Amerant Bancorp (AMTB) AI Stock Analysis

• Market Cap: $660.03M
• Dividend Yield: 1.85%
• Average Volume (3M): 179.31K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.38
• Revenue Growth: -5.38%
• EPS Growth: -186.90%
• Country: US
• Employees: 726
• Sector: Financial
• Sector Strength: 83
• Industry: Banks - Regional
• EPS (TTM): -0.60
• Shares Outstanding: 38,986,100
• 10 Day Avg. Volume: 199,090
• 30 Day Avg. Volume: 179,309
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 2.63
• Price to Cash Flow (P/CF): 2.80
• P/FCF Ratio: 1.60
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $26.00
• Price Target Upside: 54.67% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

Amerant Bancorp's stock score reflects significant financial challenges, particularly in profitability and cash flow, despite a strong equity position. Technical indicators are bearish, and valuation metrics are unattractive due to a negative P/E ratio. While there are positive strategic initiatives and strong deposit growth, the overall financial and market conditions suggest caution.

Positive Factors

Analyst Upgrade

Analyst upgrades AMTB to Overweight with a revised target price of $25, reflecting higher '25E EPS and assuming peer multiples.

Capital Raise

The successful $165M growth equity raise provides ample capital to accelerate double-digit loan growth.

Negative Factors

Asset Quality

Reduced asset quality volatility remains critical to rerating the stock, with related improvements becoming a more meaningful part of the story as 2025 progresses.

Amerant Bancorp Business Overview & Revenue Model

Company Description

Amerant Bancorp Inc. (AMTB) is a bank holding company headquartered in Coral Gables, Florida. It operates through its principal subsidiary, Amerant Bank, N.A., which offers a range of personal and commercial banking services. The company primarily serves individuals, small businesses, and middle-market enterprises, providing products and services such as checking and savings accounts, personal and commercial loans, mortgage lending, and cash management solutions. Amerant Bancorp also offers wealth management and trust services, catering to the financial needs of its clients across the United States and select international markets.

How the Company Makes Money

Amerant Bancorp generates revenue through various channels, primarily through its interest income from loans and investment securities. The company earns interest income by providing loans to individuals and businesses, charging interest over the term of the loan. Additionally, Amerant Bancorp invests in securities, which provide interest income and contribute to its earnings. Non-interest income is another significant revenue stream, derived from fees and service charges on deposit accounts, transaction-based fees, and wealth management services. The bank's strategic partnerships with financial service providers and its focus on expanding its client base also play a crucial role in enhancing its revenue. Furthermore, Amerant Bancorp continuously seeks to optimize its operational efficiency and expand its product offerings to support sustained growth and profitability.

Amerant Bancorp Financial Statement Overview

Summary

Amerant Bancorp is facing financial difficulties, with negative net income and declining EBIT leading to negative profit margins. Despite revenue growth, profitability remains a concern. The balance sheet shows a strong equity position with no debt but lacks profitability due to negative net income. Cash flow is also challenged with a significant reduction in operating cash flow and negative free cash flow growth.

Income Statement

Amerant Bancorp's income statement reveals a challenging financial period for TTM (Trailing-Twelve-Months) ending 2024 with a negative net income and declining EBIT, resulting in a negative net profit margin of -4.49% and EBIT margin of -13.72%. Although there was revenue growth from 2023 to 2024 of 6.61%, profitability remains a concern, as past years' positive margins have turned negative, and EBITDA margin is negative at -17.16%.

Balance Sheet

The balance sheet of Amerant Bancorp shows a favorable equity position with no reported debt in the most recent TTM, resulting in a strong equity ratio of 9.00%. Return on equity is uncalculated due to negative net income, indicating a lack of profitability. Historically, the debt-to-equity ratio was managed well, but this recent period reflects a complete shift to equity financing.

