Hudson City Bancorp, Inc. (NASDAQ:HCBK)

CAPS Rating: 3 out of 5

The Company serves as the holding company of its only subsidiary, Hudson City Savings Bank.


Player Avatar Batting450 (< 20) Submitted: 2/7/2011 9:43:05 AM : Outperform Start Price: $10.08 HCBK Score: -57.25

1. CROIC (if it even works for bank stocks?) is sitting around 7%. Not great. But when I do a DCF using 80% of CROIC as the growth rate, I get a value of about $20/share. It’s sitting at $11.17.2. P/E of around 10 confirms the potential cheapness of it3. Management is awesome. They didn’t go for all the craziness of the housing boom. They in fact shunned the “cheap” growth they could have got by altering their underwriting standards. That means they didn’t take on NINJA loans (No Income No Job or Assets). They hoarded cash during the boom and managed to keep their dividend secure during the crisis. That to me is stunning.4. The dividend. 5.5% with a payout ratio at around 50%. That payout ratio is high, but I am confident management can hold it together.5. Have an above 6 in Piotroski Score (but I’m unsure if that is helpful for banks)6. Look to be growing, and are in a sector I like.7. Probably aren’t evil.Read more at

Report this Post 2 Replies
Member Avatar Bethamphetamine (< 20) Submitted: 3/9/2011 10:25:10 AM
Recs: 0

Love it - is there a "Probably aren't evil" box on the CAPS screener?

Member Avatar donbcms (< 20) Submitted: 8/30/2013 6:06:13 PM
Recs: 0

I love your comment on its value. I wish you had been at the stockholders mesting (4/18/2013) ?? I was!! Hermance (head of HCBK) started his career with M&T & gave them a "goldmine". MNT did not have a single Branch in NJ, and IF it had been open for BID, with its Price & Reputation,many banks would have jumped at the opportunity?? MNT; a "friend" in their corner?? Hermance's "Parachute" a Seat @ MNT; he had been on "sick leave"?? Info. ALL on "FOOLs" columns??

Featured Broker Partners