NasdaqCM:PCSB

Stock Analysis Report

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Market Cap

US$277.7m

Last Updated

2021/06/15 05:48 UTC

Data Sources

Company Financials +

Executive Summary

PCSB Financial Corporation operates as the bank holding company for PCSB Bank that provides financial services to individuals and businesses in Putnam, Southern Dutchess, Rockland, and Westchester Counties in New York. More Details


Snowflake Analysis

Flawless balance sheet with solid track record.


Similar Companies

Share Price & News

How has PCSB Financial's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: PCSB is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: PCSB's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-1.3%

PCSB

1.8%

US Mortgage

0.8%

US Market


1 Year Return

38.9%

PCSB

51.0%

US Mortgage

43.1%

US Market

Return vs Industry: PCSB underperformed the US Mortgage industry which returned 51.9% over the past year.

Return vs Market: PCSB exceeded the US Market which returned 44.3% over the past year.


Shareholder returns

PCSBIndustryMarket
7 Day-1.3%1.8%0.8%
30 Day1.1%8.4%3.0%
90 Day10.0%-8.1%4.8%
1 Year40.5%38.9%55.6%51.0%45.5%43.1%
3 Year-4.3%-6.9%29.2%18.7%60.2%50.3%
5 Yearn/a81.6%55.0%126.4%101.0%

Long-Term Price Volatility Vs. Market

How volatile is PCSB Financial's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is PCSB Financial undervalued compared to its fair value and its price relative to the market?

23.38x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: PCSB ($18.85) is trading above our estimate of fair value ($4.22)

Significantly Below Fair Value: PCSB is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: PCSB is poor value based on its PE Ratio (23.7x) compared to the US Mortgage industry average (12.5x).

PE vs Market: PCSB is poor value based on its PE Ratio (23.7x) compared to the US market (19.7x).


Price to Earnings Growth Ratio

PEG Ratio: PCSB is poor value based on its PEG Ratio (6.2x)


Price to Book Ratio

PB vs Industry: PCSB's PB Ratio (1x) is in line with the US Mortgage industry average.


Future Growth

How is PCSB Financial forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

3.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PCSB's forecast earnings growth (3.8% per year) is above the savings rate (2%).

Earnings vs Market: PCSB's earnings (3.8% per year) are forecast to grow slower than the US market (15.5% per year).

High Growth Earnings: PCSB's earnings are forecast to grow, but not significantly.

Revenue vs Market: PCSB's revenue (0.8% per year) is forecast to grow slower than the US market (9.3% per year).

High Growth Revenue: PCSB's revenue (0.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if PCSB's Return on Equity is forecast to be high in 3 years time


Past Performance

How has PCSB Financial performed over the past 5 years?

27.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PCSB has high quality earnings.

Growing Profit Margin: PCSB's current net profit margins (24.1%) are higher than last year (17.8%).


Past Earnings Growth Analysis

Earnings Trend: PCSB's earnings have grown significantly by 27.6% per year over the past 5 years.

Accelerating Growth: PCSB's earnings growth over the past year (48.2%) exceeds its 5-year average (27.6% per year).

Earnings vs Industry: PCSB earnings growth over the past year (48.2%) exceeded the Mortgage industry 25.6%.


Return on Equity

High ROE: PCSB's Return on Equity (4.4%) is considered low.


Financial Health

How is PCSB Financial's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: PCSB's Assets to Equity ratio (6.8x) is low.

Allowance for Bad Loans: PCSB has a sufficient allowance for bad loans (383%).

Low Risk Liabilities: 92% of PCSB's liabilities are made up of primarily low risk sources of funding.

Loan Level: PCSB has an appropriate level of Loans to Assets ratio (68%).

Low Risk Deposits: PCSB's Loans to Deposits ratio (87%) is appropriate.

Level of Bad Loans: PCSB has an appropriate level of bad loans (0.2%).


Dividend

What is PCSB Financial current dividend yield, its reliability and sustainability?

1.29%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: PCSB's dividend (1.27%) is higher than the bottom 25% of dividend payers in the US market (1.27%).

High Dividend: PCSB's dividend (1.27%) is low compared to the top 25% of dividend payers in the US market (3.35%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, PCSB has been paying a dividend for less than 10 years.

Growing Dividend: PCSB's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (20.1%), PCSB's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

5.4yrs

Average management tenure


CEO

Joseph Roberto (67 yo)

4.42yrs

Tenure

US$826,688

Compensation

Mr. Joseph D. Roberto has been the Chairman, Chief Executive Officer and President of PCSB Bank and PCSB Financial Corporation since January 2012 and 2017 respectively. Mr. Roberto served as Chief Financia...


CEO Compensation Analysis

Compensation vs Market: Joseph's total compensation ($USD826.69K) is about average for companies of similar size in the US market ($USD1.04M).

Compensation vs Earnings: Joseph's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: PCSB's management team is seasoned and experienced (5.4 years average tenure).


Board Members

Experienced Board: PCSB's board of directors are considered experienced (6.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: PCSB insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

PCSB Financial Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: PCSB Financial Corporation
  • Ticker: PCSB
  • Exchange: NasdaqCM
  • Founded: 1871
  • Industry: Thrifts and Mortgage Finance
  • Sector: Banks
  • Market Cap: US$277.743m
  • Shares outstanding: 14.92m
  • Website: https://www.pcsb.com

Number of Employees


Location

  • PCSB Financial Corporation
  • 2651 Strang Boulevard
  • Suite 100
  • Yorktown Heights
  • New York
  • 10598
  • United States

Listings


Biography

PCSB Financial Corporation operates as the bank holding company for PCSB Bank that provides financial services to individuals and businesses in Putnam, Southern Dutchess, Rockland, and Westchester Counties...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/15 05:48
End of Day Share Price2021/06/14 00:00
Earnings2021/03/31
Annual Earnings2020/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.