This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

10 Banks That Still Owe TARP

3. Fifth Third Bancorp

Company Profile

Shares of Fifth Third Bancorp (FITB) of Cincinnati, Ohio closed at $11.90 Wednesday, 24% year-to-date. The company owes $3.4 billion in TARP money.

Income Statement

The company reported second net income to common stockholders of $130 million or 16 cents a share, compared a net loss to common stockholders of $72 million or nine cents a share in the first quarter and net income to common stockholders of $856 million or $1.15 a share in the second quarter of 2009, when Fifth Third recorded a $1.8 billion gain on the sale of its financial institutions processing business.

A major factor in the company's second-quarter profit was release in reserves brought about by an improvement in asset quality. Fifth Third's second quarter loan loss provision was $325 million while its net loan charge-offs were $433 million, for a release of $108 million in reserves, however, the company's loan loss reserves were left covering a high 4.71% of total loans.

Balance Sheet

Total assets were $112 billion as of June 30. The nonperforming assets ratio was 3.14%, declining from 3.38% a year earlier. The second-quarter net charge-off ratio was 2.21%.

As of June 30, Fifth Third's Tier 1 leverage ratio was 12.24%, its total risk-based capital ratio was 18.00% and its tangible common equity ratio was 7.79%.

Stock Ratios

Fifth Third's shares trade for 1.3 times tangible book value according to SNL Financial, and 12.1 times the consensus 2011 earnings estimate of 98 cents a share. The forward P/E would drop to 8.5 based on the 2012 consensus estimate of $1.41 in earnings per share among analysts polled by Thomson Reuters.

Analyst Ratings

Among the 21 analysts covering Fifth Third, four have buy ratings, 14 recommend holding the shares and three recommend investors sell the shares.

8 of 10

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,943.81 +28.74 0.17%
S&P 500 1,967.57 +2.89 0.15%
NASDAQ 4,415.49 +19.2860 0.44%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs