This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
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 Bank Dividends with Room to Rise

Stocks in this article: HCBK NYB BOH CFR PFS FFBC CBU FFIC DCOM NBTB CHCO WSBC

7. Provident Financial Services

Shares of Provident Financial Services (PFS) of Iselin, N.J., closed at $13.99, returning 13% over the previous year. Based on a quarterly payout of 12 cents, the shares have a dividend yield of 3.43%. The company raised the dividend a penny on April 28, when it reported its first-quarter results.

First-quarter net income was $12.9 million, or 23 cents s share, increasing from $11.2 million, or 20 cents s share, in the first quarter of 2010. The first-quarter provision for loan losses declined to $7.9 million from $9 million a year earlier. Net interest income increased 5% year-over-year, as funding costs declined.

The net interest margin increased to 3.47% in the first quarter from 3.31% a year earlier, according to SNL Financial, as funding costs declined. The first-quarter ROA was 0.76%.

Following the earnings release, Matthew Kelly of Sterne Agee reiterated his neutral rating on the shares, pointing out some coming expense reductions, as "FDIC insurance premiums are set to decline by 37% or $0.7 mil. per quarter," and the company will also be consolidating its administrative offices. Kelly increased his 2011 earnings estimate for Provident Financial to $1.06 a share from a dollar, and his 2012 earnings estimate to $1.12 a share, from $1.10.

The shares trade for 12 times the consensus 2012 earnings estimate of $1.17 a share.

Out of seven analysts covering Provident Finance Services, three rate the shares a buy, while the remaining analysts all have neutral ratings.

5 of 11

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!

Markets

DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

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