Anything left for Investors Bancorp in August?

The company chance of financial distress is now about 45.0 percent. What is Investors Bancorp Target Price Odds to finish over Current Price? Depending on normal probability distribution, the odds of Investors Bancorp to move above current price in 30 days from now is about 8.19%. The Investors Bancorp probability density function shows the probability of Investors Bancorp Stock to fall within a particular range of prices over 30 days . Given the investment horizon of 30 days, Investors Bancorp has beta of 0.6837 . This indicates as returns on market go up, Investors Bancorp average returns are expected to increase less than the benchmark. However during bear market, the loss on holding Investors Bancorp will be expected to be much smaller as well. Additionally, the company has an alpha of 0.0148 implying that it can potentially generate 0.0148% excess return over S&P 500 after adjusting for the inherited market risk (beta).
Published over a year ago
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Reviewed by Vlad Skutelnik

The entity has beta of 1.21. As market goes up, the company is expected to significantly outperform it. However, if the market returns are negative, Investors Bancorp will likely underperform. This firm dividends can provide a clue to current valuation of the stock. Investors Bancorp one year expected dividend income is about $0.18 per share. Earning per share calculations of the entity is based on official Zacks consensus of 4 analysts regarding the stock future annual earnings. Given the historical accuracy of 93.75%, the future earnings per share of the company is estimated to be 0.744 with lowest and highest values of 0.71 and 0.79 respectively. Please note that this consensus of annual earnings estimates for Investors Bancorp is an estimate of EPS before non-recurring items and including employee stock options expenses.
There are currently many different techniques concerning forecasting the market as a whole as well as predicting future values of individual securities such as Investors Bancorp. Regardless of method or technology, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.

Predictive Modules for Investors Bancorp

Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Investors Bancorp's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Investors Bancorp. Your research has to be compared to or analyzed against Investors Bancorp's peers to derive any actionable benefits. When done correctly, Investors Bancorp's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in Investors Bancorp.

How important is Investors Bancorp's Liquidity

Investors Bancorp financial leverage refers to using borrowed capital as a funding source to finance Investors Bancorp ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Investors Bancorp financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to Investors Bancorp's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Investors Bancorp's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the breakdown between Investors Bancorp's total debt and its cash.

Breaking down Investors Bancorp Further

Investors Bancorp reported previous year revenue of 669.81M. Net Income was 192.81M with profit before overhead, payroll, taxes, and interest of 678.1M. The modest gains experienced by current holders of Investors Bancorp may raise some interest from investors. The Stock closed today at a share price of 11.06 on 1153644.000 in trading volume. The company management have been quite successful with maneuvering the stock at opportune times to take advantage of all market conditions in June. The stock standard deviation of daily returns for 30 days (very short) investing horizon is currently 1.1916. The below-average Stock volatility is a good sign for a longer term investment options and for buy-and-hold investors. Investors Bancorp makes 2.40x short ratio. Investors Bancorp is selling at 11.22. That is 1.08 percent up. Today highest was 11.28. Investors Bancorp Net Cash Flow or Change in Cash and Cash Equivalents is somewhat stable at the moment. Also, Investors Bancorp Payout Ratio is decreasing over the last 4 years. The current value of Investors Bancorp Payout Ratio is 0.25.
 2008 2009 2018 2019 (projected)
Investors Bancorp Net Income 202,576,000  28,270,000  32,510,500  192,810,000 
Investors Bancorp Gross Profit 678,098,000  82,517,000  94,894,550  678,100,000 
To conclude, I belive Investors Bancorp is currently undervalued. It Follows market closely and projects below average odds of distress in the next two years. Our actual buy vs hold vs sell advice on the company is Strong Hold.

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