Bankfinancial (BFIN) AI Stock Analysis

• Market Cap: $145.54M
• Dividend Yield: 3.42%
• Average Volume (3M): 61.23K
• Price to Earnings (P/E): 74.6
• Beta (1Y): 0.35
• Revenue Growth: -2.35%
• EPS Growth: -76.38%
• Country: US
• Employees: 191
• Sector: Financial
• Sector Strength: 72
• Industry: Banks - Regional
• EPS (TTM): 0.36
• Shares Outstanding: 12,460,678
• 10 Day Avg. Volume: 105,771
• 30 Day Avg. Volume: 61,227
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.17
• Enterprise Value/Revenue: 2.32
• Enterprise Value/Gross Profit: 3.50
• Enterprise Value/Ebitda: 59.55
• 1Y Price Target: $12.00
• Price Target Upside: 2.74% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 65 Neutral
• Price Target: $12.50 ▲(7.02% Upside)

The overall stock score of 65 reflects a balanced view of Bankfinancial's current position. The company's strong financial performance and positive corporate event are offset by technical indicators suggesting bearish trends and a high P/E ratio indicating potential overvaluation. The merger with First Financial is a significant positive factor, expected to enhance future growth prospects.

Bankfinancial Business Overview & Revenue Model

Company Description

BankFinancial Corporation operates as the bank holding company for BankFinancial, National Association that provides various commercial, family, and personal banking products and services. The company accepts various deposit products, including savings, NOW, checking, money market, IRA, and other retirement accounts, as well as certificates of deposit. Its loan products include multi-family and nonresidential real estate, construction and land, and commercial loans and leases; one-to-four family residential mortgage loans, including home equity loans and lines of credit; and consumer loans. The company also provides cash management, funds transfer, bill payment, other online and mobile banking transactions, automated teller machines, safe deposit boxes, trust, wealth management, and general insurance agency services. In addition, it offers financial planning services; and sells property and casualty, and other insurance products on an agency basis. The company operates 19 full-service banking offices located in Cook, DuPage, Lake, and Will Counties, Illinois. BankFinancial Corporation was founded in 1924 and is headquartered in Burr Ridge, Illinois.

How the Company Makes Money

Bankfinancial generates revenue through multiple streams, primarily from interest income on loans and mortgages, which constitutes a significant portion of its earnings. The bank charges interest on various types of loans, including personal loans, business loans, and home mortgages, which are typically higher than the interest paid on customer deposits. Additionally, Bankfinancial earns fees from services such as account maintenance, ATM usage, and transaction fees, which contribute to its non-interest income. The bank may also engage in investment banking activities and wealth management services, providing advisory services and earning commissions on investment products. Strategic partnerships with fintech companies and other financial service providers may enhance its product offerings and attract new customers, further boosting its revenue. Overall, Bankfinancial's diverse revenue model is supported by its broad range of financial products and services tailored to meet the needs of its customers.

Bankfinancial Financial Statement Overview

Summary

Bankfinancial exhibits strong revenue growth and solid profit margins, although there is room for improvement in net income performance. The balance sheet is generally healthy, but attention to debt levels is necessary to mitigate leverage concerns. Cash flow remains positive, supporting operational and investment activities effectively. Overall, the company shows financial resilience with potential areas for strategic enhancement.

Income Statement

Bankfinancial demonstrated a healthy revenue growth in TTM (Trailing-Twelve-Months) with a 26.5% increase from the previous year. The gross profit margin is robust at 88.7%, indicating strong cost management. However, the net profit margin has slightly decreased to 7.1%, suggesting increased expenses or competitive pressures. EBIT margin remains stable at 33.6%, supporting profitability. EBITDA margin is notably lower at 13.4%, influenced by depreciation/amortization costs.

Balance Sheet

The company maintains a solid equity position with an equity ratio of 10.9%, although the debt-to-equity ratio is relatively high at 0.21, indicating leverage risk. Return on equity (ROE) stands at 2.8%, reflecting moderate efficiency in generating profits from equity. The overall asset base shows stability, but a high focus on managing liabilities is advisable.

Cash Flow

Operating cash flow to net income ratio at 1.6 indicates good cash generation relative to earnings. Free cash flow has decreased slightly, but the company maintains positive free cash flow, critical for ongoing operations. The free cash flow to net income ratio is 1.1, reflecting efficient cash conversion. Despite fluctuations in investing cash flow, the company effectively manages its capital expenditures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	73.51M	74.38M	71.17M	61.27M	52.26M	58.24M
Gross Profit	48.67M	49.22M	56.53M	54.96M	50.70M	51.20M
EBITDA	2.86M	5.18M	14.29M	15.10M	11.83M	14.55M
Net Income	4.44M	4.07M	9.39M	10.49M	7.41M	9.16M
Balance Sheet
Total Assets	1.44B	1.43B	1.49B	1.58B	1.70B	1.60B
Cash, Cash Equivalents and Short-Term Investments	511.93M	414.82M	361.20M	277.11M	587.86M	527.33M
Total Debt	33.25M	38.74M	44.68M	19.63M	24.59M	8.00M
Total Liabilities	1.28B	1.28B	1.33B	1.42B	1.54B	1.42B
Stockholders Equity	157.50M	156.38M	155.38M	151.67M	157.47M	172.93M
Cash Flow
Free Cash Flow	4.98M	5.47M	7.35M	7.35M	5.43M	11.51M
Operating Cash Flow	6.94M	7.56M	9.22M	9.29M	7.77M	13.52M
Investing Cash Flow	55.23M	-46.14M	197.92M	-316.77M	-101.13M	199.07M
Financing Cash Flow	-41.78M	-55.08M	-95.43M	-127.91M	92.03M	100.58M

Bankfinancial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 11.68
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BFIN, the sentiment is Positive. The current price of 11.68 is above the 20-day moving average (MA) of 11.22, above the 50-day MA of 11.41, and below the 200-day MA of 12.07, indicating a neutral trend. The MACD of -0.04 indicates Negative momentum. The RSI at 54.55 is Neutral, neither overbought nor oversold. The STOCH value of 76.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BFIN.

