Basswood Capital Management L.L.C. Makes New Investment in Heritage Financial Corporation $HFWA

Posted by Brian Himes on Aug 27th, 2026

Basswood Capital Management L.L.C. acquired a new stake in shares of Heritage Financial Corporation (NASDAQ:HFWA – Free Report) in the second quarter, according to its most recent disclosure with the SEC. The firm acquired 689,010 shares of the financial services provider’s stock, valued at approximately $20,408,000.

Several other institutional investors and hedge funds have also recently modified their holdings of the stock. Allworth Financial LP bought a new position in shares of Heritage Financial during the second quarter worth $40,000. EverSource Wealth Advisors LLC grew its stake in Heritage Financial by 27,871.4% during the second quarter. EverSource Wealth Advisors LLC now owns 1,958 shares of the financial services provider’s stock valued at $47,000 after acquiring an additional 1,951 shares in the last quarter. Tower Research Capital LLC TRC increased its holdings in Heritage Financial by 99.1% in the 2nd quarter. Tower Research Capital LLC TRC now owns 2,875 shares of the financial services provider’s stock valued at $69,000 after acquiring an additional 1,431 shares during the last quarter. Global Retirement Partners LLC bought a new stake in Heritage Financial in the 2nd quarter valued at $95,000. Finally, GAMMA Investing LLC lifted its stake in Heritage Financial by 12.2% in the 2nd quarter. GAMMA Investing LLC now owns 6,519 shares of the financial services provider’s stock worth $193,000 after purchasing an additional 710 shares in the last quarter. Institutional investors own 78.30% of the company’s stock.

Analysts Set New Price Targets

Several research firms have commented on HFWA. Keefe, Bruyette & Woods increased their price objective on shares of Heritage Financial from $31.00 to $32.00 and gave the company a “market perform” rating in a report on Monday, July 27th. Zacks Research raised Heritage Financial from a “strong sell” rating to a “hold” rating in a report on Friday, June 26th. Weiss Ratings reiterated a “buy (b)” rating on shares of Heritage Financial in a research report on Tuesday, July 7th. DA Davidson increased their price target on Heritage Financial from $32.00 to $34.00 and gave the company a “buy” rating in a research note on Friday, July 24th. Finally, Wall Street Zen raised Heritage Financial from a “sell” rating to a “hold” rating in a research note on Saturday, May 16th. Three investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $32.50.

View Our Latest Analysis on Heritage Financial

Insider Buying and Selling

In other news, EVP Matthew T. Ray sold 3,692 shares of the firm’s stock in a transaction that occurred on Thursday, August 13th. The stock was sold at an average price of $30.10, for a total value of $111,129.20. Following the completion of the sale, the executive vice president directly owned 22,735 shares of the company’s stock, valued at $684,323.50. This trade represents a 13.97% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Jeffrey S. Lyon sold 10,000 shares of Heritage Financial stock in a transaction that occurred on Wednesday, August 5th. The stock was sold at an average price of $30.00, for a total value of $300,000.00. Following the completion of the transaction, the director owned 40,719 shares of the company’s stock, valued at approximately $1,221,570. This trade represents a 19.72% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 24,546 shares of company stock valued at $729,057 in the last quarter. 1.49% of the stock is currently owned by insiders.

Heritage Financial Trading Down 0.1%

Shares of HFWA opened at $28.74 on Thursday. The company’s fifty day moving average is $29.56 and its 200 day moving average is $27.85. Heritage Financial Corporation has a fifty-two week low of $21.32 and a fifty-two week high of $31.25. The stock has a market capitalization of $1.18 billion, a PE ratio of 13.69 and a beta of 0.50. The company has a debt-to-equity ratio of 0.17, a quick ratio of 0.83 and a current ratio of 0.83.

Heritage Financial (NASDAQ:HFWA – Get Free Report) last released its quarterly earnings data on Thursday, July 23rd. The financial services provider reported $0.57 EPS for the quarter, beating the consensus estimate of $0.44 by $0.13. Heritage Financial had a net margin of 20.44% and a return on equity of 8.78%. The business had revenue of $84.12 million during the quarter, compared to analyst estimates of $86.30 million. Sell-side analysts expect that Heritage Financial Corporation will post 2.37 earnings per share for the current fiscal year.

Heritage Financial Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, August 19th. Stockholders of record on Wednesday, August 5th were given a dividend of $0.25 per share. The ex-dividend date was Wednesday, August 5th. This represents a $1.00 annualized dividend and a dividend yield of 3.5%. This is a positive change from Heritage Financial’s previous quarterly dividend of $0.24. Heritage Financial’s dividend payout ratio is currently 47.62%.

Heritage Financial Company Profile

(Free Report)

Heritage Financial Corporation (NASDAQ:HFWA) is a bank holding company headquartered in Spokane, Washington. Through its primary subsidiary, Heritage Bank, the company provides a comprehensive range of banking and financial services to both individual and commercial clients. Heritage Bank’s offerings encompass deposit products, lending solutions, treasury and cash management services, mortgage banking, and wealth management, positioning the organization as a full-service community bank.

The company’s lending portfolio includes commercial real estate loans, agricultural loans, small business administration (SBA) loans, construction and development financing, and a variety of consumer mortgage products.