In a report released today, Matthew Breese from Stephens upgraded Camden National to a Buy, with a price target of $44.00.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Matthew Breese has given his Buy rating due to a combination of factors that highlight Camden National’s resilience and potential for growth. Despite a significant quarterly increase in non-performing assets (NPAs), Breese views this as an isolated incident tied to a single syndicated credit, rather than a sign of broader credit issues. Historically, Camden National has maintained superior credit performance compared to its peers, with lower net charge-offs and non-accruals over the past five and ten years.
Looking forward, Breese anticipates strong financial performance from Camden National, projecting a robust return on assets (ROA) between 1.25% and 1.30% in 2026, alongside net interest margin (NIM) expansion and modest loan growth. The current stock valuation, trading below seven times the 2026 earnings per share and at 135% of price to tangible book value, presents an attractive entry point. Despite recent credit disruptions, the bank’s historical outperformance and strategic positioning in loan yield expansion and deposit cost management support the Buy recommendation.
Breese covers the Financial sector, focusing on stocks such as Provident Bancorp, Camden National, and Customers Bancorp. According to TipRanks, Breese has an average return of 7.2% and a 58.47% success rate on recommended stocks.