TFSL

TFS Financial Corporation

Fundamental data last updated:October 10, 2026

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company profile

SECTOR

Financial Services

industry

Banks - Regional

Exchange

NASDAQ

County of HQ

US

Next Earnings Date

Pending Announcement

Business Summary

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 certificates of deposit. The company also provides residential real estate mortgage loans, residential construction loans, and home equity loans and lines of credit, as well as purchase mortgages and first mortgage refinance loans. In addition, it offers escrow and settlement services. The company provides its products and services through its main office in Cleveland, Ohio; and 37 full-service branches and 7 loan production offices located throughout the states of Ohio and Florida. The company was founded in 1938 and is headquartered in Cleveland, Ohio. TFS Financial Corporation operates as a subsidiary of Third Federal Savings and Loan Association of Cleveland, MHC.

 


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VALUATION

P/E

47.42

Market Cap ($M USD)

$4.44B

Forward P/E

42.76

PEG

3.92

PRICE TO SALES

5.45

PRICE TO BOOK

2.29

EV / EBITDA

73.19

5-Year Average P/E

Free Cash Flow Yield

1.85%

DCF Value

$-0.24

Graham Number

$7.19

Price to FCF

53.93

EV to FCF

115.96

Earnings Yield

2.11%

FCF Yield

1.85%

DIVIDEND

Yield

7.14%

Annual Payout

$1.13

Payout Ratio

64.26%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$0.33

Next Year EPS Growth Estimate

$0.37

Next Year Revenue Growth Estimate

$369.13M

Return on Equity (ROE)

4.89%

FREE CASH FLOW

Operating Margin

14.51%

Debt-to-Equity

2.59

Piotroski F-Score

6

Altman Z-Score

0.21

Return on Invested Capital (ROIC)

0.75%

Current Ratio

0.05

Quick Ratio

0.05

Net Debt to EBITDA

39.15

Interest Coverage

0.25

Gross Profit margin

41.13%

FCF PER SHARE

$0.29

REVENUE PER SHARE

$2.92

Analyze TFSL on TradingView

Gainseekers Quantitative Analysis

Summary

TFSL’s valuation paints a complex picture. The stock’s Price/Earnings ratio is sky-high, suggesting a premium market expectation, yet its DCF value is negative, indicating potential overvaluation. The Graham Number further underscores this, as it sits well below the snapshot price. With a Forward P/E of over 40 and an Altman Z-score signaling distress, the company’s financial health appears precarious. The low Earnings Yield also suggests limited immediate returns, raising questions about its growth prospects.

AI Exposure / Tech Reliance

Operating within the regional banking sector, TFSL faces challenges in adapting to AI and tech shifts. While banks are increasingly leveraging AI for customer service and risk management, TFSL's current metrics don't highlight a strong tech adaptation strategy. Its industry position may require significant investment to remain competitive in this evolving landscape.

The Bull Case

For the optimistic investor, TFSL offers a compelling dividend yield of 7.48%, a rare find in today's market. Despite a modest ROIC of 0.75%, the company's operating margin of 14.51% suggests some pricing power. The Piotroski F-Score of 5 indicates moderate financial health, and while the FCF Yield is low, the consistent dividend payout could attract income-focused investors. These elements hint at a potential for stable, if not spectacular, returns.

The Bear Case

However, the bear case is hard to ignore. TFSL's valuation multiples, such as a Price/Book of 2.19 and Price/Sales of 5.20, are elevated, suggesting the stock is priced for perfection. The Altman Z-score is alarmingly low, indicating financial distress, while the Net Debt to EBITDA ratio is sky-high, reflecting significant leverage. With the stock trading close to its 52-week high, it appears technically overextended, raising red flags for risk-averse investors.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Hold

Average Analyst Price Target

$15.00

Institutional Ownership %

1-Year Beta

0.73

Insider Buying % (6 Mo)

Distance to 52-Week High

2.40%

Distance to 52-Week Low

20.73%

EARNINGS SURPRISE %

0.00%

50-DAY SMA

$14.74

200-DAY SMA

$14.05

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.