Fintel reports that on October 20, 2023, Piper Sandler maintained coverage of Home Bancshares (NASDAQ:HOMB) with a Overweight recommendation.
Analyst Price Forecast Suggests 33.82% Upside
As of October 5, 2023, the average one-year price target for Home Bancshares is 27.54. The forecasts range from a low of 26.26 to a high of $29.40. The average price target represents an increase of 33.82% from its latest reported closing price of 20.58.
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The projected annual revenue for Home Bancshares is 1,082MM, an increase of 6.91%. The projected annual non-GAAP EPS is 2.24.
Home Bancshares Declares $0.18 Dividend
On July 26, 2023 the company declared a regular quarterly dividend of $0.18 per share ($0.72 annualized). Shareholders of record as of August 16, 2023 received the payment on September 6, 2023. Previously, the company paid $0.18 per share.
At the current share price of $20.58 / share, the stock's dividend yield is 3.50%.
Looking back five years and taking a sample every week, the average dividend yield has been 2.83%, the lowest has been 1.98%, and the highest has been 5.10%. The standard deviation of yields is 0.46 (n=235).
The current dividend yield is 1.46 standard deviations above the historical average.
Additionally, the company's dividend payout ratio is 0.35. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 0.38%, demonstrating that it has increased its dividend over time.
What is the Fund Sentiment?
There are 582 funds or institutions reporting positions in Home Bancshares. This is a decrease of 40 owner(s) or 6.43% in the last quarter. Average portfolio weight of all funds dedicated to HOMB is 0.23%, an increase of 14.00%. Total shares owned by institutions increased in the last three months by 0.89% to 147,627K shares. 
The put/call ratio of HOMB is 1.57, indicating a bearish outlook.
What are Other Shareholders Doing?
T. Rowe Price Investment Management holds 8,633K shares representing 4.26% ownership of the company. In it's prior filing, the firm reported owning 11,125K shares, representing a decrease of 28.87%. The firm decreased its portfolio allocation in HOMB by 22.57% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 6,198K shares representing 3.06% ownership of the company. In it's prior filing, the firm reported owning 5,682K shares, representing an increase of 8.32%. The firm increased its portfolio allocation in HOMB by 5.69% over the last quarter.
IJH - iShares Core S&P Mid-Cap ETF holds 5,721K shares representing 2.82% ownership of the company. In it's prior filing, the firm reported owning 5,837K shares, representing a decrease of 2.02%. The firm decreased its portfolio allocation in HOMB by 1.39% over the last quarter.
American Century Companies holds 5,433K shares representing 2.68% ownership of the company. In it's prior filing, the firm reported owning 5,327K shares, representing an increase of 1.95%. The firm increased its portfolio allocation in HOMB by 2.50% over the last quarter.
NAESX - Vanguard Small-Cap Index Fund Investor Shares holds 4,974K shares representing 2.46% ownership of the company. In it's prior filing, the firm reported owning 4,791K shares, representing an increase of 3.67%. The firm increased its portfolio allocation in HOMB by 3.72% over the last quarter.
Home Bancshares Background Information
(This description is provided by the company.)
Home BancShares Inc. is a bank holding company whose subsidiaries provide a range of commercial and retail banking services to businesses, real estate developers and investors, individuals and municipalities. The Banks serve central Arkansas, and the Florida Keys and southwestern Florida.
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