On Thursday, Keefe, Bruyette & Woods adjusted its price target on shares of BOK Financial (NASDAQ: BOKF), increasing it to $100 from the previous target of $97, while maintaining a Market Perform rating on the stock. The firm's decision came after BOK Financial reported a stronger than expected first quarter for 2024.
The financial institution experienced robust growth during the quarter, with a stable net interest margin (NIM) and improved credit trends, including a decrease in non-performing assets (NPAs) and low net charge-offs (NCOs). BOK Financial also repurchased 0.9% of its outstanding shares, signaling confidence in its financial position.
Analysts at Keefe, Bruyette & Woods highlighted the company's credit performance as a key driver for the revised estimates, setting their earnings expectations for 2024 and 2025 at $7.75 and $8.40 per share, respectively. They cited the potential for upside in the stock, based on asset repricing and a deceleration in non-interest bearing deposit (NIBD) remix.
BOK Financial's shares showed a notable outperformance on the day, surpassing the broader market by approximately 180 basis points. The stock is currently trading at 11 times the firm's 2025 earnings estimate and 1.49 times its tangible book value (TBV). With these metrics in mind, Keefe, Bruyette & Woods has affirmed its Market Perform rating while adjusting the price target upward.
InvestingPro Insights
As BOK Financial (NASDAQ: BOKF) garners attention with its revised price target from Keefe, Bruyette & Woods, a closer look at real-time data from InvestingPro reveals additional facets of the company's financial health. BOK Financial's market capitalization stands at a robust $5.88 billion, with a forward-looking P/E ratio of 13.14, indicating the market's perception of its earnings potential. Despite a slight downturn in revenue growth over the last twelve months, the company boasts a strong operating income margin of 38.41% and a consistent dividend yield of 2.36%, showcasing its profitability and commitment to shareholder returns.
InvestingPro Tips further enrich the narrative, highlighting that BOK Financial has not only raised its dividend for 10 consecutive years but has maintained these payments for 20 consecutive years. This demonstrates a strong track record of financial stability and investor confidence. Additionally, the company is trading near its 52-week high, with a price 97.35% of this peak, reflecting significant investor optimism. For investors looking to delve deeper into the company's performance and future prospects, there are additional InvestingPro Tips available at https://www.investing.com/pro/BOKF, including insights on analysts' earnings revisions and profitability predictions. Don't forget to use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, unlocking even more expert analysis and tips.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.