(PFS) Provident Financial - Overview
Sector: Financial Services | Industry: Banks - Regional | Exchange: NYSE (USA) | Market Cap: 2.832m USD | Total Return: 38.5% in 12m
Avg Turnover: 20.8M
EPS Trend: 19.0%
Qual. Beats: 0
Rev. Trend: 97.8%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Provident Financial Services, Inc. is a New Jersey-based bank holding company established in 1839. Operating primarily through Provident Bank, the firm provides a full suite of retail and commercial banking services, including deposit accounts, residential and commercial mortgages, and consumer lending. Its business model integrates traditional spread-based lending with fee-based income streams from wealth management, trust administration, and insurance brokerage services.
As a regional bank, the company’s asset quality is heavily influenced by the commercial real estate market in the New York and New Jersey metropolitan areas. Regional banks often face higher sensitivity to local economic shifts and interest rate volatility compared to diversified national institutions. Investors may find it useful to examine ValueRay for deeper insights into these risk factors. The company also maintains specialized operations in cash management and estate planning to diversify its revenue beyond interest income.
- Lakeland Bancorp merger integration determines long-term operational efficiency and scale
- Commercial real estate concentration exposes loan portfolio to regional property volatility
- Net interest margin performance hinges on Federal Reserve monetary policy shifts
- Wealth management and insurance fees provide critical non-interest income diversification
- Asset quality stability remains vital amid tightening credit conditions in New Jersey
| Net Income: 306.5m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.02 > 0.02 and ΔFCF/TA -0.27 > 1.0 |
| NWC/Revenue: -776.2% < 20% (prev -1.27k%; Δ 490.5% < -1%) |
| CFO/TA 0.02 > 3% & CFO 438.4m > Net Income 306.5m |
| Net Debt (-571.3m) to EBITDA (490.8m): -1.16 < 3 |
| Current Ratio: 0.25 > 1.5 & < 3 |
| Outstanding Shares: last quarter (130.6m) vs 12m ago 0.16% < -2% |
| Gross Margin: 63.43% > 18% (prev 0.52%; Δ 6.29k% > 0.5%) |
| Asset Turnover: 5.65% > 50% (prev 5.02%; Δ 0.63% > 0%) |
| Interest Coverage Ratio: 0.84 > 6 (EBITDA TTM 490.8m / Interest Expense TTM 509.9m) |
| A: -0.43 (Total Current Assets 3.56b - Total Current Liabilities 14.4b) / Total Assets 25.2b |
| B: 0.05 (Retained Earnings 1.20b / Total Assets 25.2b) |
| C: 0.02 (EBIT TTM 426.5m / Avg Total Assets 24.7b) |
| D: 0.05 (Book Value of Equity 1.12b / Total Liabilities 22.3b) |
| Altman-Z'' = -2.50 = D |
| DSRI: 0.93 (Receivables 97.7m/91.8m, Revenue 1.40b/1.22b) |
| GMI: 0.82 (GM 63.43% / 51.71%) |
| AQI: 0.99 (AQ_t 0.85 / AQ_t-1 0.86) |
| SGI: 1.15 (Revenue 1.40b / 1.22b) |
| TATA: -0.01 (NI 306.5m - CFO 438.4m) / TA 25.2b) |
| Beneish M = -3.16 (Cap -4..+1) = AA |
As of May 24, 2026, the stock is trading at USD 22.30 with a total of 1,070,408 shares traded.
Over the past week, the price has changed by +2.75%,
over one month by -0.79%,
over three months by +1.66% and
over the past year by +38.46%.
Provident Financial has received a consensus analysts rating of 4.20. Therefore, it is recommended to buy PFS.
- StrongBuy: 2
- Buy: 2
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 25.2 | 13% |
P/E Forward = 9.0171
P/S = 3.196
P/B = 0.9768
P/EG = 1.6065
Revenue TTM = 1.40b USD
EBIT TTM = 426.5m USD
EBITDA TTM = 490.8m USD
Long Term Debt = 2.80b USD (from longTermDebt, last quarter)
Short Term Debt = unknown (none)
Debt = 2.89b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -571.3m USD (calculated: Debt 2.89b - CCE 3.46b)
Enterprise Value = 2.26b USD (2.83b + Debt 2.89b - CCE 3.46b)
Interest Coverage Ratio = 0.84 (Ebit TTM 426.5m / Interest Expense TTM 509.9m)
EV/FCF = 5.35x (Enterprise Value 2.26b / FCF TTM 422.7m)
FCF Yield = 18.70% (FCF TTM 422.7m / Enterprise Value 2.26b)
FCF Margin = 30.26% (FCF TTM 422.7m / Revenue TTM 1.40b)
Net Margin = 21.95% (Net Income TTM 306.5m / Revenue TTM 1.40b)
Gross Margin = 63.43% ((Revenue TTM 1.40b - Cost of Revenue TTM 510.7m) / Revenue TTM)
Gross Margin QoQ = 65.60% (prev 64.26%)
Tobins Q-Ratio = 0.09 (Enterprise Value 2.26b / Total Assets 25.2b)
Interest Expense / Debt = 17.64% (Interest Expense 509.9m / Debt 2.89b)
Taxrate = 27.91% (30.8m / 110.2m)
NOPAT = 307.4m (EBIT 426.5m * (1 - 27.91%))
Current Ratio = 0.25 (Total Current Assets 3.56b / Total Current Liabilities 14.4b)
Debt / Equity = 1.01 (Debt 2.89b / totalStockholderEquity, last quarter 2.86b)
Debt / EBITDA = -1.16 (Net Debt -571.3m / EBITDA 490.8m)
Debt / FCF = -1.35 (Net Debt -571.3m / FCF TTM 422.7m)
Total Stockholder Equity = 2.79b (last 4 quarters mean from totalStockholderEquity)
RoA = 1.24% (Net Income 306.5m / Total Assets 25.2b)
RoE = 10.98% (Net Income TTM 306.5m / Total Stockholder Equity 2.79b)
RoCE = 7.63% (EBIT 426.5m / Capital Employed (Equity 2.79b + L.T.Debt 2.80b))
RoIC = 2.85% (NOPAT 307.4m / Invested Capital 10.8b)
WACC = 11.19% (E(2.83b)/V(5.72b) * Re(9.64%) + D(2.89b)/V(5.72b) * Rd(17.64%) * (1-Tc(0.28)))
Discount Rate = 9.64% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 95.56 | Cagr: 27.92%
[DCF] Terminal Value 64.25% ; FCFF base≈442.2m ; Y1≈405.4m ; Y5≈357.8m
[DCF] Fair Price = 34.02 (EV 3.86b - Net Debt -571.3m = Equity 4.43b / Shares 130.3m; r=11.19% [WACC]; 5y FCF grow -10.37% → 2.50% )
EPS Correlation: 19.05 | EPS CAGR: 6.69% | SUE: 0.33 | # QB: 0
Revenue Correlation: 97.82 | Revenue CAGR: 39.69% | SUE: 0.74 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.56 | Chg30d=-2.77% | Revisions=-33% | Analysts=5
EPS next Quarter (2026-09-30): EPS=0.58 | Chg30d=-2.34% | Revisions=-43% | Analysts=5
EPS current Year (2026-12-31): EPS=2.36 | Chg30d=+0.68% | Revisions=+33% | GrowthEPS=+5.0% | GrowthRev=+6.3%
EPS next Year (2027-12-31): EPS=2.51 | Chg30d=-0.87% | Revisions=-14% | GrowthEPS=+6.5% | GrowthRev=+6.3%
[Analyst] Revisions Ratio: -43%