Short Interest in VersaBank (NASDAQ:VBNK) Increases By 47.9%

VersaBank (NASDAQ:VBNK) was the recipient of a significant growth in short interest during the month of November. As of November 15th, there was short interest totalling 32,400 shares, a growth of 47.9% from the October 31st total of 21,900 shares. Based on an average daily trading volume, of 44,900 shares, the days-to-cover ratio is presently 0.7 days. Approximately 0.2% of the shares of the company are short sold.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on VBNK shares. Roth Mkm started coverage on VersaBank in a research report on Friday, September 27th. They set a “buy” rating and a $18.00 price target for the company. Keefe, Bruyette & Woods began coverage on shares of VersaBank in a research note on Tuesday, August 27th. They issued an “outperform” rating and a $22.00 target price for the company. Raymond James restated an “outperform” rating and set a $17.00 price target (up previously from $15.00) on shares of VersaBank in a research report on Friday, November 8th. Finally, Roth Capital upgraded shares of VersaBank to a “strong-buy” rating in a research report on Friday, September 27th. Three investment analysts have rated the stock with a buy rating and one has issued a strong buy rating to the company. According to MarketBeat, the company has a consensus rating of “Buy” and an average price target of $19.00.

VersaBank Price Performance

NASDAQ VBNK traded up $0.05 on Friday, hitting $17.99. The company had a trading volume of 18,306 shares, compared to its average volume of 29,254. The company’s fifty day moving average price is $15.15 and its 200-day moving average price is $12.65. The company has a market capitalization of $467.74 million, a PE ratio of 13.80 and a beta of 0.76. VersaBank has a 12-month low of $7.74 and a 12-month high of $18.38.

VersaBank (NASDAQ:VBNK) last released its earnings results on Thursday, September 5th. The company reported $0.26 EPS for the quarter, missing analysts’ consensus estimates of $0.34 by ($0.08). The company had revenue of $19.72 million for the quarter, compared to analysts’ expectations of $21.83 million. VersaBank had a return on equity of 11.85% and a net margin of 16.24%. On average, sell-side analysts anticipate that VersaBank will post 1.21 EPS for the current year.

VersaBank Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, October 31st. Stockholders of record on Friday, October 4th were paid a $0.018 dividend. This represents a $0.07 dividend on an annualized basis and a dividend yield of 0.40%. The ex-dividend date of this dividend was Friday, October 4th. VersaBank’s dividend payout ratio is presently 5.38%.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the company. Barclays PLC purchased a new stake in shares of VersaBank during the third quarter worth $32,000. K2 Principal Fund L.P. purchased a new stake in VersaBank during the 3rd quarter valued at about $211,000. Mark Sheptoff Financial Planning LLC acquired a new stake in VersaBank in the 3rd quarter valued at about $137,000. Pembroke Management LTD lifted its stake in VersaBank by 45.2% in the 3rd quarter. Pembroke Management LTD now owns 50,864 shares of the company’s stock worth $675,000 after purchasing an additional 15,834 shares in the last quarter. Finally, Mendon Capital Advisors Corp boosted its holdings in shares of VersaBank by 6.1% during the 2nd quarter. Mendon Capital Advisors Corp now owns 84,056 shares of the company’s stock worth $904,000 after purchasing an additional 4,817 shares during the last quarter. 56.86% of the stock is owned by institutional investors and hedge funds.

VersaBank Company Profile

VersaBank provides various banking products and services in Canada and the United States. It offers deposit products, such as web-based chequing accounts, guaranteed investment certificates, registered retirement savings plans, and tax-free savings accounts, as well as deposit insurance products. The company also provides lending services, including point of sale financing that covers purchasing loan and lease receivables from finance companies operating in various industries; commercial banking services comprising commercial real estate, public sector/infrastructure financing, and condominium financing; and residential mortgages.