Scott Lublin, the Executive Vice President and Chief Legal Officer of Metropolitan Bank Holding Corp. (NYSE:MCB), has completed the sale of company stock valued at more than $157,000. The transactions, which took place on July 23 and 24, were disclosed in a recent regulatory filing.
On July 23, Lublin sold 1,005 shares of Metropolitan Bank stock at a price of $55.1143 per share. The following day, he sold an additional 1,824 shares, this time at a slightly higher price of $55.9885 per share. The total value of the shares sold across both days amounted to approximately $157,512, based on the prices at which the stock was sold.
Following these transactions, Lublin's ownership in the company stands at 55,253 shares. It is important to note that this figure includes restricted stock units that are set to vest over the coming years, as indicated by footnotes in the filing. These units were granted on various dates and are scheduled to vest in increments of 33.3% annually, beginning on specific dates in 2023, 2024, and 2025.
The sale was executed as part of a routine financial disclosure and provides investors with insights into the trading activity of the bank's executives. Metropolitan Bank Holding Corp., headquartered in New York, operates as the holding company for Metropolitan Commercial Bank, providing a range of financial services to its clients.
Investors often monitor insider transactions as they can provide valuable context for the stock's performance and potential future movements. However, it should be noted that insider sales can occur for a variety of reasons and may not necessarily reflect a negative outlook on the company's future by the executive.
In other recent news, Metropolitan Commercial Bank reported a robust financial performance for the second quarter of 2024. The bank's earnings per share reached $1.50, driven by growth in commercial and industrial loans, as well as commercial real estate loans. The bank's net interest margin (NIM) expanded by four basis points in the same quarter. Despite a decrease in deposits due to the wind down of the GPG business, the bank is actively replacing them with core deposits, and remains dedicated to its commercial banking growth strategy.
The bank's digital transformation project is progressing as planned, with completion expected in 2025. The bank anticipates a modest uplift in NIM for the rest of the year, targeting a fourth quarter NIM between 3.47% and 3.50%. Additionally, MCB expects a balance sheet increase of $200 million to $300 million by the end of the year.
However, MCB faced a decline in non-interest income due to decreases in letter of credit fees and GPG revenue. Despite this, the bank managed to increase non-interest income through deposit fees. Lastly, Metropolitan Commercial Bank's CEO, Mark R. DeFazio, expressed a positive outlook for the second half of the year, with a clear vision for 2025 and a commitment to return to historical performance standards.
InvestingPro Insights
In light of the recent insider transactions at Metropolitan Bank Holding Corp. (NYSE:MCB), investors may find additional context through real-time data and metrics from InvestingPro. Despite the sale by Executive Vice President and Chief Legal Officer Scott Lublin, the bank's performance and outlook can be assessed through various financial lenses.
InvestingPro data highlights that Metropolitan Bank Holding Corp. is currently trading at a P/E ratio of 8.69, which is considered low relative to its near-term earnings growth. This could suggest that the stock is undervalued compared to its growth potential. Additionally, the company has experienced a strong return over the last three months, with a 28.77% increase in price total return, pointing towards positive market sentiment.
While the bank's revenue growth has seen a slight decline of 3.35% over the last twelve months as of Q2 2024, this is juxtaposed with a substantial quarterly revenue growth of 15.43% in Q2 2024, indicating a potential turnaround or seasonal fluctuation in earnings. Investors might also consider the PEG ratio of 0.39, which combines the P/E ratio with the expected earnings growth rate, suggesting that the stock could be a compelling choice for value investors.
Among the several InvestingPro Tips available for Metropolitan Bank Holding Corp., two particularly stand out. Firstly, analysts have noted that the company suffers from weak gross profit margins, which could be a point of concern for potential investors. Secondly, while analysts predict the company will be profitable this year, net income is expected to drop. These insights could be critical for investors evaluating the company's financial health and future profitability.
For those interested in a deeper analysis, there are additional InvestingPro Tips available for MCB at https://www.investing.com/pro/MCB. Subscribers can also benefit from an exclusive offer using the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription. With 9 additional tips listed in InvestingPro, subscribers can gain a more comprehensive understanding of Metropolitan Bank Holding Corp.'s financial standing and make more informed investment decisions.
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