Raymond James & Associates Increases Stake in UMB Financial Co.

Raymond James & Associates has significantly raised its stake in UMB Financial Co. (NASDAQ:UMBF). In the third quarter, the firm boosted its ownership by an impressive 210.3%, as indicated by its latest Form 13F filing with the SEC. After acquiring an additional 26,186 shares during this period, Raymond James now holds a total of 38,637 shares in the bank, which are valued at approximately $4,061,000 according to the most recent filing.

Other large investment firms have also adjusted their positions in UMB Financial recently. For instance, CWM LLC increased its shares by 7.1% in the second quarter, now owning 1,941 shares worth $162,000 after adding 129 shares. Similarly, Truist Financial Corp raised its stake by 3.3%, owning 4,238 shares now valued at $354,000 following the acquisition of an additional 136 shares. Retirement Systems of Alabama made a modest increase, raising its stake by 0.3%, resulting in ownership of 54,848 shares worth $4,771,000 after acquiring 144 more shares. Additionally, The Manufacturers Life Insurance Company added 200 shares, increasing its total to 53,900 shares valued at $4,496,000, marking a 0.4% increase. Lastly, Great Lakes Advisors LLC also raised its stake by 0.4%, now owning 58,892 shares worth $4,913,000.

Market Analysts Predict Positive Growth

UMB Financial has been the subject of various research reports. Wells Fargo & Company raised their price target for shares from $107.00 to $120.00 while maintaining an “equal weight” rating. Citigroup began coverage with a “buy” rating and a price target of $127.00. Piper Sandler also increased their projection, raising the price target from $102.00 to $120.00 and assigning an “overweight” rating. Additionally, Barclays increased its price target from $118.00 to $123.00 also giving an “overweight” rating. Currently, MarketBeat.com data shows a mixed rating from analysts—two rated it as hold, four as buy, and one as strong buy. The average rating for the stock stands at “Moderate Buy,” with a consensus target price of $115.00.

Insider Trading Activity

In insider news, EVP John Pauls sold 1,623 shares on August 6 for an average price of $92.97, totaling $150,890.31. After this transaction, he retains 7,332 shares in UMB, valued at $681,656.04. On the same day, CEO J Mariner Kemper sold 10,115 shares at an average price of $93.00, raising $940,695.00. Post-sale, he retains 257,796 shares in the bank, valued at approximately $23,975,028. It’s noteworthy that insiders sold a total of 41,038 shares worth around $4,078,068 over the past three months, with corporate insiders owning about 8.85% of the company's stock.

Performance Overview of UMB Financial

As of the latest trading session, shares of UMB Financial opened at $108.28. The stock has performed well, with a 50-day moving average at $105.14 and a two-hundred day moving average of $93.21. UMB Financial's stock reached a 52-week low of $64.48 and a high of $113.56. The company showcases a market capitalization of $5.28 billion, with a P/E ratio of 13.54 and a beta of 0.78. Financially, UMB has a current ratio of 0.76, a quick ratio of 0.73, and a debt-to-equity ratio of 0.11.

Recently, UMB Financial reported its quarterly earnings results on October 29, announcing an earnings per share (EPS) of $2.25, surpassing the consensus estimate of $2.20 by $0.05. The bank demonstrated a net margin of 14.44% with a return on equity of 13.80%. Revenue for the quarter stood at $716.44 million, well above the analyst estimates of $398.83 million. Compared to the same quarter last year, the EPS has increased from $2.02. Expectations suggest that UMB Financial Co. will achieve an EPS of 9.09 for the current year.

Recent Dividend Increase

Furthermore, UMB Financial has announced an upcoming quarterly dividend scheduled for payment on January 2, after declaring a dividend of $0.40. Shareholders on record by December 10 will benefit from this distribution, with the ex-dividend date being the same. This change in dividend represents an increase from the previous quarterly dividend of $0.39, giving an annualized total dividend of $1.60, equating to a dividend yield of 1.48%. The current dividend payout ratio sits at 19.50%.

Company Overview

UMB Financial Corporation operates as a bank holding company providing banking and asset management services both domestically and internationally. Its commercial banking segment offers services including commercial loans and credit cards, commercial real estate financing, letters of credit, loan syndication, along with various business solutions and treasury management services.

investment, financial, stocks