Bank of Princeton (BPRN) AI Stock Analysis

• Market Cap: $207.60M
• Dividend Yield: 4%
• Average Volume (3M): 12.15K
• Price to Earnings (P/E): 18.3
• Beta (1Y): 0.73
• Revenue Growth: 10.64%
• EPS Growth: -56.22%
• Country: US
• Employees: 242
• Sector: Financial
• Sector Strength: 77
• Industry: Banks - Regional
• EPS (TTM): 0.77
• Shares Outstanding: 6,929,130
• 10 Day Avg. Volume: 8,593
• 30 Day Avg. Volume: 12,146
• PEG Ratio: 0.31
• Price to Book (P/B): 0.91
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.57
• Enterprise Value/Market Cap: 0.76
• Enterprise Value/Revenue: 0.39
• Enterprise Value/Gross Profit: 1.63
• Enterprise Value/Ebitda: 1.88
• 1Y Price Target: $35.00
• Price Target Upside: 16.32% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 69 Neutral
• Price Target: ―

The Bank of Princeton's stock score reflects its strong financial performance with robust revenue growth and efficient operations. While the technical analysis shows mixed signals, valuation metrics suggest the stock is reasonably priced, with a solid dividend yield providing additional investor appeal. The lack of recent earnings call data and corporate events means these factors do not influence the current assessment.

Bank of Princeton Business Overview & Revenue Model

Company Description

The Bank of Princeton provides various banking products and services. It accepts various deposit products, including checking, savings, attorney trust, and money market accounts, as well as certificates of deposit. The company also offers various loan products comprising commercial real estate and multi-family, commercial and industrial, construction, residential first-lien mortgage, paycheck protection program, home equity, and consumer loans. In addition, it provides debit and credit cards, and money orders, direct deposit, automated teller machines, cashier's checks, safe deposit boxes, wire transfers, night depository, remote deposit capture, debit cards, bank-by-mail, online, and automated telephone banking services, as well as payroll-related services and merchant credit card processing services. Further, the company offers full on-line statements, on-line bill payment, account inquiries, transaction histories and details, and account-to-account transfer services. The company operates 21 branches in Princeton, including parts of Mercer, Somerset, Hunterdon, Ocean, Burlington, Camden, Gloucester, and Middlesex Counties in central New Jersey, as well as in additional areas in portions of Philadelphia, Montgomery, and Bucks counties in Pennsylvania. The Bank of Princeton was incorporated in 2007 and is headquartered in Princeton, New Jersey.

How the Company Makes Money

The Bank of Princeton makes money primarily through interest income generated from its lending activities, including personal, commercial, and mortgage loans. Additionally, the bank earns revenue from non-interest income sources such as service fees on deposit accounts, transaction fees, and other banking-related services. The bank's profitability is also influenced by its ability to manage interest rate spreads between the interest it pays on deposits and the interest it earns on loans, as well as its operational efficiency and cost management. Partnerships with local businesses and community involvement also play a role in its customer acquisition and retention strategy, contributing to its overall earnings.

Bank of Princeton Financial Statement Overview

Summary

The Bank of Princeton presents a strong financial profile with impressive revenue growth and efficient operations. The balance sheet reflects low leverage and a solid capital structure, albeit with a slight decline in return on equity. Cash flow management is generally sound, though there is a noted decline in free cash flow. Despite these minor concerns, the financial statements suggest a stable and growing banking institution with adequate risk management.

Income Statement

The Bank of Princeton demonstrates strong revenue growth over the years, particularly a notable increase from 2023 to 2024. The gross profit margin remains high at 100% due to the nature of banking operations where total revenue equals gross profit. However, the net profit margin is lower in 2024 compared to 2023, indicating increased expenses or costs. The EBIT margin is healthy and shows an upward trend, reinforcing operational efficiency.

Balance Sheet

The balance sheet reflects a stable financial position with a low debt-to-equity ratio, which suggests prudent leverage management. The equity ratio remains strong, indicating a solid capital structure. However, the return on equity has decreased from 2023 to 2024, which may suggest that the company is not generating as much profit from its equity as in previous years.

Cash Flow

The free cash flow remains positive, although it has decreased from the previous year, signaling potential challenges in cash generation. The operating cash flow to net income ratio is robust, highlighting effective cash management. However, the free cash flow to net income ratio has declined, pointing to potential cash sustainability issues.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
74.69M	69.33M	72.94M	67.27M	53.66M
	Gross Profit
26.43M	69.33M	72.94M	67.27M	53.66M
	EBIT
20.62M	30.58M	40.05M	29.19M	17.29M
	EBITDA
0.00	32.31M	36.10M	31.14M	19.18M
	Net Income Common Stockholders
10.24M	25.77M	26.49M	22.49M	13.81M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
264.09M	150.56M	136.75M	113.18M	153.06M
	Total Assets
2.34B	1.92B	1.60B	1.69B	1.60B
	Total Debt
22.94M	24.28M	10.00M	18.56M	18.99M
	Net Debt
6.03M	-10.25M	-43.35M	6.54M	-58.44M
	Total Liabilities
2.08B	1.68B	1.38B	1.47B	1.39B
	Stockholders Equity
262.04M	240.21M	219.60M	216.58M	208.82M
Cash Flow		Free Cash Flow
13.21M	21.40M	23.38M	9.21M	15.00M
	Operating Cash Flow
14.73M	23.11M	23.99M	12.90M	18.10M
	Investing Cash Flow
-154.05M	-5.76M	-26.46M	3.54M	-140.25M
	Financing Cash Flow
106.11M	79.85M	-102.89M	64.84M	126.98M

Bank of Princeton Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 30.09
• 50DMA: Positive
• 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 BPRN, the sentiment is Negative. The current price of 30.09 is below the 20-day moving average (MA) of 30.95, above the 50-day MA of 30.08, and below the 200-day MA of 33.09, indicating a neutral trend. The MACD of -0.12 indicates Positive momentum. The RSI at 45.31 is Neutral, neither overbought nor oversold. The STOCH value of 20.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BPRN.

Bank of Princeton Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BPRN	69 Neutral	$207.60M	18.25	4.43%	4.00%	10.64%	-56.22%
PWOD	67 Neutral	$225.15M	10.59	10.50%	4.33%	14.11%	29.41%
MBCN	66 Neutral	$238.23M	14.73	7.72%	2.86%	8.36%	-2.51%
Sector *	65 Neutral	$12.93B	9.81	7.84%	78.03%	12.20%	-7.74%
LCNB	61 Neutral	$210.88M	13.03	6.54%	5.91%	24.45%	25.77%
PVBC	54 Neutral	$209.21M	45.29	1.93%	―	-4.32%	-68.19%
BLFY	51 Neutral	$194.40M	―	-3.48%	―	7.45%	-41.97%