Hilltop (NYSE:HTH) Announces Earnings Results

Hilltop (NYSE:HTH) issued its quarterly earnings results on Thursday. The financial services provider reported $0.64 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.54 by $0.10, Zacks reports. Hilltop had a return on equity of 7.29% and a net margin of 10.13%.The business had revenue of $300.51 million for the quarter, compared to analyst estimates of $304.87 million. During the same quarter in the prior year, the firm posted $0.65 earnings per share.

Hilltop Trading Down 3.4%

NYSE HTH opened at $36.68 on Friday. The stock has a 50-day simple moving average of $36.81 and a 200 day simple moving average of $35.40. The company has a market capitalization of $2.18 billion, a PE ratio of 13.89 and a beta of 0.92. Hilltop has a 12 month low of $28.43 and a 12 month high of $40.41.

Hilltop Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, May 22nd. Investors of record on Friday, May 8th will be issued a $0.20 dividend. This represents a $0.80 dividend on an annualized basis and a yield of 2.2%. The ex-dividend date is Friday, May 8th. Hilltop’s dividend payout ratio is currently 30.30%.

Analysts Set New Price Targets

Several equities analysts recently issued reports on the company. Weiss Ratings reiterated a “buy (b)” rating on shares of Hilltop in a report on Tuesday. Wall Street Zen upgraded Hilltop from a “sell” rating to a “hold” rating in a report on Saturday. Keefe, Bruyette & Woods raised their target price on shares of Hilltop from $34.00 to $39.00 and gave the company a “market perform” rating in a research note on Tuesday, February 3rd. Finally, Zacks Research lowered shares of Hilltop from a “hold” rating to a “strong sell” rating in a research note on Thursday. One research analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, Hilltop currently has a consensus rating of “Hold” and an average price target of $37.50.

Hilltop News Roundup

Here are the key news stories impacting Hilltop this week:

• Positive Sentiment: Q1 EPS beat expectations — Hilltop reported $0.64 EPS vs. consensus ~$0.54, driven by higher net interest income; management also highlighted improved provision levels. Read More.
• Positive Sentiment: Net interest income rose and credit‑loss provisions plunged, which supported profitability despite headwinds in other areas. This operational improvement is a near‑term positive for margins and earnings. Read More.
• Positive Sentiment: Dividend and capital returns — Board declared a $0.20 quarterly dividend (ex‑div May 8) and the company signaled progress on its capital‑return plan, supporting yield and shareholder returns. Read More.
• Neutral Sentiment: Earnings call and management commentary are available — review the Q1 transcript for color on deposit trends, margin outlook and capital actions (useful for gauging management confidence but no new headline change). Read More.
• Neutral Sentiment: Company slide deck and press release provide detailed metrics (LOAN mix, NPA trends, segment results) for investor modeling. Read More.
• Negative Sentiment: Revenue and non‑interest income missed expectations — consolidated revenue was ~$300.5M vs. consensus ~$305M, and lower non‑interest income trimmed upside versus the EPS beat. Read More.
• Negative Sentiment: Deposit decline and portfolio risks — deposits fell ~3.2% YoY; management/analysts flagged high CRE exposure (about 43% of loans) and rising nonperforming asset ratios, increasing downside risk if local Texas commercial real estate weakens. Read More.

Insider Activity at Hilltop

In related news, CEO Steve B. Thompson sold 9,025 shares of the company’s stock in a transaction dated Friday, February 6th. The stock was sold at an average price of $39.84, for a total value of $359,556.00. Following the completion of the sale, the chief executive officer owned 91,817 shares in the company, valued at approximately $3,657,989.28. This represents a 8.95% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, CEO Martin Bradley Winges sold 26,000 shares of the company’s stock in a transaction dated Tuesday, February 3rd. The shares were sold at an average price of $38.46, for a total value of $999,960.00. Following the completion of the sale, the chief executive officer owned 65,831 shares of the company’s stock, valued at $2,531,860.26. This represents a 28.31% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 294,796 shares of company stock worth $11,225,619. 29.90% of the stock is owned by insiders.

Institutional Investors Weigh In On Hilltop

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Corient Private Wealth LLC bought a new stake in Hilltop in the fourth quarter valued at about $304,000. Mercer Global Advisors Inc. ADV increased its holdings in Hilltop by 5.3% in the fourth quarter. Mercer Global Advisors Inc. ADV now owns 97,482 shares of the financial services provider’s stock valued at $3,309,000 after purchasing an additional 4,924 shares during the last quarter. Empowered Funds LLC increased its holdings in Hilltop by 5.1% in the fourth quarter. Empowered Funds LLC now owns 250,228 shares of the financial services provider’s stock valued at $8,493,000 after purchasing an additional 12,100 shares during the last quarter. XTX Topco Ltd bought a new stake in Hilltop in the fourth quarter valued at about $2,660,000. Finally, Man Group plc bought a new stake in Hilltop in the fourth quarter valued at about $557,000. Institutional investors own 57.13% of the company’s stock.

Hilltop Company Profile

Hilltop Holdings, Inc (NYSE: HTH) is a Dallas, Texas–based financial holding company offering commercial banking, mortgage lending and capital markets services through its three primary subsidiaries: PlainsCapital Corporation, PrimeLending and HilltopSecurities. PlainsCapital provides deposit, lending and treasury management solutions to small and mid-sized businesses, professionals and individuals. PrimeLending specializes in home purchase and refinance loans, serving retail, wholesale and correspondent channels.