Investar Holding Corporation (NASDAQ:ISTR) saw its stock price rise above its 50-day moving average during trading on October 24, 2023. The stock, which has a 50-day moving average of $23.80, reached a peak of $26.70 before closing at $26.38. This upward movement reflects a trading volume of 34,917 shares exchanged during the session.
Analyst Ratings and Market Reactions
Several financial institutions have recently reviewed their ratings on Investar. On October 21, Piper Sandler increased its price target for the stock to $29.00 and assigned an “overweight” rating. Additionally, Weiss Ratings reaffirmed a “buy (B-)” rating for Investar in a research note released the same day. Following suit, Zacks Research upgraded the stock from a “hold” to a “strong-buy” rating on October 22. Currently, one analyst has rated the stock as a Strong Buy, while two have issued Buy ratings. According to data from MarketBeat, the average rating for Investar shares stands at “Buy,” with a projected average price target of $29.00.
Financial Performance and Dividend Announcement
Investar reported its quarterly earnings on November 1, 2023, revealing a loss of ($1.06) earnings per share (EPS). The financial services company posted a net margin of 14.87% and a return on equity of 9.38%, with total revenue amounting to $25.46 million for the quarter. Analysts forecast that Investar Holding Corporation will record an EPS of 1.83 for the current fiscal year.
In a separate announcement, Investar declared a dividend of $0.11 per share, which was paid on October 1, 2023. This dividend yield reflects an impressive 190.0%. The ex-dividend date was set for September 30, and the company’s dividend payout ratio (DPR) currently stands at 19.64%.
Institutional Investment Trends
Hedge funds have recently adjusted their positions in Investar, indicating growing interest in the stock. Qube Research & Technologies Ltd increased its stake by 19.3% during the third quarter, acquiring an additional 5,740 shares for a total of 35,518 shares valued at $824,000. Similarly, Bank of America Corp DE expanded its holdings by 39.2%, now owning 21,632 shares worth $502,000.
AllianceBernstein L.P. also raised its investment by 4.1%, bringing its total to 431,281 shares, valued at approximately $10,010,000 after acquiring an additional 17,015 shares. Other notable funds include Mendon Capital Advisors Corp, which purchased new shares worth $887,000, and Two Sigma Investments LP, which grew its position by 20.1%, owning 43,168 shares valued at $1,002,000. Currently, institutional investors hold 50.17% of Investar’s stock.
Investar Holding Corporation operates as a bank holding company for Investar Bank, providing a range of commercial banking products to individuals, professionals, and small to medium-sized businesses primarily in southern Louisiana, southeastern Texas, and Alabama. The company offers diverse deposit products, including savings, checking, money market accounts, and individual retirement accounts, alongside various banking services.
As Investar continues to attract analyst attention and institutional investment, its performance in the coming quarters will be closely monitored by investors and market analysts alike.
