S&T Bancorp director Frank J. Palermo Jr. sells $215k in shares

Frank J. Palermo Jr., a director at S&T Bancorp Inc. (NASDAQ:STBA), recently sold shares worth approximately $215,254. The transactions, which took place on November 13, 2024, involved the sale of 4,981.584 shares at a price of $43.21 per share. Following these sales, Palermo holds no shares in his Individual Retirement Accounts (IRA and Spouse IRA).

In addition to these sales, Palermo acquired shares through reinvested dividends in a dividend reinvestment plan, totaling $4,607 at the same price of $43.21 per share. This acquisition contributed to his holdings in indirect accounts, specifically in an IRA and a Spouse IRA.

Palermo's remaining direct holdings include 23,143.443 shares of common stock and 1,573 Director Restricted Stock Units, which are set to vest in 364 days from the date of issuance.

In other recent news, S&T Bancorp has declared a cash dividend of $0.34 per share, a 3.03% increase from the previous year's distribution. This development underlines the company's commitment to enhancing shareholder value. Additionally, S&T Bancorp reported a slight decrease in its third-quarter net income, which came in at $33 million. Despite the challenges in loan balances and a decrease in net interest margin to 3.82%, the bank's earnings were bolstered by growth in net interest income and customer deposits.

DA Davidson, in its analysis, maintained a neutral rating on S&T Bancorp's stock and highlighted a net interest margin contraction and a slight decline in loans due to payoffs. The firm also noted a loan loss provision release that contributed to an earnings per share beat. However, pre-provision net revenue did not meet expectations due to weaker net interest income and higher operating expenses.

These are recent developments in S&T Bancorp's performance. The bank expects low-to-mid single-digit loan growth for Q4 2024 and 2025, and projects crossing the $10 billion asset threshold in 2025. DA Davidson's expectations for 2025 remain unchanged, forecasting returns above peers with a pre-provision net revenue return on assets of 1.74%.

InvestingPro Insights

S&T Bancorp Inc. (NASDAQ:STBA) has demonstrated resilience in its financial performance and shareholder returns, as evidenced by recent InvestingPro data. The company's market capitalization stands at $1.62 billion, with a price-to-earnings ratio of 11.88, suggesting a potentially attractive valuation relative to earnings.

Notably, STBA has shown strong momentum, with a remarkable 50.83% price total return over the past year. This performance aligns with an InvestingPro Tip highlighting the company's high return over the last year. Additionally, the stock has experienced a significant 35.53% price total return over the past six months, corroborating another InvestingPro Tip that points to a large price uptick during this period.

For income-focused investors, STBA offers a dividend yield of 3.21%, with a dividend growth rate of 6.25% over the last twelve months. An InvestingPro Tip reveals that the company has raised its dividend for 12 consecutive years, demonstrating a commitment to returning value to shareholders. This consistent dividend policy may be particularly relevant to investors like Frank J. Palermo Jr., who participate in dividend reinvestment plans.

These insights provide context to Palermo's recent transactions, suggesting that while he has sold a portion of his holdings, the company's overall financial health and shareholder returns remain strong. InvestingPro offers 8 additional tips for STBA, providing a more comprehensive analysis for investors seeking deeper insights into the company's prospects.

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