U.S. Markets closed

At US$18.22, Is It Time To Put Dime Community Bancshares, Inc. (NASDAQ:DCOM) On Your Watch List?

Simply Wall St

Want to participate in a short research study? Help shape the future of investing tools and you could win a $250 gift card!

Dime Community Bancshares, Inc. (NASDAQ:DCOM), operating in the financial services industry based in United States, received a lot of attention from a substantial price movement on the NASDAQGS over the last few months, increasing to $20.21 at one point, and dropping to the lows of $17.75. Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price. A question to answer is whether Dime Community Bancshares's current trading price of $18.22 reflective of the actual value of the small-cap? Or is it currently undervalued, providing us with the opportunity to buy? Let’s take a look at Dime Community Bancshares’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change.

See our latest analysis for Dime Community Bancshares

What is Dime Community Bancshares worth?

The stock seems fairly valued at the moment according to my relative valuation model. In this instance, I’ve used the price-to-earnings (PE) ratio given that there is not enough information to reliably forecast the stock’s cash flows. I find that Dime Community Bancshares’s ratio of 13.94x is trading slightly above its industry peers’ ratio of 13.92x, which means if you buy Dime Community Bancshares today, you’d be paying a relatively reasonable price for it. And if you believe Dime Community Bancshares should be trading in this range, then there isn’t really any room for the share price grow beyond what it’s currently trading. In addition to this, it seems like Dime Community Bancshares’s share price is quite stable, which could mean there may be less chances to buy low in the future now that it’s fairly valued. This is because the stock is less volatile than the wider market given its low beta.

Can we expect growth from Dime Community Bancshares?

NasdaqGS:DCOM Past and Future Earnings, June 26th 2019

Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares. Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. Though in the case of Dime Community Bancshares, it is expected to deliver a negative earnings growth of -0.6%, which doesn’t help build up its investment thesis. It appears that risk of future uncertainty is high, at least in the near term.

What this means for you:

Are you a shareholder? Currently, DCOM appears to be trading around its fair value, but given the uncertainty from negative returns in the future, this could be the right time to reduce the risk in your portfolio. Is your current exposure to the stock beneficial for your total portfolio? And is the opportunity cost of holding a negative-outlook stock too high? Before you make a decision on DCOM, take a look at whether its fundamentals have changed.

Are you a potential investor? If you’ve been keeping an eye on DCOM for a while, now may not be the most optimal time to buy, given it is trading around its fair value. The price seems to be trading at fair value, which means there’s less benefit from mispricing. Furthermore, the negative growth outlook increases the risk of holding the stock. However, there are also other important factors we haven’t considered today, which can help crystalize your views on DCOM should the price fluctuate below its true value.

Price is just the tip of the iceberg. Dig deeper into what truly matters – the fundamentals – before you make a decision on Dime Community Bancshares. You can find everything you need to know about Dime Community Bancshares in the latest infographic research report. If you are no longer interested in Dime Community Bancshares, you can use our free platform to see my list of over 50 other stocks with a high growth potential.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.

  • Business
    Associated Press

    Vera Bradley: Fiscal 3Q Earnings Snapshot

    The Roanoke, Indiana-based company said it had profit of less than 1 cent on a per-share basis. Earnings, adjusted for non-recurring costs, were 20 cents per share. The handbag and accessories company posted revenue of $127.5 million in the period.

  • European Equities: A Tory Victory and A U.S – China Trade Agreement!
    Business
    FX Empire

    European Equities: A Tory Victory and A U.S – China Trade Agreement!

    Friday, 13th December 2019 Spanish CPI (YoY) (Nov) Final Spanish HICP (YoY) (Nov) Final The Majors It was another bullish day for the European majors, which saw green for a 2nd consecutive day, with the DAX30 rising by 0.57% to lead the way. The CAC40 and EuroStoxx600 weren't far behind with gains of 0.40% and 0.33% respectively. Twitter delivered the upside on the day, with a Trump tweet late on Thursday announcing that a trade deal was close leading to a broad-based market rebound.

