WSFS Financial Corporation (NASDAQ:WSFS) is one of the most undervalued quality stocks to buy right now. On January 29, Keefe Bruyette updated its outlook on WSFS Financial and increased the price target to $70 from $63 alongside a Market Perform rating. On the same day, Piper Sandler also increased its price target for WSFS Financial to $67 from $62 while maintaining a Neutral rating, citing a positive outlook following the company’s recent quarterly performance. The firm boosted its 2026 projections by ...

On January 22, Dan Ives, Global Head of Technology Research at Wedbush Securities, and Jeff Kilburg, Founder & CEO of KKM Financial, appeared on CNBC to suggest that easing volatility, AI-driven tech strength, and falling rates support stock picking and potential new market highs. Kilburg expressed excitement over the president’s stated commitments for $18 trillion in domestic investments and noted that futures are pointing toward new all-time highs. Despite a minor market hiccup related to Greenland, Kilbu ...

Financial Data and Key Metrics Changes - For Q4 2025, the company reported a core earnings per share (EPS) of $1.43, a core return on assets (ROA) of 1.42%, and a core return on tangible common equity of 18%, all showing significant year-over-year increases [3][4] - The full-year core EPS for 2025 was $5.21, reflecting a 19% increase from the previous year, while Q4 core EPS increased by 29% year-over-year [4] - The net interest margin (NIM) for the quarter was 3.83%, down 8 basis points from the previous quarter but up 3 basis points year-over-year [4][5] Business Line Data and Key Metrics Changes - Core fee revenue increased by 2% linked quarter and 8% year-over-year, driven by strong growth in Wealth and Trust, capital markets, and home lending [5] - The Wealth and Trust business grew by 13% year-over-year, with WSFS Institutional Services experiencing a 29% growth [5] - Total gross loans grew by 2% linked quarter and 9% annualized, with commercial loans leading the growth at 4% linked quarter [6] Market Data and Key Metrics Changes - Total client deposits increased by 2% linked quarter and 10% annualized, with non-interest-bearing deposits growing by 6% linked quarter [6] - The company maintained a 32% share of non-interest-bearing deposits within total client deposits [6] Company Strategy and Development Direction - The company aims for mid-single-digit loan growth overall and expects continued broad-based deposit growth across its businesses in 2026 [9][10] - The strategy includes maintaining a high level of buybacks while being open to adjusting based on macroeconomic conditions and investment opportunities [9][10] - The company is focused on enhancing its fee businesses, which contribute approximately one-third of total revenue, and expects fee revenue to grow in the mid-single digits [10][11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in delivering another year of high performance and growth, with expectations for a core ROA of approximately 1.40% and double-digit growth in core EPS for 2026 [9] - The management noted that while the path of future rate cuts remains uncertain, they are prepared to manage margins through deposit repricing and other strategies [10] - The company highlighted the importance of maintaining strong expense discipline while also investing in growth opportunities [12] Other Important Information - Non-performing assets decreased significantly, down approximately 40% compared to year-end 2024, indicating improved asset quality [7] - The company returned $119 million in capital during the quarter, including $109 million in buybacks, representing 3.7% of outstanding shares [8] Q&A Session Summary Question: Can you discuss the better commercial trends and what is driving strong originations? - Management noted that improved economic clarity led to strong originations and fundings in the commercial sector, with a pipeline exceeding $300 million [15][17] Question: What are the parameters for capital return and buybacks? - The company focuses on CET1 and TCE ratios, with a capital return philosophy primarily through buybacks, aiming to return roughly 100% of net income annually [19][20] Question: What is the outlook for Cash Connect revenue and profitability? - Management indicated that while revenue may be impacted by interest rates, margin improvements are expected due to pricing strategies and operational efficiencies [25][28] Question: What is the anticipated mix of deposit growth? - The company aims to match fund loan growth and is focused on growing non-interest-bearing deposits, particularly from institutional services and small business contributions [35][80] Question: Are there any ongoing evaluations of business segments for profitability? - Management confirmed ongoing evaluations of business segments to ensure strategic fit and profitability, with a focus on shedding low-profitability partnerships [44][46] Question: What are the expectations around M&A activity? - Management remains open to M&A opportunities that could strengthen their market position, while also focusing on organic growth [50][51]

