10 Best Bank Penny Stocks to Buy According to Hedge Funds

6. Blue Ridge Bankshares, Inc. (NYSE:BRBS)

Share Price as of the close of January 3: $3.37

Number of Hedge Fund Holders: 9

Blue Ridge Bankshares, Inc. (NYSE:BRBS) is the holding company of Blue Ridge Bank, the National Association, and the BRB Financial Group, Inc. It operates through the commercial banking and mortgage banking segments.

In April, the company announced the closing of definitive securities purchase agreements for gross proceeds of $150 million in a private placement of its common and preferred stock. BRBS stated that it intends to use the funds to support its short-term strategic initiatives, such as enhancing the bank’s capital levels, repositioning business lines, and spurring organic growth.

On October 29, Blue Ridge Bankshares, Inc. (NYSE:BRBS) announced financial results for the third quarter of 2024, which reflected improvement across various key metrics, such as a growth in deposits, and reductions in non-interest expense and non-performing assets. BSBR also announced that it would exit from fintech banking-as-a-service by the end of 2024.

Net income for the quarter was recorded at $0.9 million, compared to a net loss of $11.4 million in the prior quarter, and a net loss of $41.4 million during the same period last year. Blue Ridge Bankshares, Inc. (NYSE:BRBS)’s total assets increased by 0.34% from the prior quarter to $2.94 billion, driven by higher cash and due from bank balance at the end of the quarter, primarily due to elevated deposit balances of a major lending partner.

The total deposit balance also grew from $2.33 billion at the end of Q2 to $2.35 billion for Q3. Blue Ridge Bankshares, Inc. (NYSE:BRBS)’s liquid assets totaled $805 million, representing 202.7% of uninsured deposits.

According to Insider Monkey’s database for Q3 2024, 9 hedge funds held a stake in the company. Blackbarn Capital is the largest investor in the company, with holdings valued at over $13 million, as of September 30, 2024. Blue Ridge Bankshares, Inc. (NYSE:BRBS) is one of the best bank penny stocks to buy according to hedge funds.