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Affinity Bancshares (AFBI)
NASDAQ:AFBI
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Affinity Bancshares (AFBI) AI Stock Analysis

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AFBI

Affinity Bancshares

(NASDAQ:AFBI)

Rating:68Neutral
Price Target:
$20.00
▲(5.26%Upside)
Affinity Bancshares' score is bolstered by strong financial performance and stable technical indicators. However, valuation concerns and lack of dividend yield slightly detract from its attractiveness. The absence of earnings call insights and corporate events limits additional context.

Affinity Bancshares (AFBI) vs. SPDR S&P 500 ETF (SPY)

Affinity Bancshares Business Overview & Revenue Model

Company DescriptionAffinity Bancshares, Inc. operates as the holding company for Affinity Bank that provides various banking products and services. The company accepts various deposit accounts, including savings accounts, checking accounts, certificates of deposit, and individual retirement accounts. It also offers commercial and industrial, commercial real estate, one- to four-family residential real estate, construction and land, and consumer loans. In addition, the company invests in U.S. treasury securities; securities issued by the U.S. government and its agencies, or government sponsored enterprises, including mortgage-backed securities and collateralized mortgage obligations; corporate and municipal bonds; certificates of deposit in other financial institutions; and federal and money market funds. It operates a main and a branch office in Covington, Georgia; a branch office in Atlanta, Georgia; and a commercial loan production office in Alpharetta, Georgia; out of an office in Monroe, Georgia. The company was founded in 1928 and is headquartered in Covington, Georgia.
How the Company Makes MoneyAffinity Bancshares generates revenue primarily through interest income from loans and investment securities. The company earns money by providing various loan products, including commercial, residential, and consumer loans, where interest collected on these loans serves as a primary income source. Additionally, AFBI generates non-interest income through service fees associated with deposit accounts, loan origination fees, and other banking services. The company may also engage in strategic partnerships or initiatives that enhance its service offerings and expand its customer base, further contributing to its revenue stream.

Affinity Bancshares Financial Statement Overview

Summary
Affinity Bancshares shows consistent revenue growth and strong profit margins. However, declines in EBIT and EBITDA margins, along with room for improvement in cash generation efficiency, suggest operational challenges.
Income Statement
75
Positive
Affinity Bancshares has demonstrated consistent revenue growth, with a notable increase of 11.5% in the most recent TTM period. Gross profit margin remains strong at 61.4%, and the net profit margin is healthy at 11.7%. However, there is a noticeable decline in EBIT and EBITDA margins, suggesting potential cost pressures or efficiency challenges.
Balance Sheet
70
Positive
The balance sheet shows a stable equity ratio of 13.4%, indicating a solid base of equity relative to assets. The debt-to-equity ratio has improved, reaching 0.44, reflecting controlled leverage levels. Return on equity is satisfactory at 4.9%, though it suggests room for improvement in profitability relative to equity.
Cash Flow
68
Positive
Operating cash flow growth is positive, with a 10.3% increase over the previous period. The free cash flow to net income ratio stands at 1.19, indicating efficient cash conversion from earnings. The operating cash flow to net income ratio is slightly low at 1.26, which could imply less cash generation efficiency from operations.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue49.99M45.17M34.54M35.13M32.48M
Gross Profit30.61M29.71M31.45M30.88M25.01M
EBITDA7.72M9.12M9.66M10.59M4.58M
Net Income5.44M6.45M7.13M7.57M3.09M
Balance Sheet
Total Assets866.82M843.26M791.28M788.09M850.63M
Cash, Cash Equivalents and Short-Term Investments41.42M98.59M72.52M160.33M202.26M
Total Debt58.81M40.00M10.03M48.99M24.12M
Total Liabilities737.70M721.74M674.18M667.12M769.84M
Stockholders Equity129.12M121.52M117.10M120.97M80.78M
Cash Flow
Free Cash Flow6.37M7.34M6.17M11.02M920.00K
Operating Cash Flow6.79M7.87M7.57M11.85M1.37M
Investing Cash Flow-33.24M-28.14M-93.72M-9.62M-110.38M
Financing Cash Flow17.85M43.97M701.00K-68.70M239.15M

Affinity Bancshares Technical Analysis

Technical Analysis Sentiment
Positive
Last Price19.00
Price Trends
50DMA
18.51
Positive
100DMA
18.29
Positive
200DMA
18.46
Positive
Market Momentum
MACD
0.17
Negative
RSI
57.08
Neutral
STOCH
36.65
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AFBI, the sentiment is Positive. The current price of 19 is above the 20-day moving average (MA) of 18.80, above the 50-day MA of 18.51, and above the 200-day MA of 18.46, indicating a bullish trend. The MACD of 0.17 indicates Negative momentum. The RSI at 57.08 is Neutral, neither overbought nor oversold. The STOCH value of 36.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AFBI.

Affinity Bancshares Peers Comparison

Overall Rating
UnderperformOutperform
Sector (58)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
68
Neutral
$121.76M17.695.67%6.51%28.94%
63
Neutral
$120.84M19.416.07%1.64%7.86%59.45%
63
Neutral
$120.25M22.513.51%1.73%-7.39%-59.70%
58
Neutral
HK$92.20B5.61-3.20%4.95%5.50%-56.25%
58
Neutral
$113.27M22.003.25%1.62%10.30%170.86%
57
Neutral
$114.65M703.03-0.05%0.71%
50
Neutral
$132.26M-84.06%-10.46%-984.80%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AFBI
Affinity Bancshares
19.00
-0.74
-3.75%
PNBK
Patriot National Bancorp
1.56
-0.14
-8.24%
RVSB
Riverview Bancorp
4.93
0.43
9.56%
SFBC
Sound Financial Bancorp
46.05
3.69
8.71%
FNWD
Finward Bancorp
27.73
0.07
0.25%
SRBK
SR Bancorp, Inc.
13.92
4.29
44.55%

Affinity Bancshares Corporate Events

Executive/Board ChangesShareholder Meetings
Affinity Bancshares Holds Annual Stockholders Meeting
Neutral
May 21, 2025

On May 20, 2025, Affinity Bancshares, Inc. held its Annual Meeting of Stockholders. During the meeting, the election of directors for a three-year term was conducted, with Marshall L. Ginn and Mark J. Ross receiving significant votes. Additionally, the appointment of Wipfli LLP as the independent registered public accounting firm for the year ending December 31, 2025, was ratified. An advisory, non-binding resolution on executive compensation was also addressed.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 22, 2025