  • In an about face, FDA approves Sarepta's 2nd Duchenne drug
    News
    American City Business Journals

    In an about face, FDA approves Sarepta's 2nd Duchenne drug

    After the drug was originally rejected by the FDA in August due to concerns over the risk of infection at the infusion site and renal toxicity, the company filed an appeal. The company said that "the matters raised in the CRL were rapidly evaluated and resolved by Dr. Peter Stein, director of the office of new drugs," after which an application was resubmitted. Vyondys 53, like Sarepta's first commercial treatment Exondys 51, was developed to skip over a specific gene mutation that prevents young boys with the disease from producing a protein called dystrophin, which is vital to muscle health.

  • General Electric climbs after UBS upgrade
    Business
    Yahoo Finance Video

    General Electric climbs after UBS upgrade

    GE shares are climbing after UBS upgraded the stock to a 'buy' and raised its price target. Yahoo Finance's Brian Cheung joins Seana Smith on The Ticker to discuss.

  • China retaliatory tariffs cost billions in lost consumption: study
    Business
    Reuters

    China retaliatory tariffs cost billions in lost consumption: study

    Tariffs slapped by China on U.S. products cost the most affected communities billions of dollars in lost auto sales in 2018 as the hit to local incomes undercut household spending, according to an analysis released on Wednesday by the National Bureau of Economic Research. "Changes in trade policy had large effects on consumption," wrote Waugh, who analyzed county-level auto sales data before and after China retaliated against U.S. tariffs by imposing levies of its own, most notably on U.S. grown soybeans and pork. The counties most exposed to tariffs, notably those in the agricultural Midwest, had auto sales roughly 2.5 percentage points lower than in counties whose local economies were less exposed to Chinese retaliation.

  • How Much is First Interstate BancSystem, Inc.'s (NASDAQ:FIBK) CEO Getting Paid?
    Business
    Simply Wall St.

    How Much is First Interstate BancSystem, Inc.'s (NASDAQ:FIBK) CEO Getting Paid?

    Kevin Riley became the CEO of First Interstate BancSystem, Inc. (NASDAQ:FIBK) in 2015. First, this article will compare CEO compensation with compensation at similar sized companies. Third, we'll reflect on the total return to shareholders over three years, as a second measure of business performance.

  • Apple Avoids $150-Per-iPhone Levy After U.S., China Reach Deal
    Business
    Bloomberg

    Apple Avoids $150-Per-iPhone Levy After U.S., China Reach Deal

    Apple Inc. avoided 15% tariffs on its most important products, the iPhone, iPad and MacBooks, after U.S. President Donald Trump signed off on a trade deal with China. The new import duties were due to kick in Dec. 15 and could have added about $150 to the price of iPhones during the crucial holiday shopping season, according to Wedbush Securities analyst Dan Ives. “Trump delivered an early Christmas present to Apple,” Ives wrote in a note to investors following news of the trade deal.

  • 'I have no idea of how I'm getting home': Truckers struggle after Celadon bankruptcy
    Finance
    USA TODAY

    'I have no idea of how I'm getting home': Truckers struggle after Celadon bankruptcy

    Bo Wells was sitting inside his truck at a Pilot travel center in Dallas on Monday, waiting for management at Celadon Group Inc. to give him instructions on where to drop off his company-owned truck. "The shutdown has caused a lot of confusion and aggravation to say the least," Wells wrote in a Facebook message.

  • Consider This Before Buying Golden Ocean Group Limited (NASDAQ:GOGL) For The 7.2% Dividend
    Business
    Simply Wall St.

    Consider This Before Buying Golden Ocean Group Limited (NASDAQ:GOGL) For The 7.2% Dividend

    Of the free cash flow it generated last year, Golden Ocean Group paid out 42% as dividends, suggesting the dividend is affordable. It's good to see that while Golden Ocean Group's dividends were not covered by profits, at least they are affordable from a cash perspective. Still, if the company repeatedly paid a dividend greater than its profits, we'd be concerned.

  • Jack Ma on the three Qs you need: IQ, EQ, and LQ
    Finance
    Quartz

    Jack Ma on the three Qs you need: IQ, EQ, and LQ

    Jack Ma, the founder of Alibaba, retired from the Chinese e-commerce giant in September to focus on education, which he calls the “most important and critical issue” of our time. “If you want to be successful, you should have very high EQ, a way to get on with people,” he said at an OECD conference this month, using the shorthand for emotional intelligence. “If you don't want to lose quickly, you should have good IQ,” he added.

