United Community selloff brings good buying opportunity, says Keefe Bruyette. Keefe Bruyette analyst Michael Perito views the post-earnings selloff today in shares of United Community Financial as a "good buying opportunity." The analyst raised his estimates for the company and keeps an Outperform rating on the shares with a $12.50 price target.
Net interest income totaled $22.3 million on a fully taxable equivalent basis for the quarter ended March 31, 2019, compared to $21.6 million for the quarter ended March 31, 2018, an increase of 3.0%. First quarter 2018 net interest income includes a onetime fee recognition from the early payoff of a single loan and a higher level of purchase accounting accretion income versus 2019. Adjusting for these two items, the increase in first quarter net interest income would be 7.0%. Gary M. Small, President and Chief Executive Officer of the Company commented, "We are pleased with Q1 performance as our loan and deposit growth came in right on target, margin met expectations during an unpredictable interest rate environment, and our residential mortgage, wealth and insurance business units experienced strong revenue growth."
Net interest income on a fully-taxable equivalent basis increased to $23.6M for Q4, compared to $21.7M for the quarter ended September 30, 2018 and $21.1M for the quarter ended December 31, 2017. The increase in net interest income included the impact of the favorable resolution of an acquired impaired loan that added approximately $1.1M to loan income during the quarter. The net interest margin was 3.58% for Q4 due primarily to the favorable resolution of the acquired loan.