On Aug 21, Zacks Investment Research upgraded
) to a Zacks Rank #1 (Strong Buy).
FARMERS CAP KY (FFKT): Free Stock Analysis
FIRST M & F CRP (FMFC): Get Free Report
HOME BANCSHARES (HOMB): Free Stock Analysis
WESBANCO INC (WSBC): Free Stock Analysis
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Why the Upgrade?
WesBanco has been witnessing rising earnings estimates on the
back of strong second-quarter 2013 results. Moreover, this
well-known financial services provider delivered positive
earnings surprises in 3 of the last 4 quarters with an average
beat of 9.3%. The long-term expected earnings growth rate for
this stock is 5%.
WesBanco reported its second-quarter results on Jul 23 with
earnings per share of 58 cents, beating the Zacks Consensus
Estimate of 52 cents by 11.5% and year-ago earnings of 45 cents
by 28.9%. Robust results for the reported quarter were primarily
aided by elevated total revenues and lower provisions for credit
losses, partially offset by higher expenses.
Total revenues surged 11% year over year to $63.7 million. This
upsurge reflected growth in net interest income, fee income and
gain on sale of mortgage loans. Provision for credit losses
substantially declined 83% year over year to $1.0 million.
However, on the downside, expenses increased 9.4% to $39.5
million, as compared with the prior-year period. Higher salaries
and wages along with elevated employee benefits primarily drove
Earlier this week, WesBanco announced a 5.3% increase in its
quarterly cash dividend. The increased dividend of 20 cents per
share will be paid on Oct 1, 2013 to shareholders of record on
Sep 13, 2013. Notably, this latest rise in dividend is the second
increase this year representing an annualized 11.1% increase
Following second-quarter 2013 results, the Zacks Consensus
Estimate for 2013 increased 7.1% to $2.26 per share on the back
of 5 of the 7 upward revisions, over the last 30 days. For 2014,
the Zacks Consensus Estimate advanced 6.9% to $2.32 per share
with 5 of the 7 estimates moving north over the same time period.
Other Stocks to Consider
Besides WesBanco, other Southeast banks with a Zacks Rank #1
Farmers Capital Bank Corporation
Home Bancshares, Inc. (Conway, AR)
First M&F Corporation