Customers Bancorp (NYSE:CUBI) Shares Gap Down – Should You Sell?

Customers Bancorp, Inc. (NYSE:CUBI)’s stock price gapped down before the market opened on Thursday . The stock had previously closed at $48.62, but opened at $47.55. Customers Bancorp shares last traded at $48.20, with a volume of 12,489 shares trading hands.

Analysts Set New Price Targets

Several research analysts recently commented on CUBI shares. Wedbush downgraded shares of Customers Bancorp from an “outperform” rating to a “neutral” rating and decreased their target price for the stock from $79.00 to $53.00 in a research note on Tuesday, September 24th. Piper Sandler decreased their price objective on shares of Customers Bancorp from $61.00 to $55.00 and set a “neutral” rating on the stock in a research report on Monday, November 4th. B. Riley increased their target price on shares of Customers Bancorp from $78.00 to $80.00 and gave the stock a “buy” rating in a report on Monday, November 4th. Keefe, Bruyette & Woods boosted their price target on Customers Bancorp from $52.00 to $62.00 and gave the company a “market perform” rating in a report on Wednesday, December 4th. Finally, Raymond James dropped their price objective on Customers Bancorp from $80.00 to $70.00 and set a “strong-buy” rating for the company in a report on Wednesday, October 2nd. Six equities research analysts have rated the stock with a hold rating, three have given a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat.com, Customers Bancorp has an average rating of “Moderate Buy” and an average price target of $62.22.

Customers Bancorp Stock Performance

The firm has a market cap of $1.51 billion, a P/E ratio of 7.84 and a beta of 1.65. The company has a quick ratio of 0.92, a current ratio of 0.93 and a debt-to-equity ratio of 0.78. The business has a fifty day simple moving average of $51.58 and a 200-day simple moving average of $50.63.

Customers Bancorp (NYSE:CUBI) last issued its quarterly earnings results on Thursday, October 31st. The bank reported $1.34 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.43 by ($0.09). The business had revenue of $167.10 million for the quarter, compared to analysts’ expectations of $191.61 million. Customers Bancorp had a net margin of 15.22% and a return on equity of 13.55%. The company’s revenue was down 23.2% on a year-over-year basis. During the same period last year, the business earned $2.59 earnings per share. On average, sell-side analysts predict that Customers Bancorp, Inc. will post 5.63 EPS for the current fiscal year.

Insider Activity

In other news, CEO Jay S. Sidhu sold 860 shares of the firm’s stock in a transaction on Thursday, November 7th. The stock was sold at an average price of $54.73, for a total value of $47,067.80. Following the transaction, the chief executive officer now directly owns 1,189,738 shares in the company, valued at $65,114,360.74. This trade represents a 0.07 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, insider Glenn Hedde sold 5,002 shares of the firm’s stock in a transaction dated Wednesday, November 6th. The stock was sold at an average price of $53.68, for a total value of $268,507.36. Following the completion of the transaction, the insider now directly owns 66,256 shares in the company, valued at $3,556,622.08. The trade was a 7.02 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 96,440 shares of company stock worth $5,425,815 over the last three months. 6.92% of the stock is currently owned by corporate insiders.

Institutional Trading of Customers Bancorp

Several hedge funds have recently bought and sold shares of the stock. Franklin Resources Inc. lifted its stake in shares of Customers Bancorp by 3.4% during the 3rd quarter. Franklin Resources Inc. now owns 62,515 shares of the bank’s stock valued at $3,011,000 after buying an additional 2,060 shares in the last quarter. Sanctuary Advisors LLC raised its holdings in Customers Bancorp by 12.8% during the third quarter. Sanctuary Advisors LLC now owns 9,412 shares of the bank’s stock valued at $437,000 after acquiring an additional 1,066 shares during the period. Geode Capital Management LLC lifted its position in shares of Customers Bancorp by 2.7% in the third quarter. Geode Capital Management LLC now owns 687,130 shares of the bank’s stock valued at $31,924,000 after acquiring an additional 17,941 shares in the last quarter. Barclays PLC boosted its stake in shares of Customers Bancorp by 46.9% in the third quarter. Barclays PLC now owns 89,879 shares of the bank’s stock worth $4,175,000 after acquiring an additional 28,683 shares during the period. Finally, Y Intercept Hong Kong Ltd purchased a new stake in shares of Customers Bancorp during the third quarter worth about $736,000. Institutional investors own 89.29% of the company’s stock.

About Customers Bancorp

Customers Bancorp, Inc operates as the bank holding company for Customers Bank that provides financial products and services to individual consumers, and small and middle market businesses. The company provides deposit banking products, which includes commercial and consumer checking, non-interest-bearing and interest-bearing demand, MMDA, savings, and time deposit accounts.