First Republic Bank (FRC) Cut to “Sell” at Zacks Investment Research

Zacks Investment Research cut shares of First Republic Bank (NYSE:FRC) from a hold rating to a sell rating in a research report sent to investors on Tuesday.

According to Zacks, “Shares of First Republic have underperformed the industry over the last six months. Also, its earnings surprise history is not impressive. The bank missed the Zacks Consensus Estimate in two of the trailing four quarters. Third-quarter 2017 results missed the Zacks Consensus Estimate reflecting increased expenses and lower net interest margin. However, revenues increased. Escalating costs owing to investments in digital initiatives are expected to hurt the bank’s bottom-line growth further. Though it remains well positioned for growth, given its simpler business model and non-engagement in additional businesses, First Republic’s stretched valuation indicates limited upside potential for the stock.”

Several other equities analysts also recently weighed in on FRC. Wedbush reiterated an outperform rating and issued a $121.00 price target on shares of First Republic Bank in a report on Tuesday, June 27th. BidaskClub upgraded shares of First Republic Bank from a hold rating to a buy rating in a report on Saturday, July 1st. Morgan Stanley reiterated an equal weight rating and issued a $104.00 price target (up previously from $102.00) on shares of First Republic Bank in a report on Thursday, July 6th. Royal Bank Of Canada reiterated a hold rating and issued a $98.00 price target on shares of First Republic Bank in a report on Friday, July 7th. Finally, Barclays PLC reiterated an equal weight rating and issued a $110.00 price target (up previously from $101.00) on shares of First Republic Bank in a report on Wednesday, July 12th. Two investment analysts have rated the stock with a sell rating, eight have assigned a hold rating and six have issued a buy rating to the company. The company currently has an average rating of Hold and a consensus price target of $102.93.

Shares of First Republic Bank (NYSE FRC) traded up 2.33% during mid-day trading on Tuesday, reaching $99.72. 732,850 shares of the company traded hands. First Republic Bank has a 52 week low of $72.43 and a 52 week high of $105.52. The firm has a 50-day moving average price of $99.52 and a 200 day moving average price of $97.38. The firm has a market capitalization of $15.75 billion, a price-to-earnings ratio of 23.52 and a beta of 1.01.

First Republic Bank (NYSE:FRC) last issued its quarterly earnings results on Friday, October 13th. The bank reported $1.14 earnings per share for the quarter, missing the Thomson Reuters’ consensus estimate of $1.16 by ($0.02). First Republic Bank had a return on equity of 12.06% and a net margin of 26.85%. The business had revenue of $670.30 million during the quarter, compared to analyst estimates of $678.25 million. During the same quarter last year, the company posted $1.00 EPS. First Republic Bank’s quarterly revenue was up 20.1% compared to the same quarter last year. On average, analysts anticipate that First Republic Bank will post $4.38 earnings per share for the current year.

TRADEMARK VIOLATION NOTICE: “First Republic Bank (FRC) Cut to “Sell” at Zacks Investment Research” was originally posted by The Ledger Gazette and is owned by of The Ledger Gazette. If you are accessing this piece of content on another site, it was copied illegally and republished in violation of United States & international copyright laws. The legal version of this piece of content can be read at https://ledgergazette.com/2017/10/20/first-republic-bank-frc-cut-to-sell-at-zacks-investment-research.html.

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, November 9th. Stockholders of record on Thursday, October 26th will be paid a dividend of $0.17 per share. The ex-dividend date of this dividend is Wednesday, October 25th. This represents a $0.68 dividend on an annualized basis and a dividend yield of 0.70%. First Republic Bank’s payout ratio is 16.04%.

Several hedge funds and other institutional investors have recently modified their holdings of the company. Bronfman E.L. Rothschild L.P. grew its stake in shares of First Republic Bank by 0.3% during the 2nd quarter. Bronfman E.L. Rothschild L.P. now owns 1,953 shares of the bank’s stock worth $195,000 after purchasing an additional 5 shares during the period. Alps Advisors Inc. grew its stake in shares of First Republic Bank by 0.3% during the 2nd quarter. Alps Advisors Inc. now owns 4,979 shares of the bank’s stock worth $498,000 after purchasing an additional 13 shares during the period. Somerset Trust Co grew its stake in shares of First Republic Bank by 0.4% during the 2nd quarter. Somerset Trust Co now owns 9,186 shares of the bank’s stock worth $919,000 after purchasing an additional 40 shares during the period. Global X Management Co. LLC grew its stake in shares of First Republic Bank by 1.1% during the 2nd quarter. Global X Management Co. LLC now owns 5,935 shares of the bank’s stock worth $594,000 after purchasing an additional 62 shares during the period. Finally, Xact Kapitalforvaltning AB grew its stake in shares of First Republic Bank by 0.3% during the 2nd quarter. Xact Kapitalforvaltning AB now owns 19,486 shares of the bank’s stock worth $1,951,000 after purchasing an additional 65 shares during the period. 97.72% of the stock is currently owned by institutional investors and hedge funds.

First Republic Bank Company Profile

First Republic Bank is a commercial bank and trust company. The Bank specializes in providing services, including private banking, private business banking, real estate lending and wealth management services, including trust and custody services, to clients in selected metropolitan areas in the United States.

