NEW YORK (
) has been downgraded by TheStreet Ratings from buy to hold. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth and compelling growth in net income. However, as a counter to these strengths, we find that the company's return on equity has been disappointing.
Highlights from the ratings report include:
- Powered by its strong earnings growth of 125.00% and other important driving factors, this stock has surged by 35.04% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, our hold rating indicates that we do not recommend additional investment in this stock despite its gains in the past year.
- FOX CHASE BANCORP INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. This trend suggests that the performance of the business is improving. During the past fiscal year, FOX CHASE BANCORP INC turned its bottom line around by earning $0.20 versus -$0.07 in the prior year. This year, the market expects an improvement in earnings ($0.37 versus $0.20).
- Net operating cash flow has significantly increased by 71.91% to $2.14 million when compared to the same quarter last year. Despite an increase in cash flow of 71.91%, FOX CHASE BANCORP INC is still growing at a significantly lower rate than the industry average of 1477.53%.
- Regardless of the drop in revenue, the company managed to outperform against the industry average of 14.4%. Since the same quarter one year prior, revenues slightly dropped by 7.0%. The declining revenue has not hurt the company's bottom line, with increasing earnings per share.
- The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Thrifts & Mortgage Finance industry and the overall market on the basis of return on equity, FOX CHASE BANCORP INC underperformed against that of the industry average and is significantly less than that of the S&P 500.
Fox Chase Bancorp, Inc. operates as the holding company for Fox Chase Bank that provides various financial services to consumers and businesses. The company has a P/E ratio of 41.7, equal to the average banking industry P/E ratio and above the S&P 500 P/E ratio of 17.7. Fox Chase has a market cap of $175.9 million and is part of the
industry. Shares are up 6.3% year to date as of the close of trading on Monday.
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