In a recent transaction, Michael W. Koehnen, a director at Trico Bancshares (NASDAQ:TCBK), sold shares of the company's stock. The sale, which took place on August 28, 2024, involved 1,400 shares at a price of $45.20 each, totaling $63,280. Following this transaction, Koehnen's direct and indirect holdings in the company include a substantial number of shares across various accounts.
Investors tracking insider activity may note that the sale occurred through indirect ownership by the director's mother's trust. Despite this sale, Koehnen maintains a significant investment in the company, with direct and indirect holdings in common stock through various entities, including family trusts and profit-sharing plans.
Trico Bancshares, operating under the trading symbol NASDAQ:TCBK, is a financial institution categorized under state commercial banks. The company, headquartered in Chico, California, has a broad presence and is known for its community banking services.
The recent transaction is part of the regular disclosure of stock activities by company insiders. Such filings provide transparency and can serve as an indicator of the insiders' perspectives on the company's current valuation and future prospects.
While the sale by Director Koehnen is a point of interest, it's important for investors to consider the broader context of the company's performance, strategy, and market position when making investment decisions. Trico Bancshares continues to be an active player in the financial sector, and insider transactions are just one of many factors that can influence investor sentiment.
In other recent news, TriCo Bancshares has seen an upward revision in its earnings forecast for the years 2024 and 2025. Piper Sandler, the firm behind the revision, increased its price target for the company from $47.00 to $53.00, maintaining an Overweight rating. The revised earnings per share (EPS) estimates are $3.36 for 2024 and $3.51 for 2025, up from previous forecasts of $3.20 and $3.22, respectively.
The new price target reflects a valuation at 15.0 times the estimated 2025 earnings per share, an increase from the prior multiple of 14.5 times. This is due to expected higher market multiples in the valuation. Piper Sandler's positive outlook for TriCo Bancshares stems from a variety of factors, including a higher net interest margin (NIM), improved non-interest expense (NIE), and lower loan loss provisions (LLPs).
Additionally, TriCo Bancshares' robust performance metrics, such as its above-average pre-provision net revenue return on assets (PPNR ROA), higher than average reserves, strong capital levels, and a low-cost core deposit base, have further bolstered the firm's optimistic stance. These elements contribute to the bank's balance sheet flexibility, potentially enabling it to outperform its peers. These are the recent developments for TriCo Bancshares.
InvestingPro Insights
As Trico Bancshares (NASDAQ:TCBK) continues to navigate the financial sector, recent data from InvestingPro provides a snapshot of the company's financial health and market performance. With a market capitalization of approximately $1.48 billion, and a price-to-earnings (P/E) ratio standing at 13.17, Trico Bancshares presents a value proposition that may attract investors looking for stable earnings at a reasonable market valuation.
The company's commitment to shareholder returns is evident, with an impressive track record of raising its dividend for 11 consecutive years and maintaining dividend payments for 32 years. This consistency is a testament to the company's financial stability and dedication to delivering value to its shareholders. Additionally, Trico Bancshares has demonstrated a strong return over the last six months, with a price total return of 37.91%, reflecting positive investor sentiment and a robust market performance.
While Trico Bancshares has experienced a revenue decline of 6.13% over the last twelve months, it's noteworthy that analysts have revised their earnings upwards for the upcoming period, suggesting potential for future growth. This optimism is supported by the company's solid operating income margin of 40.0%, indicating efficient management and profitability. Investors may also find encouragement in the fact that Trico Bancshares has been profitable over the last twelve months.
For those interested in exploring further, InvestingPro offers additional insights and metrics on Trico Bancshares. Currently, there are 6 more InvestingPro Tips available, which provide a deeper analysis of the company's financials and market prospects. Access these valuable tips at InvestingPro to better inform your investment decisions.
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