Keefe, Bruyette & Woods Raises First Business Financial Services Price Target

Keefe, Bruyette & Woods has increased its price target for First Business Financial Services (NASDAQ:FBIZ) from $58.00 to $60.00, as reported in a research note released on Monday. This upgrade comes with an "outperform" rating for the financial services company's shares. The new price target suggests a potential upside of 16.14% based on the stock's current market price.

First Business Financial Services has recently drawn attention from various financial analysts. For instance, Piper Sandler revised its target price downward from $56.00 to $53.00 while maintaining an "overweight" rating in a report dated October 29. Additionally, StockNews.com downgraded shares of First Business Financial Services from a "buy" to a "hold" rating in their report released on January 24.

Recent Stock Performance

On Monday, NASDAQ:FBIZ opened at $51.66. The stock has experienced a range within the past year, hitting a low of $32.56 and a high of $52.98. Currently, the stock's 50-day moving average stands at $47.48 while the 200-day moving average is at $45.46. First Business Financial Services has a market capitalization of approximately $428.78 million, a price-to-earnings (P/E) ratio of 9.90, and a beta of 0.88. Its financial ratios reveal a current ratio of 1.09, a quick ratio of 1.08, and a debt-to-equity ratio of 1.16.

In its latest earnings report, the company announced its results on January 30, revealing earnings per share (EPS) of $1.43, which exceeded analysts' consensus estimate of $1.27 by $0.16. The firm reported a net margin of 16.86% along with a return on equity of 14.33%. Current analyst forecasts estimate First Business Financial Services to achieve an EPS of 5.24 for the ongoing fiscal year.

Recent Insider Trading Activities

In related news, CEO Corey A. Chambas sold 40,000 shares of the company on November 7 at an average price of $48.81, totaling approximately $1,952,400. Following this transaction, he retains an ownership of 112,750 shares, valued at around $5,503,327.50, which is a 26.19% reduction in his holdings. This transaction has been filed with the Securities & Exchange Commission and is publicly available. Director William Kent Lorenz also sold 1,000 shares on November 19 at an average price of $49.00, totaling about $49,000. Post-sale, he now owns approximately 8,341 shares in the company, reflecting a 10.71% decrease in his stake. Corporate insiders presently control around 6.20% of the company's stock.

Institutional Investments

Numerous hedge funds and institutional investors have made recent adjustments to their positions in First Business Financial Services. Notably, R Squared Ltd acquired a new stake valued at around $49,000 during the fourth quarter. SG Americas Securities LLC also added a new position in the stock worth approximately $125,000 in the third quarter. Other institutional investors, such as Squarepoint Ops LLC, ERn Financial LLC, and Creative Planning, have similarly purchased new shares for values ranging from $204,000 to $216,000. Collectively, institutional investors hold a significant 60.07% of the company's stock.

Company Overview

First Business Financial Services, Inc. operates as a bank holding company for First Business Bank, offering a variety of commercial banking products and services tailored for small and medium-sized businesses, business owners, executives, professionals, and high-net-worth individuals across Wisconsin, Kansas, and Missouri.

stocks, investment, research