VersaBank (NASDAQ:VBNK) Sees Significant Growth in Short Interest

VersaBank (NASDAQ:VBNK) was the target of a significant growth in short interest during the month of November. As of November 30th, there was short interest totalling 43,800 shares, a growth of 35.2% from the November 15th total of 32,400 shares. Currently, 0.3% of the shares of the stock are sold short. Based on an average daily trading volume, of 39,600 shares, the days-to-cover ratio is presently 1.1 days.

Analyst Ratings Changes

A number of equities analysts have weighed in on the stock. Keefe, Bruyette & Woods initiated 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. Roth Mkm began coverage on VersaBank in a report on Friday, September 27th. They set a “buy” rating and a $18.00 price objective on the stock. Raymond James reissued an “outperform” rating and issued a $17.00 target price (up from $15.00) on shares of VersaBank in a research note on Friday, November 8th. Finally, Roth Capital raised VersaBank to a “strong-buy” rating in a research note 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’s stock. Based on data from MarketBeat.com, VersaBank has a consensus rating of “Buy” and an average target price of $19.00.

VersaBank Stock Performance

VBNK traded down $0.31 during trading on Friday, reaching $15.39. 74,511 shares of the company’s stock were exchanged, compared to its average volume of 56,409. VersaBank has a fifty-two week low of $8.90 and a fifty-two week high of $18.38. The company’s fifty day moving average price is $15.92 and its 200-day moving average price is $13.16. The firm has a market capitalization of $400.14 million, a PE ratio of 13.99 and a beta of 0.83.

VersaBank Cuts Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, January 31st. Stockholders of record on Friday, January 10th will be given a dividend of $0.0177 per share. The ex-dividend date of this dividend is Friday, January 10th. This represents a $0.07 annualized dividend and a dividend yield of 0.46%. VersaBank’s payout ratio is currently 6.36%.

Institutional Trading of VersaBank

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Pembroke Management LTD bought a new stake in VersaBank in the second quarter valued at approximately $377,000. Acadian Asset Management LLC increased its position in shares of VersaBank by 52.2% in the 2nd quarter. Acadian Asset Management LLC now owns 100,466 shares of the company’s stock valued at $1,067,000 after buying an additional 34,462 shares in the last quarter. K2 Principal Fund L.P. acquired a new stake in VersaBank during the 3rd quarter worth $211,000. Dimensional Fund Advisors LP lifted its holdings in VersaBank by 44.7% during the second quarter. Dimensional Fund Advisors LP now owns 50,038 shares of the company’s stock worth $540,000 after acquiring an additional 15,462 shares in the last quarter. Finally, Mark Sheptoff Financial Planning LLC acquired a new position in VersaBank in the third quarter valued at about $137,000. 56.86% of the stock is owned by institutional investors.

About VersaBank

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.