FedFirst Financial Corporation Stock Upgraded (FFCO)

NEW YORK ( TheStreet) -- FedFirst Financial Corporation (Nasdaq: FFCO) has been upgraded by TheStreet Ratings from hold to buy. The company's strengths can be seen in multiple areas, such as its revenue growth, compelling growth in net income, good cash flow from operations, expanding profit margins and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself.

Highlights from the ratings report include:
  • The revenue growth greatly exceeded the industry average of 26.1%. Since the same quarter one year prior, revenues rose by 16.6%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Thrifts & Mortgage Finance industry. The net income increased by 115.4% when compared to the same quarter one year prior, rising from -$0.36 million to $0.06 million.
  • Net operating cash flow has slightly increased to $1.46 million or 5.87% when compared to the same quarter last year. In addition, FEDFIRST FINANCIAL CORP has also vastly surpassed the industry average cash flow growth rate of -53.27%.
  • The gross profit margin for FEDFIRST FINANCIAL CORP is currently very high, coming in at 74.90%. It has increased significantly from the same period last year. Regardless of the strong results of the gross profit margin, the net profit margin of 1.20% trails the industry average.
  • FEDFIRST FINANCIAL CORP 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 year. During the past fiscal year, FEDFIRST FINANCIAL CORP increased its bottom line by earning $0.29 versus $0.23 in the prior year.

FedFirst Financial Corporation operates as the holding company for the First Federal Savings Bank, which provides various banking and financial services to individuals and businesses primarily in southwestern Pennsylvania. The company has a P/E ratio of 39.6, below the average banking industry P/E ratio of 92.3 and above the S&P 500 P/E ratio of 17.7. FedFirst Financial has a market cap of $41.3 million and is part of the financial sector and banking industry. Shares are up 63.2% year to date as of the close of trading on Monday.

You can view the full FedFirst Financial Ratings Report or get investment ideas from our investment research center.
-- Written by a member of TheStreet RatingsStaff