  • Is Rheinmetall AG (ETR:RHM) Excessively Paying Its CEO?
    Business
    Simply Wall St.

    Is Rheinmetall AG (ETR:RHM) Excessively Paying Its CEO?

    At the time of writing, our data says that Rheinmetall AG has a market cap of €4.2b, and reported total annual CEO compensation of €5.7m for the year to December 2018. We think total compensation is more important but we note that the CEO salary is lower, at €1.2m. We note that more than half of the total compensation is not the salary; and performance requirements may apply to this non-salary portion.

  • A Better Dividend Stock Than Exxon Mobil, Altria, Universal and National Fuel
    Business
    Insider Monkey

    A Better Dividend Stock Than Exxon Mobil, Altria, Universal and National Fuel

    Dividend investors usually focus on companies that have a long track record of increasing their dividends year after year. The companies with at least 25 years of consecutive dividend increases are especially favored by income oriented investors. In these situations, the losses due to share price decline might wipe out the dividend income that has been collected over the years.

  • Michael Burry's Top 5 Holdings
    Business
    GuruFocus.com

    Michael Burry's Top 5 Holdings

    GuruFocus warns that GameStop's operating margin have declined approximately 9.8% per year on average over the past five years, while revenues have declined approximately 2.60% per year on average over the past three years. The company's three-year revenue decline rate underperforms 66.74% of global competitors. CEO George Sherman said prevailing industry trends, which included the "unprecedented decline in new hardware sales," contributed to the revenue decline.

  • Hedge Funds Aren’t Crazy About Radware Ltd. (RDWR) Anymore
    Business
    Insider Monkey

    Hedge Funds Aren’t Crazy About Radware Ltd. (RDWR) Anymore

    Before we spend countless hours researching a company, we like to analyze what insiders, hedge funds and billionaire investors think of the stock first. In the following paragraphs, we find out what the billionaire investors and hedge funds think of Radware Ltd. (NASDAQ:RDWR). Radware Ltd. (NASDAQ:RDWR) was in 15 hedge funds' portfolios at the end of the third quarter of 2019.

  • Elliott’s PG&E Plan Aims Carefully at Gavin Newsom
    Business
    Bloomberg

    Elliott’s PG&E Plan Aims Carefully at Gavin Newsom

    Newsom must decide whether to support the company's latest plan to emerge from chapter 11, which includes a revised $13.5 billion settlement agreed last week with wildfire victims. Having also settled with insurance firms for $11 billion and local governments for $1 billion, PG&E has effectively tightened pressure on one of the last remaining stakeholders — sitting in Sacramento — to get on board. In the background, a clock ticks toward the effective June 2020 deadline enshrined in California's wildfire-fund legislation.

  • The buildings Jacksonville lost in 2019
    Finance
    American City Business Journals

    The buildings Jacksonville lost in 2019

    Historic preservation netted some major wins in Jacksonville in 2019. The $53 million renovation of the Barnett building crossed the finish line, the $15 million renovation of the Ambassador Hotel is underway and the long-vacant Independent Life building will be resurrected next year. City Hall annex and courthouse Environmental Holdings Group LLC won an $8 million contract to demolish both the former city hall annex at 220 E Bay St. and the old courthouse at 330 E. Bay St. The demolitions, carried out in January, were initially planned by the city and the Downtown Investment Authority to make room for a new convention center, though plans for a convention center were later halted.

  • Hedge Funds Have Never Been More Bullish On Kadmon Holdings, Inc. (KDMN)
    Business
    Insider Monkey

    Hedge Funds Have Never Been More Bullish On Kadmon Holdings, Inc. (KDMN)

    Interest rates are paused at very low levels, and the risk of significant increases in the medium term seems low. Brookfield was right about politics as stocks experienced their second worst May since the 1960s due to escalation of trade disputes. Hedge fund interest in Kadmon Holdings, Inc. (NYSE:KDMN) shares was flat at the end of last quarter.

  • Costco pops after releasing first-quarter results
    Business
    Yahoo Finance Video

    Costco pops after releasing first-quarter results

    Yahoo Finance's Seana Smith breaks down Costco's first-quarter earnings results live.

