Preferred Bank has received regulatory approval to continue its $150 million stock repurchase plan, having repurchased $84.3 million to date.
Quiver AI Summary
Preferred Bank has received regulatory approval to continue its $150 million stock repurchase plan, which had expired in January 2025. To date, the Bank has repurchased $84.3 million of its common stock, purchasing 1.3 million shares at an average price of $63.94 each. The remaining $65.7 million of the plan must be executed before shareholder and regulatory approvals expire in May 2025. As an independent commercial bank headquartered in California, Preferred Bank offers a variety of banking services to both commercial and consumer customers through its multiple branches in California, New York, and Texas.
Potential Positives
- Preferred Bank has received regulatory approval to continue its $150 million stock repurchase plan, indicating strong financial health and confidence in the company's future performance.
- The bank has already repurchased $84.3 million of its common stock, demonstrating a commitment to returning value to shareholders.
- Regulatory approval reaffirms the bank's compliance and reinforces its ability to manage capital effectively.
Potential Negatives
- The requirement for regulatory approval to continue stock repurchases indicates potential limitations on the Bank's financial flexibility and could raise concerns about its capital management strategy.
- The expiration of previous regulatory approval for repurchases could suggest that the Bank may have had difficulties in maintaining its capital structure, leading to possible investor uncertainty.
- The need to seek regulatory approval regularly could hinder the Bank's ability to respond quickly to market conditions, potentially affecting shareholder confidence.
FAQ
What is Preferred Bank's recent stock repurchase plan update?
Preferred Bank has received regulatory approval to continue its $150 million stock repurchase plan, having repurchased $84.3 million so far.
What regulatory approvals did Preferred Bank need for its repurchase plan?
The Bank required shareholder and regulatory approvals to repurchase stock, which are set to expire in May 2025.
How many shares has Preferred Bank repurchased to date?
Preferred Bank has repurchased 1.3 million shares at an average price of $63.94 per share under the Plan.
Where are Preferred Bank's branches located?
The Bank has branches in California, New York, and Texas, with its main office in Los Angeles.
What services does Preferred Bank offer?
Preferred Bank provides a variety of deposit and loan products tailored for commercial and consumer customers.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$PFBC Hedge Fund Activity
We have seen 91 institutional investors add shares of $PFBC stock to their portfolio, and 114 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- UBS GROUP AG added 186,583 shares (+1125.0%) to their portfolio in Q4 2024, for an estimated $16,117,039
- PHOCAS FINANCIAL CORP. removed 115,683 shares (-85.1%) from their portfolio in Q4 2024, for an estimated $9,992,697
- OBERWEIS ASSET MANAGEMENT INC/ removed 95,000 shares (-100.0%) from their portfolio in Q3 2024, for an estimated $7,623,750
- WEISS ASSET MANAGEMENT LP added 82,379 shares (+inf%) to their portfolio in Q4 2024, for an estimated $7,115,898
- KENNEDY CAPITAL MANAGEMENT LLC added 66,107 shares (+274.2%) to their portfolio in Q4 2024, for an estimated $5,710,322
- AMERICAN CENTURY COMPANIES INC added 61,655 shares (+44.7%) to their portfolio in Q4 2024, for an estimated $5,325,758
- STATE STREET CORP added 48,866 shares (+8.2%) to their portfolio in Q4 2024, for an estimated $4,221,045
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
$PFBC Analyst Ratings
Wall Street analysts have issued reports on $PFBC in the last several months. We have seen 2 firms issue buy ratings on the stock, and 0 firms issue sell ratings.
Here are some recent analyst ratings:
- Piper Sandler issued a "Overweight" rating on 01/31/2025
- Stephens issued a "Overweight" rating on 10/22/2024
To track analyst ratings and price targets for $PFBC, check out Quiver Quantitative's $PFBC forecast page.
Full Release
LOS ANGELES, March 18, 2025 (GLOBE NEWSWIRE) -- Preferred Bank (NASDAQ: PFBC) , (“the Bank”), an independent commercial bank, today announced that the Bank has received regulatory approval to continue its shareholder-approved $150 million stock Repurchase Plan, (“the Plan”). Thus far in the Plan, the Bank has repurchased $84.3 million of its common stock during 2023 and 2024, however regulatory approval expired in January of 2025. As a state, non-member Bank that issues its common stock at the bank level (no holding company), Preferred Bank is required to seek regulatory approval to engage in transactions that either increase or decrease capital. The shareholder and regulatory approvals to repurchase the remaining $65.7 million of common stock will expire in May of 2025.
During this repurchase program, the Bank has repurchased 1.3 million shares at an average price of $63.94 per share. Stock repurchases under this Plan will be made in the open market.
About Preferred Bank
Preferred Bank is one of the larger independent commercial banks headquartered in California. The Bank is chartered by the State of California, and its deposits are insured by the Federal Deposit Insurance Corporation, or FDIC, to the maximum extent permitted by law. The Bank conducts its banking business from its main office in Los Angeles, California, and through twelve full-service branch banking offices in California (Alhambra, Century City, City of Industry, Torrance, Arcadia, Irvine (2), Diamond Bar, Pico Rivera, Tarzana and San Francisco (2)). The Bank also operates a branch in Flushing, New York and in the Houston suburb of Sugar Land, Texas as well as a Loan Production Office in Sunnyvale, California. Preferred Bank offers a broad range of deposit and loan products and services to both commercial and consumer customers. The Bank provides personalized deposit services as well as real estate finance, commercial loans and trade finance to small and mid-sized businesses, entrepreneurs, real estate developers, professionals and high net worth individuals. Although originally founded as a Chinese-American Bank, Preferred Bank now derives most of its customers from the diversified mainstream market but does continue to benefit from the significant migration to California of ethnic Chinese from China and other areas of East Asia.
AT THE COMPANY:
Edward J. Czajka
Executive Vice President
Chief Financial Officer
(213) 891-1188
AT FINANCIAL PROFILES:
Jeffrey Haas
General Information
(310) 622-8240
[email protected]
