Bar Harbor Bankshares (BHB) AI Stock Analysis

• Market Cap: $448.18M
• Dividend Yield: 4.12%
• Average Volume (3M): 46.71K
• Price to Earnings (P/E): 10.3
• Beta (1Y): 0.78
• Revenue Growth: 6.33%
• EPS Growth: 3.44%
• Country: US
• Employees: 458
• Sector: Financial
• Sector Strength: 87
• Industry: Banks - Regional
• EPS (TTM): 2.84
• Shares Outstanding: 15,317,222
• 10 Day Avg. Volume: 43,460
• 30 Day Avg. Volume: 46,706
• PEG Ratio: 3.00
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.47
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 3.50
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $32.50
• Price Target Upside: 10.02% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

Bar Harbor Bankshares demonstrates strong financial performance, supported by significant revenue growth and improved margins. The elimination of debt and robust cash flows further enhance its financial health. Valuation metrics are attractive, with a low P/E ratio and solid dividend yield. However, bearish technical indicators suggest caution in the near term. The recent dividend increase and merger announcement are positive corporate events that enhance the growth outlook. Overall, BHB is well-positioned for potential growth, though attention to profit generation efficiency and technical trends is advisable.

Bar Harbor Bankshares Business Overview & Revenue Model

Company Description

Bar Harbor Bankshares (BHB) is a publicly traded bank holding company headquartered in Bar Harbor, Maine. It primarily operates through its subsidiary, Bar Harbor Bank & Trust, providing a range of banking products and services. The company serves individuals, businesses, and municipalities across northern New England with offerings including personal and commercial banking, wealth management, and trust services. With a strong regional presence, BHB is committed to delivering community-focused financial solutions.

How the Company Makes Money

Bar Harbor Bankshares generates revenue primarily through interest income from its lending activities and non-interest income from various banking services. Key revenue streams include interest earned on loans such as commercial, residential, and consumer loans, as well as investment securities. The company also earns fees from deposit accounts, wealth management, and trust services, which contribute to its non-interest income. Additionally, BHB benefits from strategic partnerships and a robust regional network that enhances its ability to offer diversified financial products tailored to the needs of its customers. Economic conditions, interest rate fluctuations, and regional market dynamics are significant factors that influence the company's earnings.

Bar Harbor Bankshares Financial Statement Overview

Summary

Bar Harbor Bankshares demonstrates robust financial performance with strong revenue growth and improved EBIT margins. The elimination of debt has enhanced the balance sheet, although a slight decline in ROE suggests room for improvement in profit generation. Strong cash flows support financial health, underscoring the company's growth potential despite the need to monitor net profit margins.

Income Statement

Bar Harbor Bankshares has demonstrated a strong revenue growth trajectory, with a notable increase from $150.4 million in 2023 to $188.7 million in 2024, reflecting a 25.5% growth rate. The gross profit margin stands at 100%, as expected in the banking industry, with no cost of goods sold. The net profit margin slightly declined from 29.8% in 2023 to 23.1% in 2024, indicating increased expenses or provisions. EBIT margin improved significantly to 98.9% in 2024, showcasing effective cost management.

Balance Sheet

The company's balance sheet shows robust equity with a healthy equity ratio of 11.2% in 2024, up from 10.9% in 2023. The debt-to-equity ratio improved substantially from 0.77 in 2023 to 0 in 2024, as the company eliminated its total debt, enhancing financial stability. Return on equity decreased slightly to 9.5% in 2024 from 10.4% in 2023, which may suggest reduced efficiency in generating profits from equity.

