Manufacturers Life Insurance Company Increases Stake in Community Bank System, Inc.

The Manufacturers Life Insurance Company has increased its investment in Community Bank System, Inc. (NYSE:CBU) by 1.7% during the second quarter of the year. According to the company's latest filing with the Securities and Exchange Commission (SEC), they now own a total of 29,088 shares of the bank's stock after purchasing an additional 484 shares in this period. These holdings represent 0.06% of Community Bank System's total shares, valued at approximately $1,373,000 as per the latest SEC documentation.

In addition to the Manufacturers Life Insurance Company's investment, other institutional investors and hedge funds have also made adjustments to their positions in Community Bank System. Notably, Point72 DIFC Ltd acquired a new stake in the bank’s shares worth about $76,000 during the second quarter. Similarly, Benjamin Edwards Inc. increased its holdings in Community Bank System by 40.7% in the first quarter, now owning 2,695 shares valued at around $129,000 after adding 780 shares to their position. Furthermore, IFG Advisory LLC also entered a new investment worth approximately $212,000, and QRG Capital Management Inc. boosted its shareholdings by 4.5%, acquiring 212 additional shares, resulting in a total of 4,895 shares valued at $231,000. Dark Forest Capital Management LP also purchased a new stake in Community Bank System within the same quarter worth approximately $231,000. Currently, institutional investors and hedge funds hold about 73.79% of Community Bank System's stock.

Community Bank System Stock Performance

As of Friday, shares of Community Bank System (NYSE CBU) opened at $59.75. The company boasts a market capitalization of $3.15 billion, with a price-to-earnings ratio of 18.79 and a low beta of 0.64, suggesting lower volatility compared to the market. The bank's liquidity metrics show a quick ratio and current ratio of 0.76, and it has a debt-to-equity ratio of 0.43. Over the past year, Community Bank System's stock has fluctuated, with a 52-week low of $35.38 and a peak of $63.95. The bank's 50-day moving average stands at $58.38, while its 200-day moving average is at $51.54.

Quarterly Earnings Report

Community Bank System recently released its quarterly earnings report on July 23. The bank reported earnings of $0.95 per share for the quarter, exceeding analysts' estimates of $0.81 by $0.14. The return on equity for the bank stood at 8.94%, along with a net margin of 15.90%. Revenue for the quarter amounted to $183.80 million, surpassing the predicted revenue of $180.05 million. This represents a 4.9% increase in revenue from the same quarter the previous year, where the earnings per share were recorded at $0.91. Analysts forecast that Community Bank System will achieve an earnings per share of 3.42 for the current year.

Diversified Dividend Growth

The company has also recently announced a quarterly dividend that was paid on October 10. Shareholders on record as of September 13 received a dividend of $0.46 per share. This change marks an increase from the previous dividend of $0.45 per share, equating to an annualized dividend of $1.84 and a yield of 3.08%. Currently, the dividend payout ratio of Community Bank System is approximately 57.86%.

Investment Sentiment and Market Predictions

Financial analysts have been evaluating Community Bank System's stock amidst recent market conditions. Raymond James recently adjusted its rating for the bank, moving it from an “outperform” status to a “market perform” rating as of July 24. Similarly, Keefe, Bruyette & Woods reaffirmed their “market perform” rating and set a price target of $59.00 for the stock in a report dated September 10. The research consensus reveals a mixed outlook with two analysts rating the stock as a sell and three others issuing hold ratings. Based on the latest data from MarketBeat.com, the average consensus rating for the stock is “Hold,” with a target price set at $50.50.

About Community Bank System

Community Bank System, Inc. serves as the holding company for Community Bank, N.A., providing a variety of banking and financial services to retail, commercial, institutional, and municipal clients. The firm operates in three segments: Banking, Employee Benefit Services, and All Other. Its offerings include a range of deposit products such as interest-bearing and non-interest-bearing accounts, savings, money market accounts, and time deposits.

Investment, Earnings, Stocks