Northeast Community Bancorp Inc. (NECB) Hits Fresh High: Is There Still Room to Run?

Company Performance - Northeast Community Bancorp is expected to post earnings of $2.94 per share on revenues of $99.23 million for the current fiscal year, reflecting a -11.45% change in EPS and a -1.69% change in revenues [1] - For the next fiscal year, the company is projected to earn $2.71 per share on revenues of $100.97 million, indicating a year-over-year change of -7.82% in EPS and a 1.75% increase in revenues [1] - The stock has shown strong performance, with shares up 22.2% over the past month and 19.2% since the start of the year [7] Valuation Metrics - Northeast Community Bancorp has a Value Score of A, with Growth and Momentum Scores of C and B respectively, resulting in a combined VGM Score of A [3] - The stock currently trades at 7.2X current fiscal year EPS estimates, below the peer industry average of 11.9X, and at 6.3X on a trailing cash flow basis compared to the peer group's average of 9.5X [10] - The company holds a Zacks Rank of 1 (Strong Buy) due to rising earnings estimates, indicating strong potential for future performance [11] Industry Context - The Banks - Northeast industry is positioned in the top 27% of all industries, suggesting favorable conditions for both Northeast Community Bancorp and its peer, Pathward Financial, Inc. [13] - Pathward Financial, Inc. has also shown strong performance, with a Zacks Rank of 2 (Buy) and a Value Score of A, indicating it as a solid competitor in the industry [5]