 10.16% and a net margin of 18.12%.The business had revenue of $528.41 million during the quarter, compared to the consensus estimate of $525.15 million. During the same quarter in the prior year, the company earned $0.70 earnings per share. On average, research analysts predict that Cadence Bank will post 2.94 EPS for the current year.

Cadence Bank Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, February 20th. Investors of record on Friday, January 30th will be paid a dividend of $0.3438 per share. The ex-dividend date of this dividend is Friday, January 30th. This is an increase from Cadence Bank’s previous quarterly dividend of $0.28. This represents a $1.38 annualized dividend and a yield of 3.2%. Cadence Bank’s payout ratio is presently 39.01%.

Hedge Funds Weigh In On Cadence Bank

A number of institutional investors and hedge funds have recently made changes to their positions in CADE. Gamco Investors INC. ET AL lifted its position in Cadence Bank by 77.1% during the second quarter. Gamco Investors INC. ET AL now owns 148,550 shares of the company’s stock valued at $4,751,000 after purchasing an additional 64,690 shares during the period. Arrowstreet Capital Limited Partnership purchased a new stake in Cadence Bank during the 2nd quarter valued at $8,835,000. Nordea Investment Management AB lifted its holdings in shares of Cadence Bank by 1.6% during the 2nd quarter. Nordea Investment Management AB now owns 101,585 shares of the company’s stock valued at $3,266,000 after buying an additional 1,560 shares during the period. Capital Fund Management S.A. bought a new position in shares of Cadence Bank during the 2nd quarter valued at $561,000. Finally, Emerald Mutual Fund Advisers Trust boosted its stake in shares of Cadence Bank by 125.7% in the 3rd quarter. Emerald Mutual Fund Advisers Trust now owns 209,194 shares of the company’s stock worth $7,853,000 after buying an additional 116,491 shares during the last quarter. Institutional investors own 84.61% of the company’s stock.

About Cadence Bank

Cadence Bank (NYSE: CADE) is a regional commercial bank that offers a full suite of financial services to individuals, businesses and government entities. Through its network of branches and digital platforms, the bank provides deposit accounts, treasury management solutions, commercial and industrial lending, equipment finance, residential and consumer mortgages, and wealth management services. Cadence Bank serves a mix of small and mid-size companies as well as retail customers in its core markets.

The institution traces its heritage to Cadence Bancorporation, which was established in 1987 in Tupelo, Mississippi.