Stocks

HSBC (NYSE:HSBC) Hits New 52-Week High - Here's Why

Published October 29, 2024

HSBC Holdings plc (NYSE:HSBC) saw its stock price reach a new 52-week high during trading on Tuesday, hitting $47.02 before closing at $46.92. This was a significant jump from the previous closing price of $45.17, with a trading volume of 515,823 shares.

Wall Street Analysts Forecast Growth

In a recent development, Dbs Bank upgraded HSBC's stock to a "strong-buy" rating in a research report released on July 31st, providing further optimism for investors.

HSBC Trading Up 3.4 %

Currently, HSBC's market capitalization stands at $175.17 billion, with its price-to-earnings (P/E) ratio at 8.09 and a beta of 0.56, indicating relatively low volatility compared to the market as a whole. The company's 50-day moving average is $44.23, while the 200-day moving average is $43.58. Additionally, HSBC maintains a debt-to-equity ratio of 0.65, a current ratio of 0.89, and a quick ratio of 0.96.

HSBC announced its latest quarterly earnings on July 31st, reporting earnings per share (EPS) of $1.65 and revenues of $16.54 billion. The company boasts a net margin of 15.61% and a return on equity (ROE) of 10.60%. Analysts predict that HSBC will achieve an EPS of 6.22 for the current fiscal year, reflecting strong growth expectations.

HSBC Dividend Announcement

Adding to the positive sentiment, HSBC recently declared a quarterly dividend, which was distributed on September 27th. Shareholders of record as of August 16th received a dividend of $0.50 per share. This translates to an annualized dividend of $2.00, yielding 4.28%, with a payout ratio of 34.14%.

Institutional Investors Weigh In On HSBC

Institutional investors have been active, with several firms increasing their stakes in HSBC. For instance, Caas Capital Management LP raised its ownership by 172.6% in the last quarter, acquiring 49,596 shares. Other notable shareholders include First Trust Direct Indexing L.P., Insight Folios Inc., Frank Rimerman Advisors LLC, and Wealth Enhancement Advisory Services LLC, contributing to a robust institutional interest with 1.48% of the stock currently held by institutional investors and hedge funds.

About HSBC

HSBC Holdings plc is a leading banking and financial services provider operating globally. Its services are categorized into Wealth and Personal Banking, Commercial Banking, and Global Banking and Markets. The Wealth and Personal Banking segment provides a range of retail banking and wealth management products, including current and savings accounts, mortgages, loans, and various payment services.