NEW YORK (TheStreet) -- Shares of First Financial Northwest (FFNW) finished higher 4.58% to $10.51 on Thursday after the company announced its board of directors has approved a quarterly cash dividend and stock repurchase program.
The board declared a quarterly cash dividend of 5 cents per share for the company's outstanding common stock.
The cash dividend will be paid to shareholders on June 20, 2014, as long as they are on record by the close of business June 6, 2014.
The board also authorized the repurchase of up to 1.65 million shares of common stock.
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TheStreet Ratings team rates FIRST FINANCIAL NORTHWEST as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:
"We rate FIRST FINANCIAL NORTHWEST (FFNW) a BUY. This is driven by multiple strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, compelling growth in net income, revenue growth and attractive valuation levels. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook."
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- Looking at where the stock is today compared to one year ago, we find that it is not only higher, but it has also clearly outperformed the rise in the S&P 500 over the same period. Although other factors naturally played a role, the company's strong earnings growth was key. Looking ahead, unless broad bear market conditions prevail, we still see more upside potential for this stock, despite the fact that it has already risen over the past year.
- FIRST FINANCIAL NORTHWEST 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. During the past fiscal year, FIRST FINANCIAL NORTHWEST increased its bottom line by earning $1.45 versus $0.17 in the prior year.
- 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 160.3% when compared to the same quarter one year prior, rising from $1.51 million to $3.93 million.
- FFNW's revenue growth trails the industry average of 26.6%. Since the same quarter one year prior, revenues slightly increased by 2.8%. Growth in the company's revenue appears to have helped boost the earnings per share.
- You can view the full analysis from the report here: FFNW Ratings Report