Richard S. Lochen Jr., a director at Peoples Financial Services Corp. (NASDAQ:PFIS), has recently made a significant purchase of the company's common stock, according to the latest filings. On August 5, 2024, Lochen acquired a total of 1,000 shares of Peoples Financial Services at prices ranging from $43.81 to $44.054, amounting to an investment of approximately $43,903.
The recent transaction demonstrates a continued confidence in the financial institution by one of its directors. Peoples Financial Services, headquartered in Scranton, Pennsylvania, operates as a national commercial bank under the standard industrial classification code 6021.
Following these purchases, Lochen's direct holdings in the company have increased, reflecting a strong belief in the bank's future performance and stability. This move may interest investors, as insider buying can sometimes be seen as a positive indicator regarding the company's prospects.
It's noteworthy that Lochen's total direct ownership in Peoples Financial Services Corp. now stands at 15,555.193 shares, which includes shares acquired jointly with his spouse through the issuer's Dividend Reinvestment and Stock Purchase Plan (DRP). Additionally, Lochen holds 4,142.928 shares indirectly in an IRA and 315.786 shares as custodian for a child under the UTMA/PA, with both indirect holdings also benefiting from DRP shares acquired earlier in the year.
Investors keeping tabs on Peoples Financial Services Corp. will find this information relevant as they assess the company's stock performance and insider confidence. The bank's shares are publicly traded on the NASDAQ exchange under the ticker symbol PFIS.
In other recent news, Peoples Financial Services Corp. has announced a substantial increase in the third-quarter dividend, following the completion of its merger with FNCB Bancorp, Inc. The dividend, set at $0.6175 per share, marks a 50.6% rise from the previous quarter. This development was expected as part of the merger agreement between the two companies.
In light of these developments, financial services firm Stephens revised its outlook on Peoples Financial Services. Despite a miss on first-quarter earnings per share due to higher expenses, Stephens maintains an Equal Weight rating on the stock but lowered the price target to $47 from $50. The firm anticipates an improvement in return on assets following the merger and has adjusted its operating earnings per share forecasts for 2024 and 2025.
These are recent developments and investors might want to keep an eye on the company's performance in the coming quarters. The merger and increased dividend could present opportunities for growth, while the revised outlook from Stephens provides an insight into the company's financial trajectory.
InvestingPro Insights
Peoples Financial Services Corp. (NASDAQ:PFIS) has recently seen significant insider activity, with director Richard S. Lochen Jr. increasing his stake in the company. This vote of confidence comes at a time when the company's stock performance has shown resilience, with a remarkable 17.43% return over the last three months. This performance is particularly noteworthy given the broader market context.
InvestingPro data further illuminates the financial health and potential of Peoples Financial Services. The company boasts a market capitalization of $310.38 million and maintains a price-to-earnings (P/E) ratio of 17.92, which adjusts to a slightly more favorable 15.45 when considering the last twelve months as of Q2 2024. Additionally, the company's commitment to shareholder returns is evident with a dividend yield of 5.61% as of the most recent data, coupled with a substantial dividend growth of 50.61% in the same period.
InvestingPro Tips also highlight the company's strong track record of dividend payments, with a history of maintaining dividend payments for 23 consecutive years. Moreover, analysts are optimistic about the company's profitability, predicting that Peoples Financial Services will be profitable this year. This aligns with the company's performance over the last twelve months, where it has been profitable.
For investors seeking more in-depth analysis and additional InvestingPro Tips, there are five more tips available on Peoples Financial Services, which can be accessed on InvestingPro. These tips could provide valuable insights for those considering an investment in PFIS or looking to understand the recent insider buying activity further.
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