Scott D. Kleinman, Senior Executive Vice President at Huntington Bancshares Inc. (NASDAQ:HBAN), recently sold a portion of his holdings in the company. According to a recent SEC filing, Kleinman sold 28,600 shares of common stock on November 13, 2024, at an average price of $17.671 per share, totaling approximately $505,390.
In addition to the stock sale, Kleinman acquired 101,351 shares through the exercise of stock options at a price of $8.57 per share. Following these transactions, Kleinman holds 423,324.739 shares directly.
These transactions are part of Kleinman's ongoing management of his investment in the company, where he maintains a significant stake.
In other recent news, the banking industry is set to experience significant changes with the anticipated return of former President Donald Trump. Regulatory easing is expected, likely softening the Basel III endgame proposal and streamlining merger approvals. Notably, this could lead to a boost in mergers and acquisitions in the banking sector, as suggested by analyst Ed Mills from Raymond (NS:RYMD) James. However, Meg Tahyar from Davis Polk's financial institutions group warns against expecting a complete overhaul.
On the earnings front, Huntington Bancshares reported strong Q3 2024 results, with earnings per common share of $0.33 and a return on tangible common equity of 16.2%. The bank also announced an accelerated loan growth of 3.1% year-over-year and an increase in deposits by $8.3 billion. Analysts from Citi maintain a buy rating on Huntington shares, highlighting the bank's strategy to manage interest rate impacts and potential benefits from fixed asset repricing.
Piper Sandler, however, maintains an Underweight rating on Huntington Bancshares but increased the stock price target to $15.00. The firm's analysts fine-tuned their earnings per share estimates for the upcoming years, slightly increasing the 2024 estimate from $1.19 to $1.20 and reducing the 2025 forecast from $1.31 to $1.28. These recent developments reflect the evolving financial landscape and the strategic decisions made by these financial institutions.
InvestingPro Insights
Scott D. Kleinman's recent stock sale at Huntington Bancshares Inc. (NASDAQ:HBAN) comes at a time when the company's stock is trading near its 52-week high, with a price that is 98.44% of its peak. This aligns with one of the InvestingPro Tips, which notes that HBAN is "Trading near 52-week high." The timing of Kleinman's sale could be seen as capitalizing on the stock's strong performance.
InvestingPro Data shows that HBAN has a market capitalization of $25.71 billion and a P/E ratio of 16.8, suggesting a moderate valuation relative to earnings. The company's dividend yield stands at 3.54%, which is particularly noteworthy given another InvestingPro Tip: HBAN "Has maintained dividend payments for 54 consecutive years." This long-standing dividend history may provide some context for why executives like Kleinman maintain significant holdings in the company despite periodic sales.
The stock's recent performance has been impressive, with a 1-year price total return of 67.04% and a 3-month return of 28.67%. These figures support the InvestingPro Tip indicating a "Strong return over the last three months" and "High return over the last year."
For investors seeking a more comprehensive analysis, InvestingPro offers additional insights with 9 more tips available for Huntington Bancshares. These tips could provide valuable context for understanding executive transactions and the company's overall financial health.
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