EVERTEC, Inc. (NYSE:EVTC) Sees Significant Decline in Short Interest

EVERTEC, Inc. (NYSE:EVTC) was the recipient of a large drop in short interest during the month of November. As of November 15th, there was short interest totalling 2,500,000 shares, a drop of 7.4% from the October 31st total of 2,700,000 shares. Based on an average daily volume of 387,100 shares, the days-to-cover ratio is presently 6.5 days. Approximately 4.0% of the company’s shares are sold short.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the stock. Opal Wealth Advisors LLC bought a new position in shares of EVERTEC in the 2nd quarter worth $28,000. Public Employees Retirement System of Ohio purchased a new stake in EVERTEC during the third quarter valued at about $28,000. Point72 Asia Singapore Pte. Ltd. bought a new stake in EVERTEC during the third quarter worth about $55,000. Northwestern Mutual Wealth Management Co. boosted its holdings in shares of EVERTEC by 866.5% in the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 2,426 shares of the business services provider’s stock worth $81,000 after purchasing an additional 2,175 shares in the last quarter. Finally, Benjamin F. Edwards & Company Inc. raised its holdings in shares of EVERTEC by 90.7% during the 2nd quarter. Benjamin F. Edwards & Company Inc. now owns 3,132 shares of the business services provider’s stock valued at $104,000 after buying an additional 1,490 shares in the last quarter. 96.80% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

A number of brokerages have commented on EVTC. Susquehanna cut shares of EVERTEC from a “neutral” rating to a “negative” rating and cut their price target for the company from $38.00 to $28.00 in a research report on Thursday, September 5th. Morgan Stanley raised EVERTEC from an “underweight” rating to an “equal weight” rating and boosted their price target for the company from $33.00 to $35.00 in a research note on Thursday, November 21st.

EVERTEC Stock Down 1.3 %

NYSE EVTC traded down $0.46 on Tuesday, reaching $35.52. The company had a trading volume of 249,526 shares, compared to its average volume of 390,974. The company’s fifty day moving average is $34.04 and its 200 day moving average is $33.76. The stock has a market capitalization of $2.26 billion, a P/E ratio of 27.72, a P/E/G ratio of 1.63 and a beta of 1.16. EVERTEC has a 52-week low of $28.76 and a 52-week high of $42.21. The company has a quick ratio of 1.97, a current ratio of 1.97 and a debt-to-equity ratio of 1.84.

EVERTEC (NYSE:EVTC) last released its quarterly earnings data on Wednesday, November 6th. The business services provider reported $0.86 earnings per share for the quarter, beating analysts’ consensus estimates of $0.73 by $0.13. The business had revenue of $211.80 million during the quarter, compared to analyst estimates of $211.51 million. EVERTEC had a net margin of 10.20% and a return on equity of 33.01%. EVERTEC’s revenue was up 22.3% compared to the same quarter last year. During the same period in the previous year, the business earned $0.72 EPS. Sell-side analysts anticipate that EVERTEC will post 2.55 earnings per share for the current fiscal year.

EVERTEC Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, December 6th. Investors of record on Monday, October 28th will be paid a dividend of $0.05 per share. This represents a $0.20 annualized dividend and a yield of 0.56%. The ex-dividend date of this dividend is Monday, October 28th. EVERTEC’s dividend payout ratio is 15.63%.

About EVERTEC

EVERTEC, Inc engages in transaction processing business and financial technology in Latin America and the Caribbean. The company operates through four segments: Payment Services – Puerto Rico & Caribbean; Latin America Payments and Solutions; Merchant Acquiring; and Business Solutions. It provides merchant acquiring services, which enable point of sales and e-commerce merchants to accept and process electronic methods of payment, such as debit, credit, prepaid, and electronic benefit transfer (EBT) cards.