Short Interest in VersaBank (NASDAQ:VBNK) Expands By 121.2%

VersaBank (NASDAQ:VBNK) was the recipient of a significant growth in short interest in October. As of October 15th, there was short interest totalling 30,300 shares, a growth of 121.2% from the September 30th total of 13,700 shares. Based on an average daily trading volume, of 39,500 shares, the short-interest ratio is presently 0.8 days. Approximately 0.2% of the shares of the stock are sold short.

Analyst Upgrades and Downgrades

A number of analysts recently weighed in on the stock. Roth Capital upgraded shares of VersaBank to a “strong-buy” rating in a report on Friday, September 27th. Keefe, Bruyette & Woods assumed coverage on shares of VersaBank in a research report on Tuesday, August 27th. They issued an “outperform” rating and a $22.00 price target for the company. Finally, Roth Mkm initiated coverage on shares of VersaBank in a research report on Friday, September 27th. They issued a “buy” rating and a $18.00 price target for the company. Three investment analysts have rated the stock with a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat.com, VersaBank presently has an average rating of “Buy” and a consensus price target of $16.67.

VersaBank Trading Up 0.3 %

VBNK stock traded up $0.04 during midday trading on Monday, reaching $14.75. The company had a trading volume of 24,686 shares, compared to its average volume of 28,555. VersaBank has a 1 year low of $7.25 and a 1 year high of $15.78. The company has a market capitalization of $383.06 million, a P/E ratio of 11.54 and a beta of 0.79. The company has a 50 day moving average of $13.50 and a two-hundred day moving average of $11.58.

VersaBank (NASDAQ:VBNK) last released its earnings results on Thursday, September 5th. The company reported $0.26 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.34 by ($0.08). VersaBank had a return on equity of 11.85% and a net margin of 16.24%. The company had revenue of $19.72 million during the quarter, compared to analysts’ expectations of $21.83 million. On average, sell-side analysts anticipate that VersaBank will post 1.21 earnings per share for the current year.

VersaBank Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, October 31st. Stockholders of record on Friday, October 4th will be paid a dividend of $0.018 per share. The ex-dividend date of this dividend is Friday, October 4th. This represents a $0.07 annualized dividend and a dividend yield of 0.49%. VersaBank’s dividend payout ratio (DPR) is 5.38%.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of VBNK. Wellington Management Group LLP increased its stake in shares of VersaBank by 287.0% during the 4th quarter. Wellington Management Group LLP now owns 124,283 shares of the company’s stock worth $1,357,000 after purchasing an additional 92,166 shares during the last quarter. Hillsdale Investment Management Inc. grew its stake in VersaBank by 17.5% in the 1st quarter. Hillsdale Investment Management Inc. now owns 408,794 shares of the company’s stock valued at $4,321,000 after buying an additional 60,881 shares during the last quarter. Cumberland Partners Ltd acquired a new position in VersaBank in the 1st quarter valued at $472,000. Pembroke Management LTD acquired a new position in VersaBank in the 2nd quarter valued at $377,000. Finally, Acadian Asset Management LLC grew its stake in VersaBank by 52.2% in the 2nd quarter. Acadian Asset Management LLC now owns 100,466 shares of the company’s stock valued at $1,067,000 after buying an additional 34,462 shares during the last quarter. Institutional investors and hedge funds own 56.86% of the company’s stock.

About VersaBank

VersaBank provides various banking products and services in Canada and the United States. It offers deposit products, such as web-based chequing accounts, guaranteed investment certificates, registered retirement savings plans, and tax-free savings accounts, as well as deposit insurance products. The company also provides lending services, including point of sale financing that covers purchasing loan and lease receivables from finance companies operating in various industries; commercial banking services comprising commercial real estate, public sector/infrastructure financing, and condominium financing; and residential mortgages.