Financial Data and Key Metrics Changes - For Q4 2025, the company reported a core earnings per share (EPS) of $1.43, a core return on assets (ROA) of 1.42%, and a core return on tangible common equity of 18%, all showing significant year-over-year increases [3][4] - The full-year core EPS for 2025 was $5.21, reflecting a 19% increase from the previous year, while Q4 core EPS increased by 29% year-over-year [4] - The net interest margin (NIM) for the quarter was 3.83%, down 8 basis points from the previous quarter but up 3 basis points year-over-year [4][5] Business Line Data and Key Metrics Changes - Core fee revenue increased by 2% linked quarter and 8% year-over-year, driven by strong growth in wealth and trust, capital markets, and home lending [5] - The wealth and trust business grew by 13% year-over-year, with WSFS Institutional Services achieving a 29% growth [5] - Total gross loans grew by 2% linked quarter and 9% annualized, with commercial loans leading the growth at 4% linked quarter [6] Market Data and Key Metrics Changes - Total client deposits increased by 2% linked quarter and 10% annualized, with non-interest-bearing deposits growing by 6% linked quarter [6] - The company maintained a strong market position, ranking as the fourth most active U.S. asset-backed and mortgage-backed securities trustee with nearly 12% market share [5] Company Strategy and Development Direction - The company aims for mid-single-digit loan growth and continued broad-based deposit growth in 2026, focusing on maintaining an interest-bearing deposit beta in the low- to mid-40s [9][10] - The strategy includes maintaining a high level of capital returns through buybacks while being open to investment opportunities [9][20] - The company is committed to expense discipline while investing in growth opportunities, with an efficiency ratio targeted in the high fifties for the year [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in delivering high performance and growth in 2026, with expectations of a core ROA of approximately 1.40% and double-digit growth in core EPS [9] - The management noted that the economic environment has stabilized, leading to improved sentiment among small business owners, which has positively impacted commercial loan originations [16][17] - The company anticipates challenges in commercial loan losses but remains optimistic about the overall portfolio quality, particularly in real estate-secured loans [70][71] Other Important Information - Non-performing assets decreased significantly, down approximately 40% compared to year-end 2024, indicating improved asset quality [7] - The company returned $119 million in capital during the quarter, including $109 million in buybacks, totaling $288 million for the year [8] Q&A Session Summary Question: Can you discuss the trends in commercial loan growth and sentiment? - Management noted that improved economic clarity led to strong commercial loan originations and a positive outlook for future growth [16][17] Question: What are the parameters for capital return and buybacks? - The company focuses on CET1 and TCE ratios, with a capital return philosophy primarily through buybacks, aiming to return roughly 100% of net income annually [19][20] Question: What is the expected impact of interest rate cuts on Cash Connect revenue? - Management indicated that each 25 basis point rate cut could impact revenue by approximately $2.5 million, but margin improvements from pricing and expense management would offset some of this [26][28] Question: How does the company evaluate its diversified businesses for profitability? - The company has an ongoing initiative to assess the strategic fit of its businesses, shedding low-profitability partnerships while focusing on core areas [45][46] Question: Are there any updates on M&A considerations? - Management remains open to M&A opportunities that could strengthen their market position, while also focusing on organic growth [50][51]

