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Amerant Bancorp Inc Class A (AMTB)
NYSE:AMTB

Amerant Bancorp (AMTB) AI Stock Analysis

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Amerant Bancorp

(NYSE:AMTB)

Rating:63Neutral
Price Target:
$21.00
▲(6.44%Upside)
Amerant Bancorp's stock score reflects a mix of moderate financial performance and positive technical indicators. The company's strategic initiatives, such as board expansion and share repurchases, bolster its outlook. However, profitability challenges and valuation concerns weigh on the overall score. Continued focus on improving net income and managing liabilities will be key to enhancing financial health.
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 (AMTB) vs. SPDR S&P 500 ETF (SPY)

Amerant Bancorp Business Overview & Revenue Model

Company DescriptionAmerant Bancorp Inc. operates as the bank holding company for Amerant Bank, N.A. that provides banking products and services to individuals and businesses in the United States and internationally. The company offers checking, savings, and money market accounts; and certificates of deposits. It also provides variable and fixed rate commercial real estate loans; loans secured by owner-occupied properties; loans to domestic and foreign individuals primarily secured by personal residence; working capital loans, asset-based lending, participations in shared national credits, purchased receivables, and small business administration loans; loans to financial institutions and acceptances; and consumer loans and overdrafts, such as automobile, personal, or loans secured by cash or securities and revolving credit card agreements. In addition, the company offers trust and estate planning products and services to high-net-worth customers, brokerage and investment advisory services in global capital markets, and wealth management and fiduciary services. Further, it provides debit and credit cards, night depositories, direct deposits, cashier's checks, safe deposit boxes, letters of credit, and treasury management services, including wire transfer, remote deposit capture, and automated clearinghouse services; derivative instruments; and online and mobile banking, account balances, statements and other documents, online transfers and bill payment, and electronic delivery of customer statements services, as well as automated teller machines, and banking by mobile devices, telephone, and mail. As of December 31, 2021, the company operated 24 banking centers comprising 17 in Florida and 7 in Texas. It also operates loan production offices in Tampa, Florida. The company was formerly known as Mercantil Bank Holding Corporation and changed its name to Amerant Bancorp Inc. in June 2019. Amerant Bancorp Inc. was founded in 1979 and is headquartered in Coral Gables, Florida.
How the Company Makes MoneyAmerant Bancorp generates revenue primarily through interest income from its lending activities, which includes residential and commercial loans. Additionally, the company earns non-interest income from fees and service charges related to deposit accounts, transaction processing, and wealth management services. Amerant also benefits from strategic partnerships and collaborations with financial technology firms, enhancing its service offerings and customer reach. The company's profitability is influenced by factors such as interest rates, credit quality, and the economic conditions in its primary markets.

