7 Cheap Bank Stocks To Invest In Before They Take Off

3. Dime Community Bancshares, Inc. (NASDAQ:DCOM)

Earnings Growth: 58.42%

Forward P/E Ratio: 10.99

Analyst Upside Potential: 34.49%  

Dime Community Bancshares, Inc. (NASDAQ:DCOM) is a bank holding company that primarily operates through its subsidiary, Dime Community Bank. The bank provides a range of services including deposits, loans, investment services, and retirement accounts. It operates 60 branch locations primarily in Long Island and New York City, making it accessible to a large number of customers in these areas.

Dime Community Bancshares, Inc. (NASDAQ:DCOM) achieved significant growth in 2024 as highlighted during its fiscal fourth quarter 2024 earnings call. The company started the year by hiring deposit-gathering teams from the former Signature Bank, which proved to be successful. These teams helped raise approximately $1.8 billion in core deposits, with about 40% being non-interest-bearing deposits. Moreover, the bank also opened over 11,000 new accounts and established 7,000 individual customer relationships, indicating strong market penetration.

On January 27, M. Navas, an analyst at DA Davidson, kept a Buy rating on the stock. The analyst anticipates savings and loan companies will earn $3.90 per share for the year, up from their prior estimate of $3.00. Dime Community Bancshares, Inc. (NASDAQ:DCOM) is one of the cheap bank stocks to invest in before they take off.