Financial Data and Key Metrics Changes - For Q4 2025, the company reported a core earnings per share (EPS) of $1.43, a core return on assets (ROA) of 1.42%, and a core return on tangible common equity of 18%, all showing significant year-over-year increases [3][4] - The full-year core EPS for 2025 was $5.21, reflecting a 19% increase from the previous year, while Q4 core EPS increased by 29% year-over-year [4] - The net interest margin (NIM) for the quarter was 3.83%, down 8 basis points from the previous quarter but up 3 basis points year-over-year [4][5] Business Line Data and Key Metrics Changes - Core fee revenue increased by 2% linked quarter and 8% year-over-year, driven by strong growth in wealth and trust, capital markets, and home lending [5] - The wealth and trust business grew by 13% year-over-year, with WSFS Institutional Services achieving a 29% growth and BMT of Delaware growing by 24% [5] - Total gross loans grew by 2% linked quarter, or 9% annualized, with commercial loans leading the growth at 4% linked quarter or 15% annualized [6] Market Data and Key Metrics Changes - Total client deposits increased by 2% linked quarter or 10% annualized, with non-interest-bearing deposits growing by 6% linked quarter, now representing 32% of total client deposits [6] - The company reported a significant improvement in asset quality, with non-performing assets down approximately 40% compared to year-end 2024 [7] Company Strategy and Development Direction - The company plans to maintain an elevated level of buybacks while targeting a capital ratio of 12%, with a focus on adjusting buyback pace based on macroeconomic conditions and investment opportunities [10] - The outlook for 2026 includes expectations for mid-single-digit loan growth and continued broad-based deposit growth across all business lines [10][11] - The company aims to leverage its fee businesses, which contribute about a third of total revenue, and expects fee revenue to grow in the mid-single digits [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in delivering high performance and growth in 2026, with expectations for a core ROA of approximately 1.40% and double-digit growth in core EPS [10] - The management noted that while the path of future interest rate cuts remains uncertain, they are prepared to manage margins through deposit repricing and other strategies [11] - The company remains committed to evaluating its business lines for strategic fit and profitability, continuing to shed low-performing partnerships [46][47] Other Important Information - The company returned $119 million of capital in Q4 2025, including $109 million in buybacks, totaling $288 million for the year, representing over 9% of outstanding shares [9] - The company expects net charge-offs to be in the range of 35-45 basis points of average loans for the year, consistent with 2025 results [12] Q&A Session Summary Question: Can you discuss the better commercial trends and what is driving strong originations? - Management noted that improved economic clarity led to strong originations and fundings in the commercial sector, with a pipeline exceeding $300 million [15][18] Question: What are the parameters for capital return and buybacks? - Management indicated that capital return is primarily driven by CET1 and TCE ratios, with a focus on buybacks as the main method of capital return [20][21] Question: What is the anticipated revenue impact from Cash Connect and margin expectations? - Management expects a $2.5 million annual impact per 25 basis point rate cut on Cash Connect revenue, but margin improvements are anticipated through pricing and expense management [26][27] Question: What is the outlook for deposit growth and the mix of deposits? - Management aims for mid-single-digit deposit growth, with a focus on non-interest-bearing deposits and core operating deposits [36][37] Question: Are there any ongoing evaluations of business lines for profitability? - Management confirmed ongoing evaluations of business lines to ensure strategic fit and profitability, with a focus on shedding low-performing partnerships [44][46] Question: What are the expectations for risk-adjusted returns in the loan portfolio? - Management indicated a focus on real estate-secured portfolios for better risk-adjusted returns, emphasizing competitive advantages in home lending [55][56]

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh. ...

WSFS Financial Corporation We caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date on which they are made, and the Company disclaims any duty to revise or update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company for any reason, except as specifically required by law. As used in this presentation, the terms "WSFS", "the Company", "registrant", "we", "us", and "our" mean WSFS ...

分组1 - WSFS Financial reported quarterly earnings of $1.43 per share, exceeding the Zacks Consensus Estimate of $1.26 per share, and showing an increase from $1.11 per share a year ago, resulting in an earnings surprise of +13.49% [1] - The company achieved revenues of $271.87 million for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 1.80% and up from $261.51 million year-over-year [2] - WSFS has outperformed the S&P 500 with a share price increase of about 4.5% since the beginning of the year, compared to the S&P 500's gain of 1% [3] 分组2 - The current consensus EPS estimate for the upcoming quarter is $1.21 on revenues of $263.17 million, and for the current fiscal year, it is $5.26 on revenues of $1.09 billion [7] - The Financial - Savings and Loan industry, to which WSFS belongs, is currently ranked in the top 22% of over 250 Zacks industries, indicating a favorable outlook for the sector [8] - The estimate revisions trend for WSFS was favorable ahead of the earnings release, resulting in a Zacks Rank 2 (Buy) for the stock, suggesting expected outperformance in the near future [6]

