Dime Community Bancshares (NASDAQ:DCOM) Shares Gap Up Following Earnings Beat

Dime Community Bancshares, Inc. (NASDAQ:DCOM)’s share price gapped up prior to trading on Wednesday after the company announced better than expected quarterly earnings. The stock had previously closed at $30.12, but opened at $31.92. Dime Community Bancshares shares last traded at $33.8950, with a volume of 86,496 shares.

The savings and loans company reported $0.79 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.70 by $0.09. The business had revenue of $123.85 million for the quarter, compared to the consensus estimate of $118.14 million. Dime Community Bancshares had a return on equity of 7.81% and a net margin of 8.72%.During the same quarter in the previous year, the company posted $0.42 EPS.

Dime Community Bancshares Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, January 23rd. Shareholders of record on Friday, January 16th will be given a dividend of $0.25 per share. The ex-dividend date is Friday, January 16th. This represents a $1.00 annualized dividend and a yield of 3.1%. Dime Community Bancshares’s dividend payout ratio (DPR) is 87.72%.

Dime Community Bancshares News Roundup

Here are the key news stories impacting Dime Community Bancshares this week:

• Positive Sentiment: Q4 results beat expectations — adjusted EPS and revenue topped consensus, supporting the stock rally. Management reported adjusted diluted EPS of $0.79 (and GAAP diluted EPS of $0.68) and record fourth-quarter revenue (~$124M), beating Wall Street estimates. Dime Community (DCOM) Surpasses Q4 Earnings and Revenue Estimates
• Positive Sentiment: Strong deposit and loan growth — management highlighted substantial core-deposit gains and business loan growth (linked-quarter and year-over-year increases), which supports future net interest income as loans reprice. These execution metrics underpin management’s claim of durable revenue upside. Dime Community Bancshares, Inc. Reports Strong Fourth Quarter Results
• Positive Sentiment: Margin and efficiency improvement — Q4 net interest margin rose to ~3.11% and management emphasized a multi-quarter loan repricing opportunity through 2027 plus efficiency-ratio improvement, signaling potential earnings leverage ahead. Investors interpreted the call as indicating additional margin upside. Dime Community Bancshares Earnings Call Highlights Margin Upside
• Neutral Sentiment: Adjusted vs. reported metrics — the company presents non-GAAP adjustments (adjusted EPS $0.79 vs. reported $0.68) and reconciliations; investors should note the difference when modeling near-term performance. Dime Community (DCOM) Q4 Earnings: Taking a Look at Key Metrics Versus Estimates
• Neutral Sentiment: Conference call transparency — the full transcript and call provided additional color on strategy, asset quality and capital, useful for modeling but not adding new quantitative guidance. Earnings Call Transcript
• Negative Sentiment: Expenses, tax items and one-offs — non-interest expense rose year-over-year and the quarter included discrete tax items and other adjustments; those items temper near-term margin improvement and add variability to GAAP EPS. QuiverQuant Summary of Q4 Results
• Negative Sentiment: CRE concentration remains a watch item — management reduced the consolidated CRE concentration but it remains elevated (management cites proactive management); investors may price in CRE concentration and macro real-estate risk until further improvement. Company Press Release (CRE concentration details)

Analyst Upgrades and Downgrades

DCOM has been the subject of several recent research reports. Weiss Ratings reiterated a “hold (c)” rating on shares of Dime Community Bancshares in a research report on Wednesday, October 8th. Stephens set a $33.00 target price on Dime Community Bancshares and gave the stock an “equal weight” rating in a report on Tuesday, December 16th. Keefe, Bruyette & Woods decreased their price target on Dime Community Bancshares from $37.00 to $34.00 and set an “outperform” rating on the stock in a report on Monday, October 27th. Zacks Research upgraded Dime Community Bancshares from a “strong sell” rating to a “hold” rating in a research report on Monday, December 22nd. Finally, DA Davidson set a $36.00 price objective on shares of Dime Community Bancshares in a research report on Friday, December 5th. Three equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $35.25.

Insider Buying and Selling at Dime Community Bancshares

In other news, Director Raymond A. Nielsen sold 2,200 shares of Dime Community Bancshares stock in a transaction on Friday, October 31st. The stock was sold at an average price of $26.29, for a total transaction of $57,838.00. Following the completion of the sale, the director directly owned 33,985 shares in the company, valued at approximately $893,465.65. This trade represents a 6.08% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Basswood Capital Management, L purchased 20,537 shares of the business’s stock in a transaction dated Tuesday, November 4th. The stock was bought at an average price of $26.26 per share, for a total transaction of $539,301.62. Following the completion of the acquisition, the director owned 1,034,158 shares of the company’s stock, valued at approximately $27,156,989.08. The trade was a 2.03% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders sold a total of 4,695 shares of company stock worth $125,809 in the last ninety days. 7.10% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Dime Community Bancshares

A number of institutional investors have recently modified their holdings of DCOM. Sovran Advisors LLC purchased a new stake in shares of Dime Community Bancshares in the fourth quarter valued at approximately $1,065,000. SG Americas Securities LLC raised its position in Dime Community Bancshares by 11.9% during the 4th quarter. SG Americas Securities LLC now owns 12,693 shares of the savings and loans company’s stock valued at $382,000 after purchasing an additional 1,347 shares in the last quarter. JPMorgan Chase & Co. lifted its holdings in shares of Dime Community Bancshares by 12.2% in the 3rd quarter. JPMorgan Chase & Co. now owns 157,812 shares of the savings and loans company’s stock worth $4,708,000 after buying an additional 17,129 shares during the period. Penn Capital Management Company LLC grew its position in shares of Dime Community Bancshares by 20.3% during the 3rd quarter. Penn Capital Management Company LLC now owns 584,810 shares of the savings and loans company’s stock worth $17,487,000 after buying an additional 98,736 shares in the last quarter. Finally, Mariner LLC grew its position in shares of Dime Community Bancshares by 61.6% during the 3rd quarter. Mariner LLC now owns 14,821 shares of the savings and loans company’s stock worth $442,000 after buying an additional 5,652 shares in the last quarter. 75.27% of the stock is owned by hedge funds and other institutional investors.

Dime Community Bancshares Stock Performance

The company has a quick ratio of 1.03, a current ratio of 1.03 and a debt-to-equity ratio of 0.58. The firm has a 50 day moving average price of $29.78 and a 200 day moving average price of $29.27. The stock has a market cap of $1.44 billion, a PE ratio of 28.70 and a beta of 1.11.

Dime Community Bancshares Company Profile

Dime Community Bancshares, Inc is the bank holding company for Dime Community Bank, headquartered in Hauppauge, New York. Through its subsidiary, the company offers a comprehensive suite of banking and financial services to both individual and commercial customers. With a network of branches spanning the New York metropolitan area and South Florida, Dime Community Bancshares emphasizes relationship banking and local decision-making.

The company’s core lending activities include commercial and multifamily real estate loans, construction and land development financing, and one-to-four-family residential mortgage lending.