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 Stocks Ready for a 2012 Dividend Boost

7. First Community Bancshares

First Community Bancshares (FCBC) of Bluefield, Va., has seen its stock decline 14% year-to-date, closing Friday at $12.45. Based on a quarterly payout of 10 cents, the shares have a dividend yield of 3.21%.

The company had $2.2 billion in total assets as of Sept 30, with 56 branches in Virginia, West Virginia, North Carolina, and Tennessee

Third-quarter net income available to common shareholders was $5.0 million, or 28 cents a share, declining from $5.6 million, or 31 cents in the second quarter, and $6.6 million, or 37 cents a share, in the third quarter of 2010.

The earnings decline in part reflected gains on the sales of securities of $3.2 million in the second quarter and $2.6 million in the third quarter of 2010.

The third-quarter net interest margin was 3.77%, narrowing from 3.83% the previous quarter and 3.87% a year earlier

The provision for loan losses declined to $1.9 million in the third quarter, from $3.1 million the previous quarter and $3.8 million in the third quarter of 2010.

The third-quarter ROA was 0.97%, according to SNL Financial.

The company was strongly capitalized, with a tangible common equity ratio of 9.23% as of Sept. 30, according to SNL Financial, and repurchased 48,310 shares during the third quarter.

KBW analyst Catherine Mealor on Oct 27 reiterated her neutral rating on First Community, saying that with "slow balance sheet growth," the company "has been particularly focused on expense controls recently. The analyst said that "the lack of any top-line growth with FCBC's recent quarters keeps us on the sidelines in regards to the stock in the near term," and that her firm would "like to see an improvement in revenue & balance sheet growth, or a true catalyst (M&A) before we get more positive on the shares."

The shares trade for 11.2 times the consensus 2012 EPS estimate of $1.07, among analysts polled by FactSet, and 1.1 times tangible book value, according to SNL.

Out of five analysts covering First Community Bancshares, one rates the stock a buy, while the other four analysts 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 17,356.87 +288.00 1.69%
S&P 500 2,012.89 +40.15 2.04%
NASDAQ 4,644.3120 +96.4780 2.12%

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