Activist Investor Clifton Robbins Believes In Investors Bancorp Inc. (ISBC)’s Growth Strategy

Investors Bancorp has recently announced its plans of acquiring other community banks. In 2005, Investors Bancorp came public in a partial offering and raised a huge amount of capital to work with. The company utilized the capital wisely and bought eight community banks since 2008, obtaining $4.5 billion in deposits. However, last year, Investors Bancorp became a fully publicly-traded company and completed a $2.2 billion public stock offering. The company has enough capital to expand and has clearly stated its plans to involve in mergers and acquisitions to fuel its growth,  as outlined by its CEO Kevin Cummings. Cummings also believes that now is the right time to pursue acquisitions, as the U.S. economy has been strengthening lately. Ultimately, the stock will probably keep gaining ground over the next months, given the company’s serious intentions of pursuing growth through acquisitions.

Investors Bancorp has also recently posted its financial results for the second quarter, which included a net income of $46.4 million, compared to $15.2 million reported for the same quarter a year ago. The company’s earnings per share also went up to $0.14 in the second quarter, from $0.04 delivered a year earlier. At the same time, the total assets of Investors Bancorp exceeded $20 billion as of June 30, which marks an increase compared to $18.77 billion registered on December 31, 2014.

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