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
TheStreet Open House

10 Bank Stocks Trading Below Book With Up To 85% Upside (Update 2)

8. Fox Chase Bancorp

Shares of Fox Chase Bancorp (FXCB) of Hatboro, Pa., closed at $12.53, for a flat performance year-to-date, after returning 7% in 2011.

The shares trade for 0.9 times their Dec. 30 tangible book value of $14.41.

The company had $1.0 billion in total assets as of Dec. 30, and reported fourth-quarter net income of $1.0 million, or nine cents a share, increasing from $893,000, or seven cents a share, during the fourth quarter of 2010. Net interest income totaled $8.0 million in the fourth quarter, compared to $7.4 million a year earlier, with the improvement reflecting lower funding costs. This improvement partially offset an increase in the provision for loan losses to $2.8 million during the fourth quarter from $1.4 million a year earlier. The fourth-quarter bottom line was greatly boosted by $1.1 million in gains on the sale of securities.

Sterne Agee analyst Matthew Kelley on Feb. 2 reiterated his "Buy" rating for Fox Chase Bancorp, with a $15 price target, saying that the company was continuing "to make progress in improving core earnings power and credit quality."

Fox Chase's fourth-quarter ROA was 0.41% according to HighlineFI, and the ROA has ranged as high as 0.47% over the past five quarters. Kelley said that he saw "profitability as measured by ROA improving to 0.55% - 0.60% over the next two years," and that the shares, at a closing price of $12.73 on Feb. 1, remained "attractively valued at 86% of our projected year end 2012 TBV estimate of $14.77 per share."

Kelley estimates that the company will earn 45 cents a share in 2012, followed by EPS of 55 cents in 2013.

The shares trade for 30 times the consensus 2012 EPS estimate of 42 cents. The 2013 consensus EPS estimate is 50 cents, making the case that investors will need to be quite patient with Fox Chase Bancorp.

Interested in more on Fox Chase Bancorp? See TheStreet Ratings' report card for this stock.

4 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!
DOW 16,461.32 -153.49 -0.92%
S&P 500 1,927.11 -14.17 -0.73%
NASDAQ 4,382.8470 -36.6310 -0.83%

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