Loan loss reserves covered 0.68% of total loans as of September 30, which was "way ahead of the pace" of loan losses, as the annualized ratio of net charge-offs to average loans for the third quarter was a very low 0.33%. Hudson City was very strongly capitalized, especially for a profitable holding company in the current environment. For main subsidiary Hudson City Savings Bank, the Tier 1 leverage ratio was 7.91% and the total risk-based capital ratio was 22.42%. These ratios need to be at least 5% and 10% for most banks to be considered well-capitalized by regulators. While the company didn't include a tangible common equity ratio in its third-quarter earnings release, its tangible common equity ratio was 8.86% as of June 30, according to SNL Financial. Hudson City's shares trade for about 1.1 times the tangible book value of $11.08 the company reported as of September 30. Based on a 15 cent quarterly dividend payout, the forward yield on the shares is 5.09%, and the dividend is very comfortably supported by earnings. Analysts lack conviction on the shares. Out of 16 analysts covering Hudson City, 12 have hold ratings, two rate the shares a buy and two recommend investors sell the shares.