Boston, MA 03/24/2014 (wallstreetpr) – On March 21, 2014, Cape Bancorp (NYSE:CBNJ) hit a new 52-week high of $11.26. If you look back at the performance of the company in terms of growing profits and increased consumer base then you will still want to remain a buyer in the stock. CBNJ is the New Jersey based chartered savings bank and is an integral part of Cape Bank.
Performance
Cape Bancorp (NYSE:CBNJ) reported its last earnings on January 31, with earnings per share of $0.05. Although the earnings per share missed the expectations of the analysts forecast of $0.13 by $0.08 but still it has managed to consistently deliver a good growth in its profits. If you look back at the result of the last 4 quarters, the company has managed to deliver outstanding performance in its core business. The company is into the services of providing deposits as well as loan products to a wide base of consumers. The loan products are available to small and mid-sized business where the probability of defaults is lesser as compared to the other sectors. Being in deposits as well as a community bank offering the loan products any kind of change in interest rates affects the profitability of Cape Bancorp (NYSE:CBNJ).
Strength in the core business
Cape Bancorp (NYSE:CBNJ) has been into the diversified segments including commercial mortgage loans, mortgage loans for residents, construction loans to entrepreneurs, home equity loans and other forms of commercial and consumer loans. The diversified approach offers an added cushion to the company in the tough economic scenario. Also, the company has made necessary changes for reduction in provision for loan losses giving a boost to its profits. CBNJ has a sound structure based on the disciplined expense management. It is strength for the company whose core business is in the retail market of deposits and loan products and has its 16 offices located in Cape May and also in some of the Atlantic Counties and New Jersey. Cape Bancorp (NYSE:CBNJ) is back on the right track with the strong capital positioning and enhanced credit quality in the industry.
