TFS Financial Corp (TFSL)
NASDAQ:TFSL
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TFS Financial
(NASDAQ:TFSL)
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Rating:64Neutral
Price Target:
$15.50
▲(13.14% Upside)
Action:ReiteratedDate:02/27/26
The score is driven primarily by stable financial performance with solid revenue and cash generation, partially offset by leverage, modest ROE, and margin compression. Technicals add mild support from an improving longer-term trend but mixed near-term momentum, while valuation is held back by a high P/E despite a very attractive dividend yield; corporate events add a modest positive stability/capital-returns tilt.
Positive Factors
Revenue Growth & Profitability
Sustained revenue expansion and mid-teens EBIT margins show the core mortgage and deposit franchises produce recurring operating earnings. Over the next 2-6 months this underpins predictable operating cash flow, supports reinvestment in originations and funds ongoing dividend capacity.
Negative Factors
Elevated Leverage
A debt-to-equity ratio near 2.6 reflects bank-style leverage that constrains capital flexibility. Elevated leverage increases sensitivity to funding stress or loan losses and limits the firm’s capacity to pursue large organic or inorganic growth initiatives without issuing equity or retaining earnings.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue Growth & Profitability
Sustained revenue expansion and mid-teens EBIT margins show the core mortgage and deposit franchises produce recurring operating earnings. Over the next 2-6 months this underpins predictable operating cash flow, supports reinvestment in originations and funds ongoing dividend capacity.
Read all positive factors
TFS Financial (TFSL) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$3.84B
Dividend Yield8.04%
Average Volume (3M)789.36K
Price to Earnings (P/E)41.9
Beta (1Y)0.48
Revenue Growth4.45%
EPS Growth14.27%
CountryUS
Employees919
SectorFinancial
Sector Strength70
IndustryBanks - Regional
Share Statistics
EPS (TTM)0.08
Shares Outstanding280,570,800
10 Day Avg. Volume862,439
30 Day Avg. Volume789,360
Financial Highlights & Ratios
PEG Ratio2.83
Price to Book (P/B)1.94
Price to Sales (P/S)4.64
P/FCF Ratio51.76
Enterprise Value/Market Cap2.18
Enterprise Value/Revenue10.40
Enterprise Value/Gross Profit25.56
Enterprise Value/Ebitda63.13
Forecast
1Y Price Target
$14.50Price Target Upside5.84% Upside
Rating ConsensusHold
Number of Analyst Covering2
EPS Forecast (FY)0.33
Revenue Forecast (FY)$348.48M
TFS Financial Business Overview & Revenue Model
Company Description
TFS Financial Corporation, through its subsidiaries, provides retail consumer banking services in the United States. Its deposit products include savings, money market, checking, individual retirement, and other qualified plan accounts, as well as...
How the Company Makes Money
TFS Financial generates revenue primarily through the interest earned on its loan portfolio, which includes residential mortgages and home equity loans. The company charges interest on these loans, which is a key revenue stream. Additionally, TFS ...
