TFS Financial (NASDAQ:TFSL) Stock Passes Above 200-Day Moving Average - Time to Sell?

Key Points

• TFS Financial shares moved above their 200-day moving average, reaching $17.77 and closing near $17.64, compared with a 200-day average of $15.69.
• Analyst sentiment remains cautious: the stock carries a consensus “Hold” rating from four analysts, with an average price target of $19.00, despite recent target increases and rating upgrades.
• The company exceeded quarterly expectations with EPS of $0.11 versus $0.08 expected and revenue of $89.27 million, but its 6.4% dividend yield and 313.89% payout ratio indicate a potentially stretched dividend commitment; insiders have also sold shares recently.

TFS Financial Corporation (NASDAQ:TFSL - Get Free Report) shares passed above its 200-day moving average during trading on Friday . The stock has a 200-day moving average of $15.69 and traded as high as $17.77. TFS Financial shares last traded at $17.64, with a volume of 558,473 shares.

Analyst Upgrades and Downgrades

Several research firms have recently commented on TFSL. Weiss Ratings upgraded TFS Financial from a "buy (b-)" rating to a "buy (b)" rating in a report on Tuesday. Wall Street Zen upgraded shares of TFS Financial from a "sell" rating to a "hold" rating in a research report on Saturday, August 1st. Keefe, Bruyette & Woods reaffirmed a "market perform" rating and set a $18.00 target price (up from $16.00) on shares of TFS Financial in a research note on Monday, August 3rd. Finally, Piper Sandler lifted their target price on shares of TFS Financial from $16.00 to $20.00 and gave the stock a "neutral" rating in a research note on Monday, August 3rd. One investment analyst has rated the stock with a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat, the stock currently has an average rating of "Hold" and an average price target of $19.00.

TFS Financial Stock Performance

The company has a debt-to-equity ratio of 2.97, a current ratio of 1.67 and a quick ratio of 1.58. The company has a market cap of $4.95 billion, a price-to-earnings ratio of 49.00 and a beta of 0.70. The firm has a 50 day simple moving average of $17.57 and a 200-day simple moving average of $15.69.

TFS Financial (NASDAQ:TFSL - Get Free Report) last announced its quarterly earnings results on Thursday, July 30th. The bank reported $0.11 EPS for the quarter, beating the consensus estimate of $0.08 by $0.03. The business had revenue of $89.27 million for the quarter, compared to analyst estimates of $87.05 million. TFS Financial had a return on equity of 5.32% and a net margin of 12.36%. As a group, analysts predict that TFS Financial Corporation will post 0.36 EPS for the current fiscal year.

TFS Financial Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, June 24th. Investors of record on Wednesday, June 10th were issued a $0.2825 dividend. This represents a $1.13 annualized dividend and a yield of 6.4%. The ex-dividend date was Wednesday, June 10th. TFS Financial's payout ratio is 313.89%.

Insider Activity at TFS Financial

In other TFS Financial news, insider Gavin B. Stefanski sold 6,500 shares of TFS Financial stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $18.35, for a total transaction of $119,275.00. Following the completion of the sale, the insider directly owned 19,266 shares in the company, valued at $353,531.10. This trade represents a 25.23% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CFO Meredith S. Weil sold 4,316 shares of the business's stock in a transaction that occurred on Thursday, June 11th. The shares were sold at an average price of $16.80, for a total transaction of $72,508.80. Following the completion of the sale, the chief financial officer directly owned 38,480 shares in the company, valued at $646,464. This trade represents a 10.09% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 24,921 shares of company stock worth $409,694. 0.72% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On TFS Financial

A number of hedge funds have recently made changes to their positions in TFSL. Allworth Financial LP purchased a new stake in TFS Financial in the second quarter valued at approximately $36,000. Empowered Funds LLC acquired a new position in TFS Financial during the fourth quarter worth $28,000. Comerica Bank boosted its position in shares of TFS Financial by 263.8% during the fourth quarter. Comerica Bank now owns 2,445 shares of the bank's stock worth $33,000 after buying an additional 1,773 shares during the period. Global Retirement Partners LLC purchased a new position in shares of TFS Financial during the second quarter worth $44,000. Finally, EverSource Wealth Advisors LLC grew its stake in shares of TFS Financial by 45.1% in the first quarter. EverSource Wealth Advisors LLC now owns 2,706 shares of the bank's stock valued at $38,000 after buying an additional 841 shares in the last quarter. Hedge funds and other institutional investors own 9.81% of the company's stock.

TFS Financial Company Profile

TFS Financial Corporation is a bank holding company for TFS Capital Bank, headquartered in Austin, Texas. The company offers commercial banking and specialty finance solutions designed to meet the unique needs of small and mid-sized businesses. Through its bank charter, TFS Financial provides a full suite of deposit products alongside a range of lending options tailored to growing enterprises.

The bank's lending portfolio includes equipment financing, working capital lines of credit, and term loans structured to support capital expenditures and operational needs.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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