Amerant Bancorp Earnings Call Summary

Earnings Call Date:Apr 23, 2025
(Q1-2025)
|
% Change Since: 1.81%|
Next Earnings Date:Jul 23, 2025
Earnings Call Sentiment Neutral
The earnings call presented a balanced view with notable achievements in deposit growth and strategic personnel additions. However, challenges such as decreased net interest income, increased credit provisions, and a decline in loan portfolio and profitability metrics were also highlighted.
Q1-2025 Updates
Positive Updates
Strong Deposit Growth
Total deposits increased by $300 million to $8.2 billion compared to $7.9 billion in the previous quarter, driven by growth in core deposits.
Pre-Provision Net Revenue Increase
Pre-provision net revenue increased to $33.9 million from $27.9 million in the previous quarter, surpassing consensus estimates of $31.3 million.
Strategic Personnel Additions
Significant strengthening of the leadership team, particularly in risk management and business development, indicating a commitment to proactive risk management and growth.
Asset Growth
Total assets grew to $10.2 billion from $9.9 billion in the previous quarter, indicating continued expansion and infrastructure development to support regional bank status.
Negative Updates
Decrease in Net Interest Income
Net interest income fell to $85.9 million, down $1.7 million from $87.6 million in the previous quarter, driven by lower average balances and yields on loans.
Increased Provision for Credit Losses
Provision for credit losses rose to $18.4 million, up $8.5 million from $9.9 million in the previous quarter, primarily due to specific reserves and macroeconomic updates.
Loan Portfolio Decline
Total gross loans decreased by $52 million to $7.2 billion, primarily driven by increased prepayments and some loan closings sliding into the second quarter.
Drop in ROA and ROE
ROA and ROE decreased to 0.48% and 5.02%, respectively, from 0.67% and 7.38% in the previous quarter, mainly due to increased provision for credit losses.
Company Guidance
In the first quarter of 2025, Amerant Bancorp Inc. reported several notable financial metrics and strategic updates. The company achieved a net interest income of $85.9 million, a slight decrease from $87.6 million in the previous quarter, primarily due to lower average balances and yields on loans coupled with higher average balances on securities. Total assets increased to $10.2 billion from $9.9 billion in the fourth quarter, while total deposits rose by $300 million to $8.2 billion, indicating robust deposit growth. Notably, the net interest margin remained flat at 3.75% compared to 4.2% in the fourth quarter, which was better than projected. The company recorded a provision for credit losses of $18.4 million, an increase from $9.9 million in the fourth quarter, reflecting specific reserves and macroeconomic updates. The efficiency ratio improved to 67.87% from 74.91%, although the return on assets (ROA) and return on equity (ROE) decreased to 0.48% and 5.02%, respectively. Looking forward, the company expects to maintain above the $10 billion asset level and projects a net interest margin in the mid-3.60% range for the second quarter. Strategic changes include a focus on Florida for the mortgage business and a continued emphasis on core deposit growth, with a projected 15% annual growth by year-end 2025. Additionally, Amerant Bancorp Inc. is enhancing its risk management framework with significant personnel additions and plans further expansion in key Florida markets.

Amerant Bancorp Financial Statement Overview

Summary
Amerant Bancorp shows mixed financial performance. The income statement indicates profitability challenges with negative net income and declining margins. However, the balance sheet is stable, and cash flow generation is reasonably strong, albeit with volatility. Focus on improving profitability is essential for better financial health.
Income Statement
55
Neutral
The income statement shows a decline in profitability with negative EBIT and net income in the latest TTM, indicating operational challenges. The gross profit margin has decreased over time, highlighting potential revenue and cost pressures. Revenue growth has been inconsistent, with a recent small increase but overall poor profit margins.
Balance Sheet
65
Positive
The balance sheet reflects moderate stability with a debt-to-equity ratio of 1.08 in the latest TTM, showing manageable leverage. Stockholders’ equity has grown, and the equity ratio indicates a relatively stable capital structure. However, the increase in total liabilities over time poses a potential risk.
Cash Flow
70
Positive
The cash flow statement reveals positive operating cash flow, although free cash flow growth has been volatile. The operating cash flow to net income ratio is strong, suggesting efficient cash generation from operations despite negative net income. The company has managed to maintain positive free cash flow recently.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue581.39M574.92M551.02M387.07M307.75M333.77M
Gross Profit251.40M244.83M267.63M301.01M281.55M174.15M
EBITDA-15.41M-17.48M48.17M84.47M151.29M5.05M
Net Income-14.36M-15.75M32.49M63.31M112.92M-1.72M
Balance Sheet
Total Assets10.17B9.90B9.72B9.13B7.64B7.77B
Cash, Cash Equivalents and Short-Term Investments637.12M2.00B1.51B1.31B1.45B1.44B
Total Debt979.77M1.00B921.33M1.20B1.07B1.17B
Total Liabilities9.26B9.01B8.98B8.42B6.81B6.99B
Stockholders Equity906.26M890.47M736.07M707.82M834.48M783.42M
Cash Flow
Free Cash Flow93.49M74.79M15.79M-59.79M60.85M51.67M
Operating Cash Flow99.61M82.19M26.72M-49.16M67.43M57.25M
Investing Cash Flow-1.09B-576.66M-606.62M-1.40B385.32M286.34M
Financing Cash Flow975.57M762.96M611.17M1.46B-392.93M-250.52M

Amerant Bancorp Technical Analysis

Technical Analysis Sentiment
Positive
Last Price19.73
Price Trends
50DMA
17.64
Positive
100DMA
19.15
Positive
200DMA
20.73
Negative
Market Momentum
MACD
0.49
Negative
RSI
68.91
Neutral
STOCH
88.75
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMTB, the sentiment is Positive. The current price of 19.73 is above the 20-day moving average (MA) of 17.93, above the 50-day MA of 17.64, and below the 200-day MA of 20.73, indicating a neutral trend. The MACD of 0.49 indicates Negative momentum. The RSI at 68.91 is Neutral, neither overbought nor oversold. The STOCH value of 88.75 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AMTB.

