1st Constitution Story

<div class='circular--portrait' style='background:#169D0B;color: #E6E6FA;font-size:4em;'>1C</div>
FCCY -- USA Stock  

USD 17.03  0.20  1.16%

1st Constitution Net Cash Flow from Financing is fairly stable at the moment as compared to the past year. 1st Constitution reported Net Cash Flow from Financing of 94.69 Million in 2019. Net Cash Flow from Operations is likely to rise to about 13.4 M in 2020, whereas Average Assets are likely to drop slightly above 1.3 B in 2020. 1st Constitution Bancorp is scheduled to announce its earnings today. The next earnings report is expected on the 29th of January 2021. The stock experiences an active upward rally. While some of us are getting worried about financial services space, it is reasonable to break down 1st Constitution Bancorp using its current fundamental data. We will cover the possibilities of making 1st Constitution into a steady grower in November. We currently estimate 1st Constitution as fairly valued. The real value is approaching 12.09 per share.
Published over a month ago
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Will 1st Constitution (NASDAQ:FCCY) fundamental indicators remain weak in November?
Our trade advice tool can cross-verify current analyst consensus on 1st Constitution Bancorp and to analyze the company potential to grow in the current economic cycle. The company dividends can provide a clue to the current value of the stock. This firm one year expected dividend income is about $0.22 per share.
Typically, a company's financial statements are the reports that show the financial position of the company. There are three main documents that fall into the category of financial statements. These documents include 1st Constitution income statement, its balance sheet, and the statement of cash flows. Potential 1st Constitution investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although 1st Constitution investors may use each financial statement separately, they are all related. The changes in 1st Constitution's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on 1st Constitution's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages. The goal of 1st Constitution fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of 1st Constitution performance into the future periods or doing a reasonable stock valuation. The intrinsic value of 1st Constitution shares is the value that is considered the true value of the share. If the intrinsic value 1st Constitution is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares 1st Constitution. Please read more on our fundamental analysis page.

Are 1st Constitution Earnings Expected to grow?

The future earnings power of 1st Constitution involves the interaction of many company-specific, industry, and economic forces. Earnings estimates embody investors' opinions of 1st Constitution factors such as sales growth, product demand, competitive industry environment, profit margins, and cost controls. 1st Constitution stock prices adjust as these expectations change or are proven wrong. The main thing to remember is that equities with high expected earnings growth tend to underperform the market because it is usually difficult to meet the market's high expectations. Companies with low earnings expectations tend to do better than expected. Please use our latest analysis of 1st Constitution expected earnings.

And What about dividends?

A dividend is the distribution of a portion of 1st Constitution earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. 1st Constitution dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. 1st Constitution one year expected dividend income is about $0.19 per share.
Preferred Dividends Income Statement Impact is likely to drop to about 1.1 M in 2020. Payment of Dividends and Other Cash Distributions is likely to drop to about (2.8 M) in 2020.
Last ReportedProjected for 2020
Preferred Dividends Income Statement Impact1.2 M1.1 M
Payment of Dividends and Other Cash Distributions-2.6 M-2.8 M
Dividend Yield 0.014  0.0133 
Dividends per Basic Common Share 0.30  0.27 
Investing in dividend-paying stocks, such as 1st Constitution Bancorp is one of the few strategies that are good for long-term investment. Ex-dividend dates are significant because investors in 1st Constitution must own a stock before its ex-dividend date to receive its next dividend. This type of analysis is very useful when you want to generate a past dividend schedule and payout information for 1st Constitution. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.

How 1st Constitution utilizes its cash?

To perform a cash flow analysis of 1st Constitution, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash 1st Constitution is receiving and how much cash it distributes out in a given period. The 1st Constitution cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities. 1st Constitution Net Cash Flow from Operations is fairly stable at the moment as compared to the past year. 1st Constitution reported Net Cash Flow from Operations of 13.26 Million in 2019

1st Constitution Gross Profit

1st Constitution Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing 1st Constitution previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show 1st Constitution Gross Profit growth over the last 10 years. Please check Gross Profit in more details.

1st Constitution exotic insider transaction detected

Legal trades by 1st Constitution insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
1st Constitution insider trading alert for general transaction of common stock by Charles Crow, the corporate stakeholder, on 27th of October 2020. This event was filed by 1st Constitution Bancorp with SEC on 2020-10-27. Statement of changes in beneficial ownership - SEC Form 4. Charles Crow currently serves as independent chairman of the board of 1st Constitution Bancorp [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

Is 1st Constitution valued reasonably by the market?

The modest gains experienced by current holders of 1st Constitution could raise concerns from investors as the firm it trading at a share price of 13.41 on slow start in volume. The company management teams have been quite successful in maneuvering the stock at opportune times to take advantage of all market conditions in September. The stock standard deviation of daily returns for 30 days investing horizon is currently 2.41. The current volatility is consistent with the ongoing market swings in September 2020 as well as with 1st Constitution unsystematic, company-specific events.
 2017 2018 2019 2020 (projected)
Net Income6.93 M12.05 M13.63 M11.15 M
Gross Profit43.8 M50.45 M54.22 M49.13 M

1st Constitution implied volatility may change after the rise

The downside variance is down to 5.05 as of today. 1st Constitution Bancorp currently demonstrates below-verage downside deviation. It has Information Ratio of -0.02 and Jensen Alpha of 0.02. However, we do advice investors to further question 1st Constitution Bancorp expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk.

Our Takeaway on 1st Constitution Investment

While few other entities under the banks?regional industry are still a bit expensive, 1st Constitution may offer a potential longer-term growth to investors. To conclude, as of the 24th of October 2020, our research shows that 1st Constitution is a rather not too volatile investment opportunity with a close to average chance of financial distress in the next two years. From a slightly different view, the entity currently appears to be fairly valued. Our primary 30 days recommendation on the company is Hold.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Ellen Johnson do not own shares of 1st Constitution Bancorp. Please refer to our Terms of Use for any information regarding our disclosure principles.

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