Peoples Financial Q2 profit falls on higher credit loss provision
PFIS•Result drivers and outlook
- Credit loss provision - Higher provision for credit losses, primarily due to significant loan growth, reduced net income
- Operating expenses - Increased salaries, employee benefits, and occupancy costs contributed to higher noninterest expense
- Loan growth and investment repositioning - Net interest income rose due to robust loan growth and higher investment income from portfolio repositioning
The company did not provide specific guidance for future quarters or full-year results.
Key details and analyst coverage
| Metric | Actual |
|---|---|
| Q2 EPS | $1.48 |
| Q2 Net Income | $14.80 mln |
| Q2 Net Interest Income | $45.60 mln |
- The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
- The average consensus recommendation for the banks peer group is "buy"
- Wall Street's median 12-month price target for Peoples Financial Services Corp is $63.00, about 12.1% below its July 29 closing price of $71.70
- The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 8 three months ago
