Zacks Investment Research Downgrades Customers Bancorp (NYSE:CUBI) to Sell

Customers Bancorp (NYSE:CUBI) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued on Tuesday, Zacks.com reports.

According to Zacks, “Customers Bancorp is a bank holding company of Customers Bank, a state-chartered bank in Pennsylvania. It provides banking services to small and medium-sized businesses, professionals, individuals and families. The company offers depository products, commercial lending products, specialty lending products and consumer lending. In addition, the company offers other financial services, including Internet banking, wire transfers, electronic bill payment, lock box, remote deposit capture, courier services, merchant processing, cash vault, controlled disbursements, and positive pay services, as well as cash management services comprising account reconciliation, collections, and sweep accounts. The bank has its branches in Pennsylvania, New York and New Jersey. Customers Bancorp is headquartered in Wyomissing, Pennsylvania. “

Several other research analysts have also recently weighed in on CUBI. B. Riley cut shares of Customers Bancorp from a “buy” rating to a “neutral” rating and dropped their price objective for the stock from $30.00 to $14.00 in a research report on Wednesday, March 25th. TheStreet cut shares of Customers Bancorp from a “b-” rating to a “c” rating in a research report on Monday, March 9th. Finally, ValuEngine upgraded shares of Customers Bancorp from a “strong sell” rating to a “sell” rating in a research report on Thursday, July 2nd. Two analysts have rated the stock with a sell rating, two have given a hold rating and one has issued a buy rating to the stock. The company has an average rating of “Hold” and a consensus price target of $21.33.

Shares of CUBI opened at $10.86 on Tuesday. The company has a market capitalization of $356.17 million, a P/E ratio of 5.75 and a beta of 1.48. The company has a debt-to-equity ratio of 2.16, a current ratio of 1.11 and a quick ratio of 1.06. Customers Bancorp has a one year low of $8.36 and a one year high of $25.72. The business’s 50 day simple moving average is $11.67 and its 200-day simple moving average is $15.80.

Customers Bancorp (NYSE:CUBI) last announced its earnings results on Monday, May 4th. The bank reported $0.26 EPS for the quarter, missing the consensus estimate of $0.43 by ($0.17). Customers Bancorp had a return on equity of 10.38% and a net margin of 13.05%. The business had revenue of $103.25 million during the quarter, compared to analyst estimates of $102.98 million. On average, sell-side analysts anticipate that Customers Bancorp will post 3.19 EPS for the current fiscal year.

Hedge funds have recently made changes to their positions in the company. Goldman Sachs Group Inc. grew its holdings in shares of Customers Bancorp by 105.3% in the 4th quarter. Goldman Sachs Group Inc. now owns 83,664 shares of the bank’s stock valued at $1,992,000 after buying an additional 42,912 shares during the period. Public Sector Pension Investment Board boosted its stake in Customers Bancorp by 63.3% in the 4th quarter. Public Sector Pension Investment Board now owns 119,528 shares of the bank’s stock worth $2,846,000 after purchasing an additional 46,314 shares during the period. Deutsche Bank AG boosted its stake in Customers Bancorp by 435.2% in the 1st quarter. Deutsche Bank AG now owns 110,533 shares of the bank’s stock worth $1,207,000 after purchasing an additional 89,881 shares during the period. Aristotle Capital Boston LLC boosted its stake in Customers Bancorp by 2.1% in the 1st quarter. Aristotle Capital Boston LLC now owns 1,125,846 shares of the bank’s stock worth $12,305,000 after purchasing an additional 22,948 shares during the period. Finally, Hotchkis & Wiley Capital Management LLC boosted its stake in Customers Bancorp by 7.3% in the 4th quarter. Hotchkis & Wiley Capital Management LLC now owns 292,147 shares of the bank’s stock worth $6,956,000 after purchasing an additional 19,850 shares during the period. 80.42% of the stock is owned by institutional investors.

Customers Bancorp Company Profile

Customers Bancorp, Inc operates as the bank holding company for Customers Bank that provides financial products and services to small and middle market businesses, not-for-profits, and consumers. The company operates in two segments, Customers Bank Business Banking and BankMobile. The company accepts various deposit products, such as checking, savings, money market deposit, time deposit, and individual retirement accounts, as well as certificates of deposit.

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