  • Introducing Cyclacel Pharmaceuticals (NASDAQ:CYCC), The Stock That Tanked 92%
    Business
    Simply Wall St.

    Introducing Cyclacel Pharmaceuticals (NASDAQ:CYCC), The Stock That Tanked 92%

    As a general rule, if a company doesn't have much revenue, and it loses money, then it is a high risk investment. There is almost always a chance they will need to raise more capital, and their progress - and share price - will dictate how dilutive that is to current holders. While some companies like this go on to deliver on their plan, making good money for shareholders, many end in painful losses and eventual de-listing.

  • Is Chesapeake Energy Corporation (CHK) Going To Burn These Hedge Funds ?
    Business
    Insider Monkey

    Is Chesapeake Energy Corporation (CHK) Going To Burn These Hedge Funds ?

    Based on the fact that hedge funds have collectively under-performed the market for several years, it would be easy to assume that their stock picks simply aren't very good. This year hedge funds' top 20 stock picks easily bested the broader market, at 37.4% compared to 27.5%, despite there being a few duds in there like Berkshire Hathaway (even their collective wisdom isn't perfect). Chesapeake Energy Corporation (NYSE:CHK) shareholders have witnessed a decrease in hedge fund sentiment recently.

  • Here’s Why Amneal Pharmaceuticals (AMRX) Stock Skyrocketed 50% Today
    Business
    SmarterAnalyst

    Here’s Why Amneal Pharmaceuticals (AMRX) Stock Skyrocketed 50% Today

    Investors love healthcare stocks for the lottery ticket-like returns they can offer if a company strikes medical gold or wins the FDA's blessing. Case in point: Amneal Pharmaceuticals (AMRX), whose shares are jumping nearly 50% on Thursday, on the back of FDA approval for EluRyng, the first generic NuvaRing. NuvaRing is a flexible, transparent ring that contains the hormones estrogen and progestin to prevent an unwanted pregnancy.

  • Did Hedge Funds Drop The Ball On Axsome Therapeutics, Inc. (AXSM)?
    Business
    Insider Monkey

    Did Hedge Funds Drop The Ball On Axsome Therapeutics, Inc. (AXSM)?

    The financial regulations require hedge funds and wealthy investors that exceeded the $100 million equity holdings threshold to file a report that shows their positions at the end of every quarter. In this article, we analyze how these elite funds and prominent investors traded Axsome Therapeutics, Inc. (NASDAQ:AXSM) based on those filings. The number of bullish hedge fund bets went down by 1 lately.

  • Why Shake Shack Inc. (NYSE:SHAK) Could Be Worth Watching
    Business
    Simply Wall St.

    Why Shake Shack Inc. (NYSE:SHAK) Could Be Worth Watching

    Shake Shack Inc. (NYSE:SHAK), which is in the hospitality business, and is based in United States, saw significant share price movement during recent months on the NYSE, rising to highs of US$105 and falling to the lows of US$57.57. Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price. A question to answer is whether Shake Shack's current trading price of US$58.88 reflective of the actual value of the mid-cap?

  • Are Insiders Buying SmileDirectClub, Inc. (NASDAQ:SDC) Stock?
    Business
    Simply Wall St.

    Are Insiders Buying SmileDirectClub, Inc. (NASDAQ:SDC) Stock?

    We often see insiders buying up shares in companies that perform well over the long term. Unfortunately, there are also plenty of examples of share prices declining precipitously after insiders have sold shares. So before you buy or sell SmileDirectClub, Inc.

  • American Airlines cracks whip as Lands' End uniform order deadline nears
    Business
    American City Business Journals

    American Airlines cracks whip as Lands' End uniform order deadline nears

    American Airlines has in recent days made certain that the 27,000 flight attendants at the world's largest airline know they will be expected to report for work starting March 2 wearing uniforms from new supplier Lands' End. As of Thursday, 391 flight attendants had not placed orders for the new outfits, according to an American spokeswoman. The company this week issued a directive to the non-compliant FAs in multiple formats, including email, phone calls and direct mail, to ensure they know that ordering the new uniform by Dec. 16 is mandatory.