Heritage Financial (NASDAQ:HFWA) Trading Down 5.4% After Earnings Miss

Posted by Defense World Staff on Jul 22nd, 2023

Heritage Financial Co. (NASDAQ:HFWA – Get Free Report) was down 5.4% on Friday following a weaker than expected earnings announcement. The stock traded as low as $17.41 and last traded at $17.41. Approximately 77,347 shares were traded during trading, a decline of 69% from the average daily volume of 248,414 shares. The stock had previously closed at $18.40.

The financial services provider reported $0.48 EPS for the quarter, missing the consensus estimate of $0.49 by ($0.01). Heritage Financial had a return on equity of 10.30% and a net margin of 30.05%. The company had revenue of $77.35 million during the quarter, compared to analysts’ expectations of $64.90 million. During the same period in the prior year, the business earned $0.52 EPS.

Heritage Financial Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, August 16th. Stockholders of record on Wednesday, August 2nd will be issued a $0.22 dividend. This represents a $0.88 dividend on an annualized basis and a dividend yield of 5.03%. The ex-dividend date of this dividend is Tuesday, August 1st. Heritage Financial’s dividend payout ratio is currently 37.77%.

Wall Street Analysts Forecast Growth

HFWA has been the subject of several research analyst reports. Piper Sandler decreased their price objective on shares of Heritage Financial from $29.00 to $25.00 in a research report on Monday, April 24th. Keefe, Bruyette & Woods lowered shares of Heritage Financial from an “outperform” rating to a “market perform” rating and cut their target price for the company from $31.00 to $23.00 in a report on Sunday, April 23rd. TheStreet lowered shares of Heritage Financial from a “b-” rating to a “c+” rating in a report on Monday, May 1st. Finally, StockNews.com assumed coverage on shares of Heritage Financial in a research note on Thursday, May 18th. They issued a “sell” rating on the stock.

Insiders Place Their Bets

In other Heritage Financial news, Director Jeffrey S. Lyon bought 1,750 shares of the stock in a transaction on Wednesday, April 26th. The shares were bought at an average price of $17.36 per share, with a total value of $30,380.00. Following the purchase, the director now directly owns 40,742 shares in the company, valued at approximately $707,281.12. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. In other news, Director Brian Charneski purchased 5,000 shares of the stock in a transaction dated Thursday, May 4th. The shares were purchased at an average price of $15.88 per share, with a total value of $79,400.00. Following the transaction, the director now owns 13,675 shares in the company, valued at approximately $217,159. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, Director Jeffrey S. Lyon purchased 1,750 shares of the stock in a transaction dated Wednesday, April 26th. The shares were purchased at an average cost of $17.36 per share, for a total transaction of $30,380.00. Following the transaction, the director now owns 40,742 shares in the company, valued at approximately $707,281.12. The disclosure for this purchase can be found here. Insiders have acquired a total of 7,350 shares of company stock valued at $119,584 in the last 90 days. 1.82% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the company. New York Life Investment Management LLC boosted its position in shares of Heritage Financial by 12.0% during the 4th quarter. New York Life Investment Management LLC now owns 22,638 shares of the financial services provider’s stock valued at $694,000 after acquiring an additional 2,430 shares during the last quarter. Aigen Investment Management LP raised its holdings in Heritage Financial by 33.3% in the 4th quarter. Aigen Investment Management LP now owns 22,077 shares of the financial services provider’s stock valued at $676,000 after buying an additional 5,511 shares during the period. Emerald Mutual Fund Advisers Trust purchased a new stake in Heritage Financial in the 4th quarter valued at about $986,000. Russell Investments Group Ltd. raised its holdings in Heritage Financial by 8.5% in the 4th quarter. Russell Investments Group Ltd. now owns 117,529 shares of the financial services provider’s stock valued at $3,601,000 after buying an additional 9,178 shares during the period. Finally, Martin & Co. Inc. TN raised its holdings in Heritage Financial by 2.1% in the 4th quarter. Martin & Co. Inc. TN now owns 91,034 shares of the financial services provider’s stock valued at $2,789,000 after buying an additional 1,897 shares during the period. Institutional investors and hedge funds own 78.81% of the company’s stock.

Heritage Financial Stock Performance

The stock has a market capitalization of $613.94 million, a PE ratio of 7.52 and a beta of 0.55. The firm’s fifty day moving average is $16.82 and its 200-day moving average is $21.68. The company has a current ratio of 0.74, a quick ratio of 0.74 and a debt-to-equity ratio of 0.49.

About Heritage Financial

(Get Free Report)

Heritage Financial Corporation operates as the bank holding company for Heritage Bank that provides various financial services to small and medium sized businesses and individuals in the United States. The company accepts various deposit products, such as noninterest demand deposits, interest bearing demand deposits, money market accounts, savings accounts, personal checking accounts, and certificates of deposit.