Independent Advisor Alliance has increased its investment in Truist Financial Corporation by acquiring an additional 29,191 shares, raising its total stake by 9.7%. As of the latest filing with the Securities and Exchange Commission (SEC), the firm owns 329,093 shares of the financial services provider, with a total value of approximately $15,046,000. This move reflects a growing interest in the company among institutional investors.
Several other institutional investors have also made adjustments to their holdings in Truist Financial (NYSE: TFC). For instance, Valley Wealth Managers Inc. established a new position valued at about $28,000 during the third quarter. Additionally, Aspect Partners LLC boosted its stake by 71.5% in the second quarter, now holding 643 shares worth around $28,000 after acquiring 268 additional shares.
Darwin Wealth Management LLC notably increased its stake by 631.6% in the third quarter, now owning 695 shares valued at $32,000. Meanwhile, Capital A Wealth Management LLC raised its holdings by an impressive 1,189.5%, owning 735 shares worth $32,000 after purchasing 678 additional shares. Collectively, institutional investors currently own 71.28% of Truist Financial’s stock.
Insider Transactions and Performance Metrics
In other significant developments, Director K. David Jr. Boyer sold 5,160 shares of Truist Financial on November 25, 2023, at an average price of $46.45, totaling approximately $239,682. This transaction reduced his holdings by 33.70%, leaving him with 10,153 shares valued at about $471,606.85. Additionally, Chief Financial Officer Michael Baron Maguire sold 13,000 shares on January 26, 2024, at an average price of $50.13, amounting to $651,690. Following this transaction, Maguire owns 74,323 shares worth around $3,725,811.99, reflecting a 14.89% decrease in his position.
As of the last earnings report on January 21, 2024, Truist Financial reported earnings per share (EPS) of $1.00, falling short of the consensus estimate of $1.09 by $0.09. The company generated revenue of $5.25 billion, which was below analysts’ expectations of $5.32 billion. Despite this, revenue increased by 3.6% year-over-year, and the company achieved a return on equity of 9.03% with a net margin of 17.09%.
Share Buyback and Dividend Announcements
In a strategic move, Truist Financial announced a share repurchase plan on December 16, 2023, authorizing the buyback of up to $10.00 billion in shares. This plan allows the company to repurchase approximately 15.7% of its stock through open market transactions, a sign that the board believes the shares are undervalued.
Additionally, the company declared a quarterly dividend of $0.52 per share, set to be paid on March 2, 2024, to shareholders of record as of February 13, 2024. This represents an annualized dividend of $2.08 and a yield of 4.0%, with a payout ratio currently at 54.59%.
Wall Street analysts have varied opinions on Truist Financial’s stock. Research firm The Goldman Sachs Group reiterated a “buy” rating with a price target of $58.00. Argus increased their target from $54.00 to $58.00, maintaining a “buy” rating. Conversely, Barclays downgraded the stock from “equal weight” to “underweight,” but raised the target price from $47.00 to $56.00. Overall, seven analysts rate the stock as a Buy, seven as Hold, and one as Sell, leading to a consensus rating of “Hold” with a target price of $54.20.
Truist Financial Corporation, headquartered in the United States, operates as a bank holding company providing a comprehensive range of financial services through its primary subsidiary, Truist Bank. Its offerings include traditional retail banking products, commercial lending, and wealth management services, among others.
