Top Financial Stocks
Financial stocks extended their Wednesday gains, with the NYSE Financial Sector Index rising over 0.3% while financial companies in the S&P 500 Index were climbing over 0.7%. Elsewhere, the Philadelphia Housing Sector Index was slightly more than 0.2% lower.
In economic news:
Mortgage applications surged 4.5% during the week ended Jan. 19, according to the Mortgage Bankers' Association. Purchases rose 6.1% gain while re-financing transactions increased 0.9% last week. The average 30-year fixed mortgage rate rose 3 basis points to 4.36%, continuing to rise with market yields following the release of minutes from the December Federal Open Market Committee meeting last week. The three-day partial federal government shutdown that began Saturday appears to have had little impact on the housing market.
Among financial stocks moving on news today:
Capital City Bank Group ( CCBG ) was higher in late Wednesday trading after analysts at Sandler O'Neill today raised their investment recommendation for the bank company's stock to Hold From Sell. The upgrade follows Capital City yesterday reporting adjusted net income of $0.24 per share, matching analyst estimates. Total revenue rose to $34.4 mln, roughly in-line with the $34.9 mln consensus call.
In other sector news:
+ Northern Trust ( NTRS ) was higher today after the financial holding company reported Q4 net income of $1.51 per share, up from $1.11 during the same quarter last year and beating the $1.37 per share analyst mean. Revenue grew to $1.43 bln from $1.35 bln during the year-ago period and also topping the consensus analyst forecast expecting $1.41 bln in quarterly revenue. Assets under management jumped 23% year over year to $1.16 trillion on Dec. 31.
- BOK Financial ( BOKF ) declined as 3% on Wednesday, touching a session low of $94.41 a share, despite reporting improved GAAP Q4 net income compared with last year. The company earned $1.11 per share during the three months ended Dec. 31 compared with $0.76 per share during the same quarter last year. The latest bottom-line results includes an $0.18 per share charge linked to federal tax reforms. Analysts polled by Capital IQ were looking for GAAP net income of $1.31 per share and adjusted net income of $1.34 per share. Revenue increased 8.1% to $385 million, also shy of the $392.2 mln consensus.
+ Prosperity Bancshares ( PB ) rose Wednesday after reporting Q4 earnings of $0.97 per share, which included a $0.02 negative impact from the Tax Cuts and Job Act. Excluding one-time items, it earned $0.99 per share, unchanged from its adjusted profit during the year-ago period and matching the the Capital IQ consensus. Revenue rose to $185.3 mln from $183.3 mln last year and roughly matching the $185.0 mln consensus.