First Merchants Corporation (NASDAQ:FRME) Given Average Rating of “Hold” by Analysts

Shares of First Merchants Corporation (NASDAQ:FRME) have earned a consensus recommendation of “Hold” from the six brokerages that are covering the stock, Marketbeat Ratings reports. Four equities research analysts have rated the stock with a hold recommendation and two have issued a buy recommendation on the company. The average 12-month price target among brokers that have updated their coverage on the stock in the last year is $48.3333.

A number of equities analysts recently commented on the stock. Weiss Ratings cut shares of First Merchants from a “buy (b)” rating to a “hold (c+)” rating in a research report on Monday, May 18th. Wall Street Zen upgraded shares of First Merchants from a “sell” rating to a “hold” rating in a research report on Sunday, May 17th.

Hedge Funds Weigh In On First Merchants

A number of hedge funds have recently modified their holdings of FRME. Northwestern Mutual Wealth Management Co. increased its position in shares of First Merchants by 27,081,812.5% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 15,165,871 shares of the bank’s stock valued at $568,417,000 after acquiring an additional 15,165,815 shares during the period. Capital International Investors increased its position in shares of First Merchants by 64.4% in the third quarter. Capital International Investors now owns 1,346,300 shares of the bank’s stock valued at $50,756,000 after acquiring an additional 527,545 shares during the period. FJ Capital Management LLC increased its position in shares of First Merchants by 115.0% in the fourth quarter. FJ Capital Management LLC now owns 633,668 shares of the bank’s stock valued at $23,750,000 after acquiring an additional 338,950 shares during the period. Dimensional Fund Advisors LP increased its position in shares of First Merchants by 8.4% in the first quarter. Dimensional Fund Advisors LP now owns 3,596,017 shares of the bank’s stock valued at $139,272,000 after acquiring an additional 277,977 shares during the period. Finally, Hotchkis & Wiley Capital Management LLC increased its position in shares of First Merchants by 252.0% in the third quarter. Hotchkis & Wiley Capital Management LLC now owns 321,550 shares of the bank’s stock valued at $12,122,000 after acquiring an additional 230,192 shares during the period. Hedge funds and other institutional investors own 73.92% of the company’s stock.

First Merchants Price Performance

Shares of NASDAQ:FRME opened at $39.93 on Friday. The stock has a market cap of $2.52 billion, a PE ratio of 11.74 and a beta of 0.85. The company’s fifty day moving average is $40.03 and its 200 day moving average is $39.07. First Merchants has a 52 week low of $34.66 and a 52 week high of $43.22. The company has a quick ratio of 0.92, a current ratio of 0.94 and a debt-to-equity ratio of 0.52.

First Merchants (NASDAQ:FRME) last issued its earnings results on Wednesday, April 22nd. The bank reported $1.03 EPS for the quarter, topping analysts’ consensus estimates of $0.96 by $0.07. The company had revenue of $163.53 million for the quarter, compared to analysts’ expectations of $201.91 million. First Merchants had a net margin of 18.87% and a return on equity of 9.58%. During the same quarter last year, the company earned $1.00 EPS. Research analysts anticipate that First Merchants will post 4.24 earnings per share for the current year.

First Merchants Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, June 19th. Shareholders of record on Friday, June 5th will be given a $0.37 dividend. The ex-dividend date is Friday, June 5th. This is a positive change from First Merchants’s previous quarterly dividend of $0.36. This represents a $1.48 dividend on an annualized basis and a dividend yield of 3.7%. First Merchants’s dividend payout ratio is presently 42.35%.

First Merchants Company Profile

First Merchants Corporation, through its subsidiary First Merchants Bank, offers a comprehensive suite of banking and financial services to individuals, businesses and public sector clients. The company’s core business activities include retail and commercial banking, lending, treasury and cash management, and wealth advisory services. With a focus on relationship banking, First Merchants seeks to deliver tailored solutions for deposit accounts, loan financing and other credit products.

On the consumer side, First Merchants provides checking and savings accounts, certificates of deposit, personal and mortgage loans, and electronic banking conveniences.