Trexquant Investment LP Boosts Stock Position in Valley National Bancorp (NASDAQ:VLY)
Trexquant Investment LP has significantly increased its holdings in Valley National Bancorp during the fourth quarter. The institutional investor increased its stake by 17.5%, ending the period with a total of 657,448 shares valued at approximately $5,956,000, based on the latest documents filed with the Securities & Exchange Commission.
Several other institutional investors have also been actively trading in shares of Valley National Bancorp. Vanguard Group Inc. enhanced its position in the company’s stock by 9.2%, bringing its total ownership to over 50 million shares valued at $453,020,000 after acquiring an additional 4,204,651 shares. Meanwhile, Wellington Management Group LLP more than doubled its holdings, reflecting a 90.2% increase to 17,059,328 shares, worth approximately $154,558,000.
Geode Capital Management LLC saw similar enthusiasm, increasing its position by 5.9% to hold over 11.8 million shares valued at $107,122,000. Charles Schwab Investment Management Inc. and Victory Capital Management Inc. also augmented their stakes, showcasing a pattern of growing interest among institutional investors towards Valley National Bancorp.
As of the current state of affairs, institutional investors own 61.00% of the company’s stocks, indicating robust institutional confidence in Valley National Bancorp.
Valley National Bancorp Stock Insights
Valley National Bancorp stock opened at $8.05 on Friday. Over the past year, the stock witnessed a fluctuation between a low of $6.47 and a high of $11.10. With a market capitalization pegged at $4.51 billion, the firm currently holds a P/E ratio of 11.67 and a beta of 1.06. The stock’s moving averages—a fifty-day average at $9.44 and a 200-day average at $9.51—reflect its recent performance trends. The company maintains a current ratio and a quick ratio of 0.98 each, alongside a debt-to-equity ratio of 0.46.
For the latest quarter reported, Valley National Bancorp recorded earnings per share (EPS) of $0.13, falling short of the consensus estimates, which predicted $0.15 EPS. Despite the net margin of 10.62% and a return on equity of 5.14%, this was a decrease compared to $0.22 EPS in the corresponding quarter of the previous year. Analysts foresee the company posting an EPS of 0.99 for the ongoing fiscal year.
Dividend Announcements and Analyst Ratings
In recent dividend announcements, Valley National Bancorp declared a quarterly dividend of $0.11 per share, paid on April 1st, reflecting an annualized dividend of $0.44 and yielding 5.47%. This ostensibly healthy payout ratio is currently at 63.77%.
Several research firms have expressed varying perspectives on Valley National Bancorp’s stock. Key recommendations include Royal Bank of Canada’s reassured price objective, Piper Sandler’s elevation of their rating from “neutral” to “overweight,” and Stephens maintaining an “overweight” rating with substantive price objectives. Meanwhile, other opinions have been more conservative, with some institutions issuing a “hold” status and lowering target prices, resulting in an overall “Hold” rating on average from analysts.
Insider Transactions and Corporate Overview
Recent insider activities saw Executive Vice President Joseph Chillura selling 50,000 shares. The sale, conducted at an average price of $10.21, resulted in a transaction total of $510,500, adjusting Chillura’s direct holdings to 495,249 shares.
Valley National Bancorp operates as a holding entity for Valley National Bank. It offers myriad financial services across commercial, private banking, retail, insurance, and wealth management sectors. Its operational structure encompasses consumer banking, commercial banking, and treasury and corporate segments, strategically positioning it in the banking industry.