Financial Performance - WSFS reported 4Q 2025 EPS of $1.34, with a full-year EPS of $5.09, reflecting a 15% increase from 2024[2][4] - Core EPS for 4Q 2025 was $1.43, representing a 29% year-over-year growth[6][9] - Total net revenue for 2025 was $1,066.0 million, up from $1,046.4 million in 2024[4] - GAAP net income attributable to WSFS for Q4 2025 was $72,678,000, an increase from $64,202,000 in Q4 2024, reflecting a 13.5% year-over-year growth[54] - Adjusted net income (non-GAAP) for Q4 2025 was $77,678,000, compared to $65,776,000 in Q4 2024, marking a 18.0% increase[54] - Net income (GAAP) for the three months ended December 31, 2025, was $72.694 million, compared to $76.467 million for the previous quarter and $64.155 million for the same period last year[56] Revenue and Income Sources - Net interest income for 4Q 2025 was $187.4 million, a 2% increase from 3Q 2025 and a 5% increase from 4Q 2024[4][17] - Noninterest income for the three months ended December 31, 2025, was $84.521 million, slightly down from $83.307 million in the same period of 2024[46] - Core fee revenue increased to $90.1 million, up $2.1 million or 2% from 3Q 2025, driven by 9% growth across Wealth and Trust services[25] - Cash Connect reported net revenue of $20.7 million for Q4 2025, a decrease of $1.3 million from Q3 2025[41] - Adjusted Cash Connect net revenue for the three months ended December 31, 2025, was $20.735 million, down from $22.043 million in the previous quarter and $24.641 million a year ago[56] Asset and Deposit Growth - Total client deposits increased by $416.3 million, or 2% from 3Q 2025, with noninterest demand deposits growing by 6%[13][15] - Total assets increased to $21,314,076 thousand as of December 31, 2025, up from $20,840,415 thousand at September 30, 2025, representing a growth of 2.27%[48] - Total client deposits reached $17,642,488 thousand, up from $17,226,218 thousand, marking a growth of 2.42%[48] - Assets Under Management/Administration (AUM/AUA) grew to $97.4 billion, representing a 4% quarter-over-quarter and 9% year-over-year increase[39] Loan and Credit Metrics - Commercial and industrial (C&I) loans grew by 4% quarter-over-quarter, contributing to overall loan growth of 2%[10][9] - The loan-to-deposit ratio was 74% at December 31, 2025, indicating capacity for further loan growth[15] - Net loans and leases rose to $13,143,600 thousand, compared to $12,840,383 thousand in the previous quarter, reflecting an increase of 2.36%[48] - Provision for credit losses for the three months ended December 31, 2025, was $12.669 million, significantly higher than $8.036 million in the same period of 2024[46] Efficiency and Cost Management - Core noninterest expense decreased to $160.9 million, down $1.2 million or 1% from 3Q 2025, primarily due to lower Cash Connect external funding costs[27] - The efficiency ratio improved to 59.46% for the three months ended December 31, 2025, compared to 64.57% in the same period of 2024[47] - Core efficiency ratio (non-GAAP) improved to 57.9% in Q4 2025 from 59.5% in Q3 2025, indicating enhanced operational efficiency[53] Capital and Shareholder Returns - Tangible book value per share increased by 21% to $33.11, with core ROA of 1.39% reflecting a 13bps increase from 2024[6][8] - The Common Equity Tier 1 capital ratio was 13.92%, substantially above regulatory benchmarks, indicating strong capital management[31] - During 4Q 2025, the company repurchased 2,029,468 shares for $109.3 million, with total capital returned to stockholders reaching $324.7 million for the year[34] - Total stockholders' equity decreased by $14.7 million, or 1%, primarily due to capital returns of $118.5 million, offset by quarterly earnings of $72.7 million[32] Tax and Regulatory Compliance - The effective tax rate increased to 25.2% in 4Q 2025, compared to 24.2% in 3Q 2025, primarily due to higher nondeductible expenses[29] - The allowance for credit losses stood at $182,500 thousand, slightly down from $185,504 thousand, a decrease of 1.08%[48] Market and Operational Metrics - The market price of common stock closed at $55.24, reflecting a high of $58.86 and a low of $49.92 during the quarter[50] - The number of WSFS owned and branded ATMs decreased to 488 from 567 year-over-year[50] - The number of serviced non-bank ATMs and smart safes was 35,958 in Q4 2025, down from 36,511 in Q3 2025[41] - The number of associates (FTEs) remained stable at 2,335, slightly up from 2,309 a year ago[50] Future Outlook - The management will conduct a conference call on January 27, 2026, to review Q4 2025 results[43]

Piper Sandler assumed coverage of WSFS Financial (WSFS) with a Neutral rating and $62 price target In a time of some building market optimism for banks, the analyst is assuming coverage of five more regional banks. Piper highlights a positive earnings backdrop. The firm bases its forecast through 2027 on its expectations for a steady march lower by the Federal Reserve in short-term rates, a modest steepening in the yield curve, and a solid economic backdrop for growth and credit. Claim 50% Off TipRanks P ...