This Day On The Street
Continue to site right-arrow
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 More Bank Stocks for Bottom-Fishing Investors


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.

8 of 11

Select the service that is right for you!

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 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

  • 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