Provident Financial Services' (PFS) "Neutral" Rating Reiterated at DA Davidson

Key Points

• DA Davidson reiterated a "Neutral" rating on Provident Financial Services with a $23 price target (roughly a 2.8% upside), while the Street consensus remains a Buy with a $23.92 target and several firms (KBW, RBC, Piper Sandler, Weiss) issuing higher targets or upgrades up to $26.
• Q1 results showed an EPS beat of $0.61 vs. $0.55 consensus and revenue up 7.9% year‑over‑year ($225.2M, narrowly missing estimates), and the company announced a $0.24 quarterly dividend plus a small $2.81M share‑repurchase program.
• Shares traded at $22.37 (market cap ~$2.92B) with a P/E of 9.5, a 52‑week range of $15.92–$23.98, and about 72% institutional ownership, reflecting significant investor interest despite mixed analyst views.

Provident Financial Services (NYSE:PFS - Get Free Report)'s stock had its "neutral" rating restated by equities researchers at DA Davidson in a research report issued on Friday,Benzinga reports. They currently have a $23.00 price objective on the savings and loans company's stock. DA Davidson's price objective indicates a potential upside of 2.82% from the stock's previous close.

A number of other research firms also recently issued reports on PFS. Royal Bank Of Canada set a $25.00 target price on shares of Provident Financial Services in a research report on Thursday, January 29th. Weiss Ratings upgraded shares of Provident Financial Services from a "hold (c+)" rating to a "buy (b-)" rating in a report on Wednesday, April 1st. Keefe, Bruyette & Woods upped their price target on shares of Provident Financial Services from $25.00 to $26.00 and gave the stock an "outperform" rating in a research note on Friday. Finally, Piper Sandler initiated coverage on Provident Financial Services in a research report on Monday, March 16th. They set an "overweight" rating and a $25.00 price objective for the company. Two investment analysts have rated the stock with a Strong Buy rating, three have issued a Buy rating and two have given a Hold rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of "Buy" and a consensus target price of $23.92.

Provident Financial Services Stock Down 1.4%

Shares of PFS traded down $0.31 during trading hours on Friday, reaching $22.37. The company's stock had a trading volume of 1,329,368 shares, compared to its average volume of 963,250. The company has a 50 day moving average of $21.56 and a two-hundred day moving average of $20.66. The company has a quick ratio of 1.02, a current ratio of 1.02 and a debt-to-equity ratio of 0.90. The firm has a market cap of $2.92 billion, a price-to-earnings ratio of 9.52 and a beta of 0.81. Provident Financial Services has a 1-year low of $15.92 and a 1-year high of $23.98.

Provident Financial Services (NYSE:PFS - Get Free Report) last posted its quarterly earnings results on Thursday, April 30th. The savings and loans company reported $0.61 EPS for the quarter, topping the consensus estimate of $0.55 by $0.06. Provident Financial Services had a net margin of 21.95% and a return on equity of 11.07%. The business had revenue of $225.20 million during the quarter, compared to analysts' expectations of $225.62 million. During the same period last year, the company posted $0.49 earnings per share. The firm's quarterly revenue was up 7.9% compared to the same quarter last year. As a group, research analysts predict that Provident Financial Services will post 2.34 EPS for the current fiscal year.

Provident Financial Services announced that its board has initiated a stock repurchase program on Monday, January 26th that authorizes the company to buyback $2.81 million in shares. This buyback authorization authorizes the savings and loans company to buy up to 0.1% of its stock through open market purchases. Stock buyback programs are generally an indication that the company's board believes its stock is undervalued.

Institutional Investors Weigh In On Provident Financial Services

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Hsbc Holdings PLC grew its holdings in Provident Financial Services by 104.5% during the first quarter. Hsbc Holdings PLC now owns 281,106 shares of the savings and loans company's stock valued at $5,951,000 after purchasing an additional 143,638 shares during the last quarter. DGS Capital Management LLC acquired a new stake in shares of Provident Financial Services in the first quarter worth $249,000. New York State Teachers Retirement System boosted its holdings in shares of Provident Financial Services by 42.0% during the 1st quarter. New York State Teachers Retirement System now owns 47,464 shares of the savings and loans company's stock worth $1,004,000 after buying an additional 14,028 shares during the period. Y Intercept Hong Kong Ltd bought a new stake in shares of Provident Financial Services during the 1st quarter worth $2,868,000. Finally, MRA Advisory Group acquired a new position in Provident Financial Services in the 1st quarter valued at $619,000. 71.97% of the stock is currently owned by institutional investors and hedge funds.

Provident Financial Services News Summary

Here are the key news stories impacting Provident Financial Services this week:

• Positive Sentiment: Q1 earnings beat — Provident reported $0.61 EPS vs. $0.55 consensus and net income of $79.4M, with revenue up ~7.9% year‑over‑year, showing core profitability and top‑line growth. PFS Beats Q1 Estimates
• Positive Sentiment: Analyst upgrade and higher target — Keefe, Bruyette & Woods raised its price target to $26 and kept an “Outperform” rating, implying meaningful upside from current levels and providing fresh buy‑side support. KBW Raises PT to $26
• Positive Sentiment: Dividend announced — Board declared a $0.24 quarterly dividend (annualized yield ~4.2%), supporting income investors and helping to anchor valuation. Dividend Declaration
• Neutral Sentiment: Management reaffirmed growth targets — Provident signaled 2026 NIM of 3.40%–3.45% while reaffirming 4%–6% loan and deposit growth, which maintains expectations but does not accelerate them. Investors will watch NIM trajectory closely. NIM and Growth Outlook
• Neutral Sentiment: Conference call takeaways — Management framed the quarter as steady with diversification and credit quality in focus; read the Q1 highlights for details on strategy and execution. Q1 Call Highlights
• Negative Sentiment: Revenue narrowly missed consensus — Reported revenue was $225.20M vs. $225.62M expected, a slight miss that may temper enthusiasm despite the EPS beat. Revenue vs Estimates

Provident Financial Services Company Profile

Provident Financial Services, Inc is the bank holding company for Provident Bank, a regional commercial bank headquartered in Jersey City, New Jersey. The company operates a network of full-service branches across New Jersey, the New York metropolitan area and eastern Pennsylvania, offering a range of personal and business banking solutions.

Its core products and services include checking and savings accounts, consumer and residential mortgage loans, commercial real estate financing and small-business lending.

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