Independent Bank Group, Inc. (NASDAQ:IBTX) Experiences Notable Growth in Short Interest

Independent Bank Group, Inc. (NASDAQ:IBTX – Get Free Report) saw a significant increase in short interest during December. As of December 15th, short interest amounted to 2,170,000 shares, marking a 7.4% rise from the November 30th figure of 2,020,000 shares. Given an average daily trading volume of 233,300 shares, the days-to-cover ratio stands at 9.3 days, indicating that about 6.1% of the company’s stock is currently sold short.

Institutional Trading Trends

Recent changes in institutional holdings reflect active trading in Independent Bank Group shares. Notably, Blue Trust Inc. increased its position in the bank by an astounding 1,576.9% in the third quarter, now holding 872 shares worth $50,000 after acquiring an additional 820 shares. CIBC Asset Management Inc. also entered the market, purchasing a new position during the third quarter valued at around $204,000. AQR Capital Management LLC and Hancock Whitney Corp made similar moves, buying new stakes worth $212,000 and $222,000, respectively. Moreover, Everence Capital Management Inc. invested $273,000 in the same quarter. Overall, hedge funds and other institutional investors control approximately 77.90% of the company’s shares.

Recent Analyst Ratings

The past weeks have seen several ratings updates on IBTX from various analysts. StockNews.com recently began coverage on Independent Bank Group with a “sell” rating. Truist Financial reduced its price target for the bank from $66.00 to $63.00 while maintaining a “hold” rating as of October 23rd. In contrast, Keefe, Bruyette & Woods raised their price target from $72.00 to $81.00 and gave the stock an “outperform” rating on December 4th. Presently, one analyst recommends selling the stock, two suggest holding, and four give it a buy rating. According to MarketBeat, the average rating for Independent Bank Group stands at “Hold” with a consensus target price of $60.33.

Stock Performance Overview

On recent trading days, shares of Independent Bank Group (NASDAQ:IBTX) opened at $60.67. The stock has a 52-week low of $36.47 and a high of $68.66. Its 50-day moving average price is $63.23, while the 200-day moving average price is $57.26. Financial indicators show a quick ratio of 0.97 and a current ratio of 0.97, alongside a debt-to-equity ratio of 0.26. The company’s market capitalization is approximately $2.51 billion with a P/E ratio of -5.80 and a beta of 1.39.

Independent Bank Group's last quarterly earnings were reported on October 21st, revealing earnings per share of $0.50, which fell short of analysts’ expectations of $0.71 by $0.21. The reported revenue for the quarter was $255.18 million, significantly exceeding the anticipated $124.48 million. The bank recorded a positive return on equity of 4.49% and a negative net margin of 43.45%. Year-over-year comparisons indicate a decline from the previous year’s earnings of $0.79 EPS, with analysts projecting an average EPS of 2.7 for the current year.

Dividend Announcements

In addition to its stock performance, Independent Bank Group recently declared a quarterly dividend, which was disbursed on November 14th. Shareholders on record as of October 31st received a $0.38 dividend, with an ex-dividend date also set for October 31st. This results in an annualized dividend of $1.52, translating to a dividend yield of 2.51%. Presently, the company has a negative dividend payout ratio of -14.53%.

About Independent Bank Group

Independent Bank Group, Inc., through its subsidiary Independent Bank, offers a wide range of commercial banking products and services tailored for businesses, professionals, and individuals across the United States. The bank provides various deposit options, including checking and savings accounts, demand deposits, money market accounts, and certificates of deposit.

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