This Day On The Street
Continue to site
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

10 Well-Run, Profitable Banks (Update 3)

8. Dime Community Bancshares

Dime Community Bancshares (DCOM) of Brooklyn, N.Y., closed at $12.60 Friday, declining 10% during 2011. Based on a quarterly payout of 14 cents, the shares have a dividend yield 4.44%.

The company's third-quarter efficiency ratio was 41.16, according to SNL Financial.

Dime was included among TheStreet's 10 New York Bank Stocks With Most Upside for 2012, based on analysts' price targets.

Another feather in the company's cap is that its generous dividend payout is very well supported by earnings, as the payout ratio has been below 50% over the past year.

Third-quarter earnings were $11.2 million, or 33 cents a share, declining from $11.4 million, or 34 cents, a year earlier.

The third-quarter ROA was 1.10%, according to SNL.

Sterne Agee analyst Matthew Kelley has a neutral rating on the shares and estimates that Dime will earn $1.32 a share in 2012, with a slight earnings decline, as "the net interest margin [will] remain under pressure due to asset yield compression continuing at a rate higher than funding cost reductions."

Dime Community's third-quarter net interest margin -- essentially the difference between a bank's average yield on loans and investments and its average cost for deposits and borrowings -- declined to 3.58% from 3.66% in the second quarter and 3.60% in the third quarter of 2010.

The shares trade for 9.5 times the consensus 2012 EPS estimate of $1.33, among analysts polled by FactSet, and for 1.5 times their Sept. 30 tangible book value of $8.54, according to SNL Financial.

Out of nine analysts covering Dime Community Bancshares, four rate the stock a buy, while the remaining analysts all have neutral ratings.

Interested in more on Dime Community Bancshares? See TheStreet Ratings' report card for this stock.
4 of 11

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

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
Stocks Under $10

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

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
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

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

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
BKU $36.37 0.00%
HCBK $10.31 0.00%
ORIT $15.75 0.00%
PB $55.21 0.00%
SBNY $146.29 0.00%

Markets

Chart of I:DJI
DOW 17,550.69 -47.51 -0.27%
S&P 500 2,093.32 -4.72 -0.22%
NASDAQ 5,105.5460 -9.8360 -0.19%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs