Brookline Bancorp (BRKL) AI Stock Analysis

• Market Cap: $980.15M
• Dividend Yield: 6.14%
• Average Volume (3M): 591.98K
• Price to Earnings (P/E): 12.5
• Beta (1Y): 0.96
• Revenue Growth: 2.23%
• EPS Growth: 2.59%
• Country: US
• Employees: 951
• Sector: Financial
• Sector Strength: 74
• Industry: Banks - Regional
• EPS (TTM): 0.25
• Shares Outstanding: 89,104,610
• 10 Day Avg. Volume: 617,241
• 30 Day Avg. Volume: 591,976
• PEG Ratio: 1.88
• Price to Book (P/B): 0.72
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.84
• Enterprise Value/Market Cap: 1.77
• Enterprise Value/Revenue: 0.67
• Enterprise Value/Gross Profit: 5.13
• Enterprise Value/Ebitda: 3.92
• 1Y Price Target: $13.00
• Price Target Upside: 18.18% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 75 Outperform
• Price Target: $12.50 ▲(13.64%Upside)

Brookline Bancorp's overall stock score reflects a strong financial base with good profitability and cash flow, supported by attractive valuation metrics. The technical analysis indicates a stable outlook, while earnings call insights highlight both strengths in operational results and challenges in loan contraction and economic uncertainty. The legal challenges in the merger do not significantly impact the score as they are already considered in the earnings analysis.

Positive Factors

Earnings

The merger of BHLB and BRKL is expected to positively impact long-term earnings.

Market Presence

The merger will create a strong regional bank presence in New England/NY markets with $24B in assets.

Profitability

The BRKL-BHLB combination significantly enhances profitability and makes for a more attractive combined franchise.

Negative Factors

Execution Risks

The rating for BRKL is lowered to Market Perform due to anticipated execution risks similar to other recent mergers.

Stock Performance

The shares are likely to remain range-bound for the next few quarters due to the merger announcement.

Brookline Bancorp Business Overview & Revenue Model

Company Description

Brookline Bancorp, Inc. (BRKL) is a publicly traded bank holding company headquartered in Boston, Massachusetts. It operates through its subsidiary banks, such as Brookline Bank, Bank Rhode Island, and First Ipswich Bank, offering a range of financial services. The company primarily serves individuals and small to mid-sized businesses across various sectors, providing services such as personal and commercial banking, residential and commercial lending, and investment services.

How the Company Makes Money

Brookline Bancorp generates revenue primarily through the interest income earned on loans and investment securities. The company offers a variety of loan products, including commercial real estate loans, residential mortgage loans, and commercial and industrial loans. Additionally, the bank earns non-interest income through service charges, fees for various banking services, and commissions from investment advisory and wealth management services. By maintaining a diversified portfolio of loans and securities, and leveraging its localized banking services, Brookline Bancorp effectively manages its revenue streams. The company's financial performance is also supported by its strategic partnerships and community banking model, which enhance its customer base and market presence.

Brookline Bancorp Financial Statement Overview

Summary

Brookline Bancorp exhibits strong profitability and cash flow generation, with stable margins and efficient cash conversion. However, slowing revenue growth and potential liquidity constraints pose challenges. The balance sheet is sound with manageable leverage, despite a slight contraction in assets.

Income Statement

Brookline Bancorp exhibits moderate profitability with a stable gross profit margin of around 52% and a consistent net profit margin near 11%. The revenue growth rate is slowing, with a slight decline from 2024 to TTM. The EBIT and EBITDA margins are stable, reflecting efficient operations. However, the declining revenue and mixed profit trends indicate potential challenges in sustaining growth.

Balance Sheet

The company's balance sheet is relatively strong, with a debt-to-equity ratio of around 0.97 in TTM, indicating manageable leverage. The equity ratio is approximately 10.8%, showing a stable capital structure. Return on equity is healthy, reflecting effective use of equity. However, total assets have decreased slightly, suggesting potential constraints on growth.

Cash Flow

Cash flow analysis reveals a robust free cash flow growth rate of 1.1% from 2024 to TTM. The operating cash flow to net income ratio is strong, indicating efficient cash conversion. The free cash flow to net income also demonstrates solid cash generation capabilities. While investing cash flow has improved, financing activities have seen significant fluctuations, suggesting variable external financing needs.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	652.08M	654.50M	608.88M	373.43M	338.52M	351.46M
Gross Profit	338.57M	333.56M	333.44M	319.49M	317.20M	222.92M
EBITDA	111.76M	106.33M	109.91M	146.47M	161.26M	68.83M
Net Income	73.15M	68.72M	75.00M	109.74M	115.44M	47.63M
Balance Sheet
Total Assets	11.52B	11.91B	11.38B	9.19B	8.60B	8.94B
Cash, Cash Equivalents and Short-Term Investments	1.24B	1.44B	1.05B	1.04B	1.05B	1.18B
Total Debt	1.20B	1.56B	1.41B	1.45B	377.83M	844.39M
Total Liabilities	10.28B	10.68B	10.18B	8.19B	7.61B	8.00B
Stockholders Equity	1.24B	1.22B	1.20B	992.13M	995.34M	941.78M
Cash Flow
Free Cash Flow	101.14M	99.97M	104.24M	113.37M	128.42M	109.58M
Operating Cash Flow	104.13M	104.95M	116.60M	120.76M	133.21M	112.49M
Investing Cash Flow	15.50M	-139.60M	-665.26M	-557.69M	131.11M	-695.53M
Financing Cash Flow	-63.97M	445.29M	298.74M	492.15M	-371.51M	940.17M

Brookline Bancorp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 11.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BRKL, the sentiment is Positive. The current price of 11 is above the 20-day moving average (MA) of 10.97, above the 50-day MA of 10.70, and below the 200-day MA of 11.03, indicating a neutral trend. The MACD of 0.13 indicates Positive momentum. The RSI at 53.96 is Neutral, neither overbought nor oversold. The STOCH value of 45.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BRKL.

Brookline Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CTBI	80 Outperform	$1.03B	11.23	11.99%	3.30%	10.94%	17.66%
AMAL	79 Outperform	$1.02B	9.85	15.41%	1.57%	10.80%	10.48%
BRKL	75 Outperform	$980.15M	12.49	6.43%	6.14%	2.23%	2.59%
FMBH	75 Outperform	$932.93M	11.56	9.65%	2.47%	10.25%	8.73%
BHRB	72 Outperform	$963.65M	18.30	10.71%	3.39%	181.68%	28.82%
Sector *	68 Neutral	$17.10B	11.62	9.70%	3.86%	11.32%	-7.37%
TMP	56 Neutral	$933.62M	12.55	10.45%	3.82%	37.59%	969.87%

Brookline Bancorp Corporate Events

Brookline Bancorp Reports Strong Q2 2025 Earnings

Brookline Bancorp reported a net income of $22.0 million for the second quarter of 2025, showing an increase from previous quarters, driven by growth in its C&I portfolio and deposits. Despite a decrease in total loans and leases, the company saw an expansion in its net interest margin and a reduction in nonperforming assets, reflecting solid financial performance and strategic management of its portfolio.

The most recent analyst rating on (BRKL) stock is a Buy with a $10.00 price target. To see the full list of analyst forecasts on Brookline Bancorp stock, see the BRKL Stock Forecast page.

Brookline Bancorp Approves Merger with Berkshire Hills

On May 21, 2025, Brookline Bancorp, Inc. held a virtual special meeting of its stockholders to vote on several proposals related to a merger agreement with Berkshire Hills Bancorp, Inc. The proposal to adopt the merger agreement, which involves Brookline merging with Commerce Acquisition Sub, Inc. and subsequently with Berkshire, was approved. However, a non-binding advisory proposal regarding executive compensation in connection with the mergers was not approved. The approval of this compensation proposal was not necessary for the completion of the mergers.

The most recent analyst rating on (BRKL) stock is a Buy with a $10.00 price target. To see the full list of analyst forecasts on Brookline Bancorp stock, see the BRKL Stock Forecast page.

Brookline Bancorp Faces Legal Challenges in Merger

On December 16, 2024, Brookline Bancorp, Inc. and Berkshire Hills Bancorp, Inc. entered into a merger agreement, with Brookline merging into Berkshire. The merger, which aims to create a strong entity in the northeast markets, has faced legal challenges. Shareholders have filed demand letters and lawsuits alleging omissions in the joint proxy statement/prospectus, seeking to block the merger. Despite these challenges, both companies have issued supplemental disclosures to address the claims and continue to deny any wrongdoing.