TFS Financial Financial Statement Overview
Summary
Income Statement
72
Positive
Balance Sheet
58
Neutral
Cash Flow
67
Positive
| Breakdown | TTM | Sep 2025 | Sep 2024 | Sep 2023 | Sep 2022 | Sep 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 804.51M | 791.96M | 758.78M | 633.35M | 433.14M | 444.65M |
| Gross Profit | 327.37M | 318.97M | 304.66M | 306.50M | 290.20M | 295.93M |
| EBITDA | 132.56M | 137.76M | 119.35M | 111.48M | 119.09M | 132.66M |
| Net Income | 90.81M | 90.96M | 79.59M | 75.25M | 74.56M | 81.01M |
Balance Sheet | ||||||
| Total Assets | 17.50B | 17.46B | 17.09B | 16.92B | 15.79B | 14.06B |
| Cash, Cash Equivalents and Short-Term Investments | 460.79M | 483.48M | 989.97M | 975.07M | 827.47M | 910.11M |
| Total Debt | 4.98B | 4.90B | 4.82B | 5.30B | 4.82B | 3.13B |
| Total Liabilities | 15.60B | 15.56B | 15.23B | 14.99B | 13.95B | 12.33B |
| Stockholders Equity | 1.90B | 1.89B | 1.86B | 1.93B | 1.84B | 1.73B |
Cash Flow | ||||||
| Free Cash Flow | 83.14M | 70.97M | 85.54M | 85.62M | 36.23M | 81.82M |
| Operating Cash Flow | 95.62M | 82.42M | 88.60M | 90.72M | 38.93M | 83.16M |
| Investing Cash Flow | -367.29M | -383.98M | -124.71M | -1.01B | -1.88B | 547.36M |
| Financing Cash Flow | 262.44M | 267.28M | 33.08M | 1.02B | 1.72B | -640.22M |
TFS Financial Technical Analysis
Positive
13.70
Price Trends
13.99
Negative
13.72
Negative
13.11
Positive
Market Momentum
-0.15
Negative
48.62
Neutral
70.14
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TFSL, the sentiment is Positive. The current price of 13.7 is above the 20-day moving average (MA) of 13.64, below the 50-day MA of 13.99, and above the 200-day MA of 13.11, indicating a neutral trend. The MACD of -0.15 indicates Negative momentum. The RSI at 48.62 is Neutral, neither overbought nor oversold. The STOCH value of 70.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TFSL.
TFS Financial Risk Analysis
TFS Financial disclosed 42 risk factors in its most recent earnings report. TFS Financial reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
TFS Financial Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | $3.73B | 11.58 | 9.15% | 3.02% | 5.63% | 65.11% | |
75 Outperform | $3.25B | 9.62 | 18.37% | 3.38% | 2.35% | 13.72% | |
70 Outperform | $3.62B | 9.05 | 11.71% | 3.52% | 9.60% | 20.38% | |
69 Neutral | $3.39B | 18.35 | 5.10% | 2.47% | 20.26% | -35.00% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
65 Neutral | $4.20B | 12.34 | 9.30% | ― | 5.19% | 3454.95% | |
64 Neutral | $3.84B | 41.86 | 4.79% | 8.04% | 4.45% | 14.27% |
* Financial Sector Average
TFSL
TFS Financial
13.70
2.37
20.94%
FBP
First Bancorp Puerto Rico
21.07
2.32
12.36%
FULT
Fulton Financial
20.10
2.26
12.66%
RNST
Renasant
36.02
1.40
4.04%
TCBI
Texas Capital Bancshares
95.10
18.72
24.51%
UCB
United Community Banks
31.21
3.41
12.25%
TFS Financial Corporate Events
Executive/Board ChangesShareholder Meetings
TFS Financial Stockholders Back Directors and Governance Agenda
Positive
Feb 26, 2026
At its annual meeting held on February 26, 2026, in Cleveland, TFS Financial stockholders elected four directors, William C. Mulligan, Terrence R. Ozan, Marc A. Stefanski and Daniel F. Weir, each to serve three-year terms, solidifying continuity i...
Business Operations and StrategyDividends
TFS Financial Declares Quarterly Dividend, Continues Capital Returns
Positive
Feb 26, 2026
On February 26, 2026, TFS Financial Corporation’s board declared a quarterly cash dividend of $0.2825 per share, payable on March 25, 2026, to shareholders of record as of March 11, 2026. The move continues the company’s pattern of reg...
Business Operations and StrategyExecutive/Board Changes
TFS Financial Grants CEO Significant Long-Term Equity Award
Positive
Dec 22, 2025
On December 18, 2025, TFS Financial granted CEO Marc Stefanski a special one-time equity retention award valued at a total of $7.7 million, composed of 40% restricted stock units and 60% performance stock units that each carry a five-year cliff ve...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.