ELLICOTT CITY, Md.--(BUSINESS WIRE)--Howard Bancorp, Inc. (Nasdaq: HBMD), the parent company of Howard Bank, a locally owned community bank serving businesses, professionals and individuals in the Greater Baltimore area, announced today that it has been named to the Russell 2000 stock index.
The listing on the closely watched Russell 2000, which measures the performance of 2,000 small-cap companies in the United States, recognizes the growth in Howard Bancorp’s market capitalization – total shares outstanding multiplied by its current stock price – which climbed to nearly $185 million on May 31, 2017, up 75% percent since the beginning of the year, and its stock price has risen 25 percent over the same period.
“The listing on the Russell 2000 index reflects the increased value of the market capital levels we have attained in support of our consistently executed regional growth strategy to be the go-to commercial bank in greater Baltimore,” said Mary Ann Scully, President and CEO of Howard Bancorp. “But even more important than what it reflects about our history, and positive market reception is the value it provides to shareholders of our currency. Additional visibility, access, and liquidity often accompany inclusion in the Russell 2000.”
The rebalanced Russell Global, Russell 1000, Russell 2000, Russell 3000, Russell Midcap, and Russell Microcap Indexes began trading on June 26, 2017.
Annual Russell indexes reconstitution captures the 4,000 largest U.S. stocks as of the end of May, ranking them by total market capitalization. Membership in the Russell 3000®, which remains in place for one year, means automatic inclusion in the large-cap Russell 1000® Index or small-cap Russell 2000® Index as well as the appropriate growth and value style indexes. FTSE Russell determines membership for these indexes primarily by objective, market-capitalization rankings, and style attributes.
Russell indexes are widely used by investment managers and institutional investors for index funds and as benchmarks for active investment strategies. Approximately $8.4 trillion in assets are benchmarked to the Russell U.S. indexes. Russell indexes are part of FTSE Russell, a leading global index provider.
For more information on the Russell 2000® Index and the Russell US Indexes reconstitution, go to the “Russell Reconstitution” section on the FTSE Russell website.
With over 300 employees Howard Bank has made significant strides in the past two-and-a-half years. The bank:
- Raised $41.4 million in capital in an oversubscribed offering in January 2017.
- Topped $1 billion in assets in the third quarter of 2016.
- Closed a private placement with several highly regarded institutional bank investors, including Baltimore-based T. Rowe Price in 2015. The placement resulted in the issuance of 2.2 million shares of stock, which increased capital by $25 million.
- Closed on an acquisition of Baltimore-based Patapsco Bancorp, Inc., creating the largest publicly traded bank headquartered in the Greater Baltimore in the third quarter of 2015.
- Purchased most assets and all the deposits of troubled Rising Sun, Md.-based NBRS Financial Bank in an FDIC assisted transaction that added five branches, roughly $180 million in total assets and $183 million in total deposits in October 2014.
“Howard Bancorp and Howard Bank are in a strong book capital position and a strong market capital position,” Ms. Scully said. “We look forward to leveraging this capital and market recognition through continued organic growth and other new opportunities that will keep us at the forefront of banking in the region.”