4. First Commonwealth Financial
Shares of First Commonwealth Financial (FCF) of Indiana, Pa., closed at $3.94 Monday, down 44% year-to-date. The shares trade for 0.7 times their tangible book value of $5.70, according to SNL Financial.
Based on a quarterly payout of three cents, the shares have a dividend yield of 3.05%.The company had $5.7 million in total assets as of June 30, and reported second-quarter net income of $7.4 million, or seven cents a share, declining from $13.5 million, or 15 cents a share, in the second quarter of 2010. The second-quarter provision for loan losses was $9.1 million, increasing from $4 million a year earlier, but declining from $13.8 million in the first quarter. First Commonwealth's second-quarter net interest margin was a tax-adjusted 3.76%, declining from 3.88% a year earlier. The second-quarter ROA was 0.52%, according to SNL. Nonperforming assets increased to 3.24% of total assets as of June 30, from 2.66% a year earlier. Despite the increase in problem assets, Sterne Agee analyst Mike Shafir rates First Commonwealth a buy, as the company's "tangible book value continued to grow," and that "the company has sufficient capital (TCE/TA =10.8%) and pre-tax net revenue to handle problem asset resolution during this credit cycle." Shafir's price target for the stock is $6.50. The shares trade for nine times the consensus 2012 earnings estimate of 42 cents a share, among analysts polled by FactSet. Five of the nine analysts covering First Commonwealth Financial rate the shares a buy, while the remaining analysts all have neutral ratings.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- 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 + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV