William A. Specht III, a director at Mid Penn Bancorp Inc. (NASDAQ:MPB), recently acquired 1,356 shares of the company's common stock. The shares were purchased at a price of $29.50 each, totaling approximately $40,002. Following this transaction, Specht directly owns 10,557 shares.
Additionally, Specht holds 4,900 shares through Seal Glove Manufacturing, Inc., an entity he wholly owns. He also maintains 2,235 shares in an IRA and 31,210 shares as a trustee of a family trust for Janet E. Specht. Furthermore, Specht possesses 999 shares of restricted stock, which are set to vest on the first anniversary of the grant date.
In other recent news, Mid Penn Bancorp has announced a public offering of 2,375,000 shares of common stock at a price of $29.50 per share, aiming to raise approximately $70 million. Stephens Inc. and Piper Sandler & Co. are managing the offering, with Mid Penn Bancorp expecting to net around $67 million, assuming the underwriters' additional purchase option is not exercised. The proceeds are intended to support the bank's growth initiatives.
In earnings and revenue results, Mid Penn Bancorp reported an earnings per share (EPS) of $0.74 for the third quarter of 2024, surpassing both analysts' and consensus estimates. This favorable performance was largely due to higher-than-expected net interest income and fee income. The bank's pre-provision net revenue (PPNR) also exceeded initial forecasts after adjustments for certain expenses.
On the analyst front, Piper Sandler has upgraded its price target for Mid Penn Bancorp shares to $35.00, maintaining an Overweight rating. This adjustment follows the bank's strong performance in the second quarter, where it reported an EPS of $0.71, again beating estimates.
Other recent developments include Mid Penn Bancorp's credit profile remaining strong, with nonperforming assets (NPAs) showing only a slight increase due to a single loan migration. The bank reported higher capital levels for the quarter, despite not engaging in any share repurchases. The bank has a share buyback program in place with $5 million remaining under the current authorization.
InvestingPro Insights
The recent insider purchase by William A. Specht III at Mid Penn Bancorp Inc. (NASDAQ:MPB) aligns with several positive indicators highlighted by InvestingPro. The company's stock has shown strong performance, with a 58.55% total return over the past year and an impressive 47.94% return in the last six months. This upward trend suggests that Specht's investment decision may be well-timed.
InvestingPro Tips point out that MPB is trading at a low P/E ratio relative to its near-term earnings growth, with a current P/E ratio of 10.73. This valuation metric could indicate that the stock is potentially undervalued, which may have influenced Specht's decision to increase his holdings.
Moreover, Mid Penn Bancorp boasts a high shareholder yield and has maintained dividend payments for 14 consecutive years, according to InvestingPro Tips. The company's current dividend yield stands at 2.58%, which could be attractive to investors seeking steady income alongside potential capital appreciation.
It's worth noting that InvestingPro offers 10 additional tips for MPB, providing investors with a more comprehensive analysis of the company's financial health and market position. For those interested in a deeper dive into Mid Penn Bancorp's prospects, exploring these additional insights could prove valuable.
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