Provident Financial Holdings, Inc. announces a stock repurchase program for 334,773 shares, canceling the previous program.
Quiver AI Summary
Provident Financial Holdings, Inc. announced that its Board of Directors has approved a stock repurchase program allowing for the buyback of up to 334,773 shares, equating to five percent of its common stock, starting January 24, 2025. The repurchase will occur over the next year and will depend on market conditions, the company’s capital needs, and available cash. The company also announced the cancellation of its previous stock repurchase program from September 2023, which had 21,691 shares remaining eligible for repurchase. The release includes a safe-harbor statement cautioning that forward-looking statements made are based on current expectations and may be affected by various risks and uncertainties.
Potential Positives
- Authorization of a stock repurchase program of up to 334,773 shares, reflecting the company's commitment to returning value to shareholders.
- Cancellation of the previous stock repurchase program indicates a strategic shift to optimize capital allocation.
- The program's flexibility to purchase shares depending on market conditions suggests a proactive approach to managing shareholder equity and market opportunities.
Potential Negatives
- The cancellation of the previous stock repurchase program indicates potential weaknesses in the Company's financial stability or capital management, raising concerns about its ability to effectively utilize capital for shareholder returns.
- Repurchasing a relatively small percentage (5%) of common stock may suggest that the Company lacks more substantial plans for growth or investment opportunities, potentially signaling a lack of confidence in future performance.
- The need to reassess capital allocation and market conditions for share repurchases may reflect uncertainty about the Company's financial outlook amid broader macroeconomic challenges.
FAQ
What is the recent stock repurchase announcement by Provident Financial Holdings?
Provident Financial Holdings announced the Board has authorized repurchase of up to 334,773 shares, or 5% of its common stock.
When will Provident begin repurchasing its common stock?
The stock repurchases will begin on January 24, 2025, and will continue for one year.
What happened to the previous stock repurchase program?
The September 2023 stock repurchase program has been canceled effective January 24, 2025, with 21,691 shares no longer eligible for repurchase.
How will the repurchased shares be acquired?
The shares will be purchased in the open market or through privately negotiated transactions, depending on several factors.
What risks are associated with Provident's forward-looking statements?
Forward-looking statements may involve risks including market conditions, interest rates, and competitive factors that could affect actual results.
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.
$PROV Insider Trading Activity
$PROV insiders have traded $PROV stock on the open market 1 times in the past 6 months. Of those trades, 0 have been purchases and 1 have been sales.
Here’s a breakdown of recent trading of $PROV stock by insiders over the last 6 months:
- CRAIG G BLUNDEN sold 1,059 shares for an estimated $16,488
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$PROV Hedge Fund Activity
We have seen 6 institutional investors add shares of $PROV stock to their portfolio, and 17 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- BAIRD FINANCIAL GROUP, INC. removed 164,062 shares (-100.0%) from their portfolio in Q3 2024, for an estimated $2,354,289
- M3F, INC. removed 94,692 shares (-15.9%) from their portfolio in Q3 2024, for an estimated $1,358,830
- FOURTHSTONE LLC added 69,050 shares (+inf%) to their portfolio in Q3 2024, for an estimated $990,867
- BLACK MAPLE CAPITAL MANAGEMENT LP added 14,052 shares (+96.8%) to their portfolio in Q3 2024, for an estimated $201,646
- CONTINENTAL ADVISORS LLC removed 12,055 shares (-20.7%) from their portfolio in Q3 2024, for an estimated $172,989
- BLACKROCK, INC. removed 11,110 shares (-3.9%) from their portfolio in Q3 2024, for an estimated $159,428
- MANUFACTURERS LIFE INSURANCE COMPANY, THE removed 8,322 shares (-2.6%) from their portfolio in Q3 2024, for an estimated $119,420
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
RIVERSIDE, Calif., Jan. 23, 2025 (GLOBE NEWSWIRE) -- Provident Financial Holdings, Inc. (“Company”), NASDAQ GS: PROV, the holding company for Provident Savings Bank, F.S.B., today announced that the Company’s Board of Directors authorized the repurchase of up to five percent (5%) of the Company’s common stock, approximately 334,773 shares. Beginning on January 24, 2025, the Company will purchase the shares from time to time in the open market or through privately negotiated transactions over a one-year period depending on market conditions, the capital requirements of the Company, and available cash that can be allocated to the stock repurchase program, among other considerations. Additionally, the September 2023 stock repurchase program which was extended on September 26, 2024 is canceled effective January 24, 2025. There were 21,691 remaining shares eligible for repurchase in the September 2023 stock repurchase program that will no longer be repurchased.
Safe-Harbor Statement
Certain matters in this News Release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements may relate to, among others, expectations of the business environment in which the Company operates, projections of future performance, perceived opportunities in the market, potential future credit experience, and statements regarding the Company’s mission and vision. These forward-looking statements are based upon current management expectations, and may, therefore, involve risks and uncertainties. The Company’s actual results, performance, or achievements may differ materially from those suggested, expressed, or implied by forward-looking statements as a result of a wide range of factors including, but not limited to, the general business environment, interest rates, the California real estate market, competitive conditions between banks and non-bank financial services providers, regulatory changes, and other risks detailed in the Company’s reports filed with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the fiscal year ended June 30, 2024.
Contacts:
Donavon P. Ternes
President and
Chief Executive Officer
Tam B. Nguyen
Senior Vice President and
Chief Financial Officer
(951) 686-6060