Cash Flow

Cash flow analysis indicates operational challenges with a significant reduction in operating cash flow to $4.65 million in TTM 2024 from $26.72 million in 2023. The free cash flow growth rate is negative, showing deterioration to -$1.96 million. The free cash flow to net income ratio is unfavorable due to negative net income.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
305.29M	328.91M	266.67M	205.14M	263.10M
	Gross Profit
305.29M	328.91M	266.67M	205.14M	263.10M
	EBIT
-252.15M	0.00	63.31M	146.63M	-4.33M
	EBITDA
0.00	0.00	84.47M	151.29M	0.00
	Net Income Common Stockholders
-15.75M	32.49M	46.69M	79.21M	-1.72M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.48B	53.31M	1.31B	1.45B	1.44B
	Total Assets
9.90B	9.72B	9.13B	7.64B	7.77B
	Total Debt
1.00B	921.33M	1.20B	932.65M	1.17B
	Net Debt
-39.20M	625.30M	950.86M	658.44M	958.37M
	Total Liabilities
9.01B	8.98B	8.42B	932.65M	1.17B
	Stockholders Equity
890.47M	736.07M	707.82M	834.48M	783.42M
Cash Flow		Free Cash Flow
82.19M	15.79M	-59.79M	60.85M	51.67M
	Operating Cash Flow
82.19M	26.72M	-49.16M	67.43M	57.25M
	Investing Cash Flow
-576.66M	-606.62M	-1.40B	385.32M	286.34M
	Financing Cash Flow
762.96M	611.17M	1.46B	-392.93M	-250.52M

Amerant Bancorp Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 16.81
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMTB, the sentiment is Negative. The current price of 16.81 is below the 20-day moving average (MA) of 18.60, below the 50-day MA of 20.64, and below the 200-day MA of 21.82, indicating a bearish trend. The MACD of -0.81 indicates Positive momentum. The RSI at 32.88 is Neutral, neither overbought nor oversold. The STOCH value of 37.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AMTB.

Amerant Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HBT	78 Outperform	$755.99M	10.56	13.88%	3.32%	8.55%	9.52%
FCBC	77 Outperform	$689.08M	13.91	10.08%	3.19%	2.49%	4.48%
NBN	76 Outperform	$733.63M	10.71	17.77%	0.04%	23.69%	21.19%
OSBC	74 Outperform	$701.38M	8.52	12.98%	1.41%	1.64%	-6.70%
CFFN	63 Neutral	$756.88M	14.08	5.09%	5.97%	6.02%	―
Sector *	63 Neutral	$12.32B	9.52	7.97%	79.23%	12.77%	-4.57%
AMTB	49 Neutral	$660.03M	―	-1.39%	1.85%	-5.38%	-186.90%

Amerant Bancorp Corporate Events

Amerant Bancorp Reports Q1 2025 Earnings Decline

On April 23, 2025, Amerant Bancorp reported a net income of $12.0 million for the first quarter of 2025, down from $16.9 million in the previous quarter. The company saw solid deposit growth and strong pre-provision net revenue, although loans remained flat due to increased payoffs and paydowns. The Board declared a cash dividend of $0.09 per share, payable on May 30, 2025. Amerant plans to scale back its residential mortgage operations to focus on Florida, reflecting a strategic shift amid market volatility.

Spark’s Take on AMTB Stock

According to Spark, TipRanks’ AI Analyst, AMTB is a Neutral.

Amerant Bancorp’s overall stock score reflects financial challenges, particularly in profitability and cash flow, which are offset by strategic growth plans and recent operational improvements. While technical indicators remain bearish, the company’s positive strategic direction and improved financial performance outlook contribute to a moderate score.

To see Spark’s full report on AMTB stock, click here.

Amerant Bancorp Adopts New Performance-Based Stock Agreement

On February 11, 2025, Amerant Bancorp’s Compensation and Human Capital Committee adopted a new performance-based restricted stock unit agreement under its Long-Term Incentive Plan. This agreement, starting in February 2025, modifies the performance goals to focus on Relative Adjusted Return on Average Total Common Equity, offering executives performance-based stock units that vest over three years, contingent on the company’s performance compared to a defined peer group.

Amerant Bancorp Unveils Strategic Plans for Growth

On February 12, 2025, Amerant Bancorp will present a slide presentation to investors and analysts, detailing its recent operational updates and strategic plans. The company emphasizes its completed core conversion and sale of its Houston franchise, focusing on organic growth in Florida and accelerating its digital transformation efforts, aiming to solidify its position as a top-quartile performer in the banking industry.

Leadership Transition Announced at Amerant Bancorp

On February 10, 2025, Amerant Bancorp announced that Howard A. Levine, Senior Executive Vice-President and Chief Consumer Banking Officer, will step down from his role effective February 14, 2025. His duties will be temporarily managed by various senior executives as the company finalizes the terms of his separation, highlighting a transition period in their leadership structure.