Cash Flow

Free cash flow increased to $52.4 million in 2024 from $40.9 million in 2023, reflecting a growth rate of 31.2%. The operating cash flow to net income ratio improved to 1.20, indicating strong cash generation relative to net income. However, the free cash flow to net income ratio remains at 1.20, suggesting that capital expenditures are minimal or non-existent. The company maintains a positive cash flow trend, supporting its financial health.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
188.72M	150.41M	149.00M	137.83M	142.14M
	Gross Profit
188.72M	150.41M	149.00M	137.83M	142.14M
	EBIT
186.71M	74.66M	71.93M	48.63M	41.65M
	EBITDA
0.00	0.00	61.22M	55.23M	47.45M
	Net Income Common Stockholders
43.54M	44.85M	43.56M	39.30M	33.24M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
555.28M	576.79M	651.81M	868.66M	811.05M
	Total Assets
4.08B	3.97B	3.91B	3.71B	3.73B
	Total Debt
290.60M	331.50M	725.62M	178.52M	336.02M
	Net Debt
218.44M	236.66M	633.32M	-71.86M	110.02M
	Total Liabilities
3.62B	3.54B	3.52B	3.29B	3.31B
	Stockholders Equity
458.43M	432.06M	393.45M	424.15M	411.34M
Cash Flow		Free Cash Flow
52.37M	40.87M	55.08M	58.76M	31.40M
	Operating Cash Flow
52.37M	47.40M	57.60M	60.48M	38.17M
	Investing Cash Flow
-141.88M	-62.29M	-410.58M	-6.06M	142.75M
	Financing Cash Flow
66.83M	17.43M	194.88M	-30.03M	-11.82M

Bar Harbor Bankshares Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 29.54
• 50DMA: Negative
• 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 BHB, the sentiment is Neutral. The current price of 29.54 is above the 20-day moving average (MA) of 28.65, below the 50-day MA of 30.06, and below the 200-day MA of 31.00, indicating a neutral trend. The MACD of -0.16 indicates Negative momentum. The RSI at 52.32 is Neutral, neither overbought nor oversold. The STOCH value of 70.23 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for BHB.

Bar Harbor Bankshares Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GNTY	71 Outperform	$447.26M	13.52	10.62%	2.44%	0.13%	19.68%
BHB	68 Neutral	$448.18M	10.29	9.67%	4.12%	6.33%	3.44%
EBTC	68 Neutral	$463.47M	11.39	11.31%	2.60%	13.97%	12.00%
CCNE	67 Neutral	$439.33M	8.97	8.84%	3.26%	8.67%	―
CBNK	66 Neutral	$526.18M	12.71	12.19%	1.25%	18.85%	6.74%
NFBK	65 Neutral	$450.23M	13.79	4.48%	4.93%	10.00%	2.81%
Sector *	63 Neutral	$12.46B	9.55	8.14%	17103.96%	12.70%	-4.66%

Bar Harbor Bankshares Corporate Events

Bar Harbor Bankshares Raises Dividend by 7%

On April 17, 2025, Bar Harbor Bankshares announced a 7% increase in its quarterly cash dividend, reflecting its commitment to delivering consistent shareholder returns. The company also reported a stable financial performance for the first quarter of 2025, with a net income of $10.2 million and a strong net interest margin. Additionally, Bar Harbor Bankshares signed a definitive merger agreement to acquire Woodsville Guaranty Bancorp, Inc., which is expected to enhance its market presence in northern New England and support future growth.

Spark’s Take on BHB Stock

According to Spark, TipRanks’ AI Analyst, BHB is a Outperform.

Bar Harbor Bankshares receives a score of 70, driven by strong financial performance and attractive valuation. The upcoming merger is a key positive, expected to enhance earnings and market position. However, bearish technical indicators and a need to improve profit generation efficiency slightly temper the overall outlook.

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

Bar Harbor Bankshares Announces Merger with Guaranty Bancorp

On March 11, 2025, Bar Harbor Bankshares and Guaranty Bancorp, Inc. announced a merger agreement where Bar Harbor will acquire Guaranty in an all-stock transaction valued at approximately $41.6 million. The merger aims to expand Bar Harbor’s presence in New Hampshire and is expected to be 30% accretive to Bar Harbor’s earnings per share. The combined entity will operate under the Bar Harbor Bank & Trust name, with approximately 60 branches and $4.8 billion in assets, enhancing its position in Northern New England. The merger is anticipated to be completed in the second half of 2025, subject to regulatory and shareholder approvals.