Metropolitan Bank Holding Corp. (NYSE:MCB) President and CEO Mark R. DeFazio has sold a substantial amount of the company's stock, according to a recent filing with the Securities and Exchange Commission. The transactions, which occurred on July 22 and July 23, 2024, involved the sale of shares at prices ranging from $54.9778 to $55.9478, amounting to a total of $5,072,689.
The first set of transactions on July 22 included the sale of 34,328 shares at a weighted average price of $55.3275, with individual sales prices between $54.90 and $55.89. Additionally, DeFazio sold 658 shares at an average price of $55.9478, with a range from $55.90 to $56.25. The following day, he sold 57,052 shares at an average of $54.9778, with sales prices spanning from $54.50 to $55.45.
Following these sales, DeFazio's remaining direct ownership in Metropolitan Bank Holding Corp. includes 124,156 shares. The filing also noted indirect ownership of 20,517 shares held by an LLC and 3,372 shares by a 401(k).
The SEC filing was signed on behalf of DeFazio by Frederik Erikson, pursuant to a power of attorney, on July 24, 2024. The exact details of the transactions, including the number of shares sold at each separate price within the ranges, have been made available upon request by Metropolitan Bank Holding Corp. or the SEC.
Investors often monitor insider sales as they may provide insights into an executive's perspective on the company's current valuation or future prospects. However, such transactions can be motivated by a variety of personal or financial reasons and do not necessarily indicate a change in company performance or strategy.
In other recent news, Metropolitan Commercial Bank (MCB) has posted robust Q2 results for 2024, with an increase in net interest margin (NIM) and earnings per share. MCB's NIM expanded by four basis points, and earnings per share reached $1.50, fueled by growth in commercial and industrial loans and commercial real estate loans. Despite a dip in deposits due to the wind down of the GPG business, MCB is actively substituting them with core deposits, adhering to its commercial banking growth strategy.
The bank's strategic initiatives, including the ongoing digital transformation expected to conclude in 2025, are progressing as planned. Meanwhile, the bank anticipates a modest uplift in NIM for the remainder of the year, targeting a fourth quarter NIM between 3.47% and 3.50%. The bank also projects a balance sheet increase of $200 million to $300 million by the end of the year.
While non-interest income was affected by declines in letter of credit fees and GPG revenue, it saw an increase due to deposit fees. Total non-interest expense guidance for the full year 2024 remains at $161 million to $163 million. BaaS revenue is projected to be $9 million to $11 million for 2024, with total non-interest income expected to be $20 million to $22 million. These are among the recent developments at Metropolitan Commercial Bank.
InvestingPro Insights
Amidst the insider trading activity, Metropolitan Bank Holding Corp. (NYSE:MCB) presents a mixed financial landscape according to the latest metrics from InvestingPro. With a current market capitalization of $596.25 million and a P/E ratio of 8.61, the company is trading at a low price relative to its near-term earnings growth. This could suggest that MCB's stock is undervalued, making it a potentially attractive option for value investors.
InvestingPro Data also reveals that MCB has experienced a strong return over the last month, with a 36.26% increase, and over the last three months, posting a 29.87% gain. These figures indicate robust short-term performance, which contrasts with a slight year-to-date price total return decrease of -0.92%. The company's gross profit margins, however, have been identified as weak, which may raise concerns about cost management and profitability.
For investors seeking additional insights, there are more InvestingPro Tips available that further analyze MCB's financial health and market position. For instance, while analysts have revised their earnings downwards for the upcoming period, they still predict the company will be profitable this year. Moreover, MCB has been profitable over the last twelve months, yet it does not pay a dividend to shareholders, which could influence investment decisions for those seeking income-generating stocks.
To explore these nuanced aspects of Metropolitan Bank Holding Corp.'s financial outlook, investors can utilize the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription at InvestingPro. With 9 additional InvestingPro Tips available, informed decisions are within reach for those looking to delve deeper into MCB's performance and potential.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.