INBK stock touches 52-week low at $21.67 amid market shifts

First Internet Bancorp (NASDAQ:INBK) stock has reached a 52-week low, dipping to $21.67, as investors navigate a challenging economic landscape. According to InvestingPro analysis, the company appears undervalued based on its Fair Value assessment, with solid fundamentals including a dividend yield of ~7% and a price-to-book ratio of 0.6x. The decline marks a significant shift from the company’s performance over the past year, with the stock experiencing a 1-year change of -25.14%. This downturn reflects broader market trends and investor sentiment, as First Internet Bancorp grapples with the same headwinds affecting the banking sector at large. Shareholders and potential investors are closely monitoring the company’s strategies for recovery and growth in the coming quarters. For deeper insights, InvestingPro subscribers can access an exclusive Pro Research Report with comprehensive analysis of INBK’s financial health, growth prospects, and 12+ actionable ProTips.

In other recent news, First Internet Bancorp reported first-quarter earnings that did not meet analyst expectations. The company posted adjusted earnings per share of $0.11, significantly missing the consensus estimate of $0.76. Revenue for the quarter was $35.52 million, falling short of the projected $36.69 million. Net income saw a substantial decline to $0.9 million from $7.3 million in the same period last year, primarily due to elevated net charge-offs and additional loan loss provisions. Total (EPA:TTEF) loans increased by 8.8% year-over-year to $4.3 billion, while deposits saw a slight growth of 0.3% from the previous quarter, reaching $5.0 billion. The net interest margin improved to 1.82%, compared to 1.66% in the first quarter of the previous year. Nonperforming loans rose to 0.80% of total loans, up from 0.33% a year ago, with the company recording an $11.9 million provision for credit losses. First Internet Bancorp emphasized its focus on higher-yielding variable rate products and noted strong growth in fintech deposits during the quarter. Despite current challenges, the management remains confident in driving future earnings growth through strategies focused on revenue diversification and balance sheet optimization.

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