Prior to this year, the bank had done quite well in terms of growing its top and bottom lines. But we have seen some weakness this year because of higher interest rates. But on the whole, I feel as though the bank is attractive enough to rate a soft ‘buy’ at this time. Driven by high amounts of debt, declining profits, and continued weakness when it comes to deposits, Capitol Federal Financial is still down 36% compared to where the stock ended in February of this year. For context, at its low point after February, shares were down as much as 37.4%.

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Capitol Federal Financial, Inc. to Report Q1, 2021 Results on Jan 28, 2021

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• CFFN’s beta can be found in Trading Information at the top of this page.
• It offers a variety of financial products and services, including checking and savings account, eBanking, trust and brokerage, and insurance.
• Data may be intentionally delayed pursuant to supplier requirements.
• According to the Upcoming Special Dividends page, a Premium feature of GuruFocus, three stocks that are paying a one-time cash dividend during June are Capitol Federal Financial Inc. ( CFFN , Financia…

Capitol Federal Financial, Inc. operates as the holding company for Capitol Federal Savings Bank that provides various retail banking products and services in the United States. The company accepts a range of deposit products, including savings accounts, money market deposit accounts, interest-bearing and non-interest-bearing checking accounts, and certificates of deposit. In addition, the company offers mobile, telephone, and online banking services, as well as bill payment services; operates a call center; and invests in various securities. The company serves the metropolitan areas of Topeka, Wichita, Lawrence, Manhattan, Emporia, and Salina, Kansas, and a portion of the metropolitan area of greater Kansas City. Capitol Federal Financial, Inc. was founded in 1893 and is headquartered in Topeka, Kansas. Capitol Federal Financial Inc is a bank holding company that operates through its wholly-owned subsidiary bank, Capitol Federal Savings Bank.

One share of CFFN stock can currently be purchased for approximately $5.25. 44 employees have rated Capitol Federal Financial Chief Executive Officer John B. Dicus on Glassdoor.com. John B. Dicus has an approval rating of 95% among the company’s employees. This puts John B. Dicus in the top 30% of approval ratings compared to other CEOs of publicly-traded companies. 59.0% of employees surveyed would recommend working at Capitol Federal Financial to a friend.

And we have unwavering standards for how we keep that integrity intact, from our research and data to our policies on content and your personal data. According to the Upcoming Special Dividends page, a Premium feature of GuruFocus, three stocks that are paying a one-time cash dividend during June are Capitol Federal Financial Inc. ( CFFN , Financia… The company is scheduled to release its next quarterly earnings announcement on Wednesday, October 25th 2023. Capitol Federal Financial’s stock was trading at $8.65 at the beginning of the year. Since then, CFFN stock has decreased by 39.3% and is now trading at $5.25.

Dividend Strength

The industry with the best average Zacks Rank would be considered the top industry (1 out of 265), which would place it in the top 1% of Zacks Ranked Industries. The industry with the worst average Zacks Rank (265 out of 265) would place in the bottom 1%. An industry with golden rules of double entry system a larger percentage of Zacks Rank #1’s and #2’s will have a better average Zacks Rank than one with a larger percentage of Zacks Rank #4’s and #5’s. The Zacks Industry Rank assigns a rating to each of the 265 X (Expanded) Industries based on their average Zacks Rank.

CFFN’s beta can be found in Trading Information at the top of this page. A stock’s beta measures how closely tied its price movements have been to the performance of the overall market. A roundup of the latest corporate earnings reports and what companies are saying about future quarters.

Capitol Federal Financial (NASDAQ:CFFN) Is Paying Out A Dividend Of $0.085

As of the end of its most recent fiscal year, the institution had 54 different branches spread between nine counties in Kansas and three counties in Missouri. 45 of these branches are traditional in nature, while the remaining nine are in store branches. Capitol Federal Financial, Inc. is a holding company, which operates as a community-oriented financial institution. It offers a variety of financial products and services, including checking and savings account, eBanking, trust and brokerage, and insurance. The company was founded in 1893 and is headquartered in Topeka, KS.

A lot of this pain recently has come from higher interest expense that the company has had to cover. For the first nine months of 2023, for instance, interest paid on deposits totaled $52.5 million. This was more than double the $25.4 million reported one year earlier. But the real pain came from a surge in the interest expense paid on borrowings.

• And we have unwavering standards for how we keep that integrity intact, from our research and data to our policies on content and your personal data.
• The bank performs traditional banking functions such as deposit-taking activities and investing that money in first-lien residential mortgages.
• Zacks Earnings ESP (Expected Surprise Prediction) looks to find companies that have recently seen positive earnings estimate revision activity.
• One share of CFFN stock can currently be purchased for approximately $5.25.
• As of the end of the most recent quarter, 83.4% of all loans outstanding we’re in the form of one to four family properties.

