Bank Of Marin Reports Sale Of $293M In Available-For-Sale Securities To Improve Future Earnings And Increase Its Return On Equity
Portfolio Pulse from Benzinga Newsdesk
Bank of Marin (BMRC) has sold $293M in available-for-sale securities, representing 56% of its AFS portfolio, to improve future earnings and increase its return on equity. The sale will result in an estimated after-tax loss of $23 million in Q2 2024. Reinvestment at a 5.75% yield is expected to improve net interest margin and contribute to earnings per share accretion over the next year.
June 26, 2024 | 9:23 pm
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Bank of Marin (BMRC) has sold $293M in available-for-sale securities to improve future earnings and return on equity. The sale will result in a $23M after-tax loss in Q2 2024, but reinvestment at a higher yield is expected to enhance net interest margin and earnings per share over the next year.
The sale of $293M in AFS securities will result in a short-term loss, but the reinvestment at a higher yield is expected to improve net interest margin and earnings per share, positively impacting BMRC's stock price in the short term.
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