Bankfinancial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PEBK	79 Outperform	$165.20M	9.72	12.69%	3.05%	6.08%	4.61%
OVBC	72 Outperform	$166.30M	12.01	9.04%	2.50%	14.16%	24.72%
CBFV	72 Outperform	$158.99M	14.85	7.97%	3.19%	20.82%	-48.08%
FCAP	68 Neutral	$125.42M	9.50	11.40%	3.10%	12.36%	9.45%
Sector *	68 Neutral	$17.53B	11.77	10.43%	3.83%	9.84%	1.31%
HNVR	66 Neutral	$156.93M	14.36	5.69%	1.84%	8.34%	-2.33%
BFIN	65 Neutral	$145.54M	74.58	1.24%	3.42%	-2.35%	-76.38%

Bankfinancial Corporate Events

BankFinancial Enters Merger Agreement with First Financial

On August 11, 2025, BankFinancial Corporation and First Financial Bancorp. entered into a Merger Agreement. As part of this agreement, BankFinancial amended the employment contracts of its executives, F. Morgan Gasior and Paul A. Cloutier. The amendments specify severance payments for both executives under certain conditions, with Gasior’s employment being terminated upon the merger’s completion, while Cloutier will receive his severance after September 30, 2026, provided he remains employed until then. Additionally, the severance payments will be adjusted to comply with tax regulations, and new non-competition restrictions have been introduced.

The most recent analyst rating on (BFIN) stock is a Hold with a $11.50 price target. To see the full list of analyst forecasts on Bankfinancial stock, see the BFIN Stock Forecast page.

BankFinancial Announces Merger with First Financial

On August 11, 2025, BankFinancial Corporation and First Financial Bancorp announced a merger agreement where BankFinancial will merge into First Financial, with the latter continuing as the surviving corporation. This strategic acquisition aims to expand First Financial’s presence in the Chicago market, adding 18 retail locations and enhancing its commercial banking capabilities. The transaction, valued at approximately $142 million, is expected to close in the fourth quarter of 2025, pending customary approvals and conditions. The merger is anticipated to be accretive to First Financial’s earnings per share and will integrate BankFinancial’s consumer, trust/wealth management, and selected commercial credit lines into First Financial’s business lines.

BankFinancial Releases Q2 2025 Financial Report

On August 6, 2025, BankFinancial Corporation filed its Quarterly Report for the second quarter ending June 30, 2025, highlighting financial performance over the past five quarters. The report indicates a challenging period with fluctuations in key financial ratios such as return on assets and equity, reflecting the company’s ongoing efforts to navigate market conditions and maintain stability. The release of these financial results provides stakeholders with insights into the company’s current financial health and strategic positioning within the industry.

BankFinancial Declares Cash Dividend for August 2025

On August 4, 2025, BankFinancial Corporation’s Board of Directors declared a cash dividend of $0.10 per common share, payable on August 29, 2025, to stockholders of record on August 15, 2025. The announcement indicates that future dividends will be evaluated based on regulatory requirements and other factors, potentially impacting the company’s financial strategy and shareholder returns.

The most recent analyst rating on (BFIN) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Bankfinancial stock, see the BFIN Stock Forecast page.

BankFinancial Elects New Directors at Annual Meeting

During the Annual Meeting of Stockholders held on July 21, 2025, BankFinancial Corporation announced the election of Aaron J. O’Connor and John M. Hausmann as directors until the 2028 meeting. The stockholders ratified RSM US LLP as the independent accounting firm for 2025, approved an advisory resolution on executive compensation, and passed an amendment to allow stockholders to amend bylaws. However, a proposal regarding the sale of the company was not approved.

The most recent analyst rating on (BFIN) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Bankfinancial stock, see the BFIN Stock Forecast page.

BankFinancial Approves Charter Amendment for Governance Flexibility

At the annual meeting held on July 21, 2025, BankFinancial Corporation’s stockholders approved a charter amendment allowing both the board and stockholders to amend the company’s bylaws. This change, effective after the amendment’s approval, also included declassifying the board and altering director election processes, potentially increasing shareholder influence and flexibility in corporate governance.

The most recent analyst rating on (BFIN) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Bankfinancial stock, see the BFIN Stock Forecast page.

BankFinancial Appoints Benjamin Mackovak to Audit Committee

On July 15, 2025, BankFinancial Corporation’s Board of Directors appointed Benjamin Mackovak to the Audit Committee, replacing Glen Wherfel due to his retirement. This change reflects the company’s adherence to Nasdaq and SEC regulations, ensuring all Audit Committee members are independent directors.

The most recent analyst rating on (BFIN) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Bankfinancial stock, see the BFIN Stock Forecast page.

BankFinancial Prepares for Director Wherfel’s Retirement

The proxy statement for BankFinancial Corporation’s 2025 Annual Meeting omitted Director Glen Wherfel’s membership on the Audit Committee as of December 31, 2024. Director Wherfel will retire at the 2025 Annual Meeting, and the company plans to appoint a replacement to ensure the Audit Committee remains compliant with listing requirements.

The most recent analyst rating on (BFIN) stock is a Hold with a $11.00 price target. To see the full list of analyst forecasts on Bankfinancial stock, see the BFIN Stock Forecast page.