According to Zacks, “Shares of First Republic have underperformed the industry over the last six months. Also, its earnings surprise history is not impressive. The bank missed the Zacks Consensus Estimate in two of the trailing four quarters. Third-quarter 2017 results missed the Zacks Consensus Estimate reflecting increased expenses and lower net interest margin. However, revenues increased. Escalating costs owing to investments in digital initiatives are expected to hurt the bank’s bottom-line growth further. Though it remains well positioned for growth, given its simpler business model and non-engagement in additional businesses, First Republic’s stretched valuation indicates limited upside potential for the stock.”

Several other equities analysts also recently weighed in on FRC. Wedbush reiterated an outperform rating and issued a $121.00 price target on shares of First Republic Bank in a report on Tuesday, June 27th. BidaskClub upgraded shares of First Republic Bank from a hold rating to a buy rating in a report on Saturday, July 1st. Morgan Stanley reiterated an equal weight rating and issued a $104.00 price target (up previously from $102.00) on shares of First Republic Bank in a report on Thursday, July 6th. Royal Bank Of Canada reiterated a hold rating and issued a $98.00 price target on shares of First Republic Bank in a report on Friday, July 7th. Finally, Barclays PLC reiterated an equal weight rating and issued a $110.00 price target (up previously from $101.00) on shares of First Republic Bank in a report on Wednesday, July 12th. Two investment analysts have rated the stock with a sell rating, eight have assigned a hold rating and six have issued a buy rating to the company. The company currently has an average rating of Hold and a consensus price target of $102.93.

Shares of First Republic Bank (NYSE FRC) traded up 2.33% during mid-day trading on Tuesday, reaching $99.72. 732,850 shares of the company traded hands. First Republic Bank has a 52 week low of $72.43 and a 52 week high of $105.52. The firm has a 50-day moving average price of $99.52 and a 200 day moving average price of $97.38. The firm has a market capitalization of $15.75 billion, a price-to-earnings ratio of 23.52 and a beta of 1.01.

First Republic Bank (NYSE:FRC) last issued its quarterly earnings results on Friday, October 13th. The bank reported $1.14 earnings per share for the quarter, missing the Thomson Reuters’ consensus estimate of $1.16 by ($0.02). First Republic Bank had a return on equity of 12.06% and a net margin of 26.85%. The business had revenue of $670.30 million during the quarter, compared to analyst estimates of $678.25 million. During the same quarter last year, the company posted $1.00 EPS. First Republic Bank’s quarterly revenue was up 20.1% compared to the same quarter last year. On average, analysts anticipate that First Republic Bank will post $4.38 earnings per share for the current year.

TRADEMARK VIOLATION NOTICE: “First Republic Bank (FRC) Cut to “Sell” at Zacks Investment Research” was originally posted by The Ledger Gazette and is owned by of The Ledger Gazette. If you are accessing this piece of content on another site, it was copied illegally and republished in violation of United States & international copyright laws. The legal version of this piece of content can be read at https://ledgergazette.com/2017/10/20/first-republic-bank-frc-cut-to-sell-at-zacks-investment-research.html.

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, November 9th. Stockholders of record on Thursday, October 26th will be paid a dividend of $0.17 per share. The ex-dividend date of this dividend is Wednesday, October 25th. This represents a $0.68 dividend on an annualized basis and a dividend yield of 0.70%. First Republic Bank’s payout ratio is 16.04%.

Several hedge funds and other institutional investors have recently modified their holdings of the company. Bronfman E.L. Rothschild L.P. grew its stake in shares of First Republic Bank by 0.3% during the 2nd quarter. Bronfman E.L. Rothschild L.P. now owns 1,953 shares of the bank’s stock worth $195,000 after purchasing an additional 5 shares during the period. Alps Advisors Inc. grew its stake in shares of First Republic Bank by 0.3% during the 2nd quarter. Alps Advisors Inc. now owns 4,979 shares of the bank’s stock worth $498,000 after purchasing an additional 13 shares during the period. Somerset Trust Co grew its stake in shares of First Republic Bank by 0.4% during the 2nd quarter. Somerset Trust Co now owns 9,186 shares of the bank’s stock worth $919,000 after purchasing an additional 40 shares during the period. Global X Management Co. LLC grew its stake in shares of First Republic Bank by 1.1% during the 2nd quarter. Global X Management Co. LLC now owns 5,935 shares of the bank’s stock worth $594,000 after purchasing an additional 62 shares during the period. Finally, Xact Kapitalforvaltning AB grew its stake in shares of First Republic Bank by 0.3% during the 2nd quarter. Xact Kapitalforvaltning AB now owns 19,486 shares of the bank’s stock worth $1,951,000 after purchasing an additional 65 shares during the period. 97.72% of the stock is currently owned by institutional investors and hedge funds.

First Republic Bank Company Profile

First Republic Bank is a commercial bank and trust company. The Bank specializes in providing services, including private banking, private business banking, real estate lending and wealth management services, including trust and custody services, to clients in selected metropolitan areas in the United States.

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Analyst Recommendations for First Republic Bank (NYSE:FRC)

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