As a small commercial bank, Capitol Federal Financial provides all the primary services that many other banks of its size due. Examples here include offering deposit services, not only for the general public, but also for businesses. The company gives out loans, including commercial loans, mortgages, and more. It also makes investments in various securities, including mortgage-backed securities.

Zacks Earnings ESP (Expected Surprise Prediction) looks to find companies that have recently seen positive earnings estimate revision activity. The idea is that more recent information is, generally speaking, more accurate and can be a better predictor of the future, which can give investors an advantage in earnings season. The Style Scores are a complementary set of indicators to use alongside the Zacks Rank. It allows the user to better focus on the stocks that are the best fit for his or her personal trading style. Transparency is how we protect the integrity of our work and keep empowering investors to achieve their goals and dreams.

Analysts lower EPS estimates to US$0.47

High-growth stocks tend to represent the technology, healthcare, and communications sectors. They rarely distribute dividends to shareholders, opting for reinvestment in their businesses. More value-oriented stocks tend to represent financial services, utilities, and energy stocks. The growth that the institution saw between 2020 and 2022 was made possible by continued investments made in the form of loans and various securities. Available for sale securities remained more or less flat at around $1.56 billion during that three-year window, though there was a spike to $2.01 billion in 2021. Meanwhile, the value of loans increased from $7.20 billion to $7.46 billion.

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The bank is a community-oriented financial institution that offers a variety of financial services through tens of locations. It primarily serves metropolitan areas within the state of Kansas. The bank performs traditional banking functions such as deposit-taking activities and investing that money in first-lien residential mortgages. It also participates in commercial real estate loans with other lenders, investing those funds in various securities. The vast majority of the bank’s loan portfolio is in originated one- to four-family real estate loans.

A simple, equally-weighted average return of all Zacks Rank stocks is calculated to determine the monthly return. The monthly returns are then compounded to arrive at the annual return. Only Zacks Rank stocks included in Zacks hypothetical portfolios at the beginning of each month are included in the return calculations. Zacks Ranks stocks can, and often do, change throughout the month. Certain Zacks Rank stocks for which no month-end price was available, pricing information was not collected, or for certain other reasons have been excluded from these return calculations.

Normally, the continued decline in deposits would cause me to be concerned. He runs Crude Value Insights, a value-oriented newsletter aimed at analyzing the cash flows and assessing the value of companies in the oil and gas space. Capitol Federal Financial announced a quarterly dividend on Tuesday, July 25th. Shareholders of record on Friday, August 4th will be paid a dividend of $0.085 per share on Friday, August 18th. This represents a $0.34 annualized dividend and a dividend yield of 6.48%.

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According to one analyst, the rating for CFFN stock is “Hold” and the 12-month stock price forecast is $7.5. © 2023 Market data provided is at least 10-minutes delayed and hosted by Barchart Solutions. Information is provided ‘as-is’ and solely for informational purposes, not for trading purposes or advice, and is delayed. To see all exchange delays and terms of use please see Barchart’s disclaimer. Crude Value Insights offers you an investing service and community focused on oil and natural gas.

This jumped from $28 million last year to $96.5 million this year. At the end of 2022, for instance, the bank had $2.13 billion of debt on its books. As of the end of the third quarter, this number had grown to $2.99 billion. On top of this, a general increase in interest rates caused by Federal Reserve policy aimed at combating inflation has also proven to be problematic for the bank. We saw a slight drop to $6.07 billion in the first quarter of this year before experiencing a slight rebound to $6.14 billion during the second quarter.

Other than the high amount of leverage and the recent drop in deposits, the only negative that I see with Capitol Federal Financial is that its book value per share has a history of declining from year to year. Even though this is a negative, it is worth mentioning that shares are currently trading at only 67.4% of the company’s book value. And, using results from 2022, the stock is trading at a price-to-earnings multiple of 8.7. This is quite attractive, though not the cheapest that I have seen by any means.

We focus on cash flow and the companies that generate it, leading to value and growth prospects with real potential. Over the past few fiscal years, Capitol Federal Financial has done quite well to grow both its top and bottom lines. Net interest income, for instance, managed to rise from $167 million in 2020 to $197.2 million in 2022.

We have seen that increase continue this year, with a total reading as of the end of the most recent quarter of $7.96 billion even as available for sale securities dropped to $1.44 billion. It is worth mentioning the composition of the loans that the bank has. As of the end of the most recent quarter, 83.4% of all loans outstanding we’re in the form of one to four family properties.