Norwood Financial Posts $11.8M Third-Quarter Profit
NWFL sits 37% above its 52-week low of $25.5.
Summary
Norwood Financial reported third-quarter net income of $11.8 million, up from the $9.3 million it earned in the second quarter, with EPS of $1.08 and adjusted EPS of $2.67. Net interest income came in at $28 million and the net interest margin was 4.01%, aided by a bankruptcy resolution. That is a meaningful step up for a bank this size and comes despite the credit overhang flagged last quarter, when non-performing loans jumped to $27.4 million after a large commercial real estate borrower filed for Chapter 11. The key question is whether the Q3 credit picture improved or deteriorated; the headline gives only the bottom line. The stock is trading near its 52-week high of $35.48, so the market has already been leaning positive on the name. The company also has a 550,000-share buyback running and pays a $0.32 quarterly dividend, both of which support the shares.
At the time of this announcement, NWFL was trading at $34.88 on NASDAQ in the Finance sector, with a market capitalization of approximately $380.3M. The 52-week trading range was $25.50 to $35.48. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Dow Jones Newswires.