Center Bancorp (NASDAQ:CNBC) has been bringing in a lot of money for investors over the past year and even-so, a big majority of it has yet to hit the company's bottom line. As you can see from the graph below, reported net incomes have consistently improved even though the bank has close to have a year's worth of net income tucked away in allowances. And, I'm only talking about the allowance balance after all nonperforming loans are subtracted. It is very necessary to put aside this money but 3.9Xs nonperforming loans puts CNBC at one of the highest coverage ratios I've found (more the result of quickly improving NPLs than management setting aside too much money).
|FREE||SA PRO MEMBERS|
|IDEA GENERATOR||X||Exclusive access to 10 PRO ideas every day|
|INVESTING IDEAS LIBRARY||X||Exclusive access to PRO library of more than 15,000 ideas|
|SECTOR EXPERT NETWORK||X||Exclusive access to all sector experts for direct consultation|
|PERFORMANCE TRACKING||X||Track performance of all PRO stock ideas|
|PROFESSIONAL TOOLS||X||Professional Idea Filters to zero-in based on industry, market cap and more|