Amerant Bancorp Risk Analysis

Amerant Bancorp disclosed 52 risk factors in its most recent earnings report. Amerant Bancorp reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Amerant Bancorp Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
$1.25B10.3112.98%1.26%2.27%-6.70%
HBHBT
78
Outperform
$827.39M11.0114.24%3.16%6.98%5.97%
NBNBN
75
Outperform
$752.46M10.5017.91%0.04%26.40%24.62%
73
Outperform
$744.69M14.8210.08%2.97%2.49%4.48%
73
Outperform
$840.63M15.675.09%5.29%6.02%
63
Neutral
$805.62M-1.83%1.83%-5.43%-186.90%
61
Neutral
C$14.64B6.1121.96%5.59%27.38%-22.40%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AMTB
Amerant Bancorp
19.73
-2.39
-10.80%
CFFN
Capitol Federal Financial
6.34
1.05
19.85%
FCBC
First Community Bancshares
41.04
7.22
21.35%
NBN
Northeast Bancorp
95.59
35.88
60.09%
OSBC
Old Second Bancorp
18.90
4.36
29.99%
HBT
HBT Financial
25.92
6.69
34.79%

Amerant Bancorp Corporate Events

Executive/Board ChangesBusiness Operations and Strategy
Amerant Bancorp Expands Board with Two New Members
Positive
Jun 24, 2025

On June 24, 2025, Amerant Bancorp Inc. announced the expansion of its Board of Directors from ten to twelve members, appointing Patricia Morrison and Jack Kopnisky as new board members. This move aligns with the company’s strategic growth plans and aims to enhance its board’s expertise in technology and financial services, supporting its goal to become Florida’s bank of choice. Morrison brings extensive IT and governance experience, while Kopnisky offers over 40 years of leadership in financial services, both expected to contribute significantly to Amerant’s long-term value delivery to customers, shareholders, and communities.

The most recent analyst rating on (AMTB) stock is a Buy with a $25.00 price target. To see the full list of analyst forecasts on Amerant Bancorp stock, see the AMTB Stock Forecast page.

Stock Buyback
Amerant Bancorp Increases Share Repurchase Program
Positive
May 29, 2025

On May 28, 2025, Amerant Bancorp Inc.’s Board of Directors approved an increase in the share repurchase program for its Class A common stock to $25 million, with the program set to expire on December 31, 2025. The repurchase plan allows for flexibility in purchasing methods and does not obligate the company to buy back a specific amount, providing discretion based on market conditions and other factors.

The most recent analyst rating on (AMTB) stock is a Buy with a $25.00 price target. To see the full list of analyst forecasts on Amerant Bancorp stock, see the AMTB Stock Forecast page.

Executive/Board ChangesShareholder Meetings
Amerant Bancorp Holds Annual Shareholder Meeting
Neutral
May 7, 2025

On May 7, 2025, Amerant Bancorp Inc. held its annual meeting of shareholders, where approximately 83.51% of the Class A voting common stock was represented. During the meeting, all director nominees were elected to serve until the 2026 annual meeting, the compensation of named executive officers was approved on an advisory basis, and RSM US LLP was ratified as the independent registered public accounting firm for the fiscal year ending December 31, 2025. Additionally, Gerald P. Plush was reappointed as Chairman of the Board, and Odilon Almeida Junior was appointed as Lead Independent Director and chair of the Corporate Governance, Nominating and Sustainability Committee, succeeding Pamella J. Dana.

DividendsBusiness Operations and StrategyFinancial Disclosures
Amerant Bancorp Reports Q1 2025 Earnings Decline
Negative
Apr 23, 2025

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.

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: Jul 05, 2025