Bridgewater Bancshares (BWB) AI Stock Analysis

• Market Cap: $500.11M
• Dividend Yield: N/A
• Average Volume (3M): 87.55K
• Price to Earnings (P/E): 13.8
• Beta (1Y): 0.96
• Revenue Growth: 13.96%
• EPS Growth: 25.74%
• Country: US
• Employees: 292
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.39
• Shares Outstanding: 27,584,732
• 10 Day Avg. Volume: 112,842
• 30 Day Avg. Volume: 87,551
• PEG Ratio: -0.61
• Price to Book (P/B): 0.81
• Price to Sales (P/S): 1.48
• P/FCF Ratio: 8.78
• Enterprise Value/Market Cap: 1.89
• Enterprise Value/Revenue: 3.36
• Enterprise Value/Gross Profit: 7.51
• Enterprise Value/Ebitda: 16.42
• 1Y Price Target: $20.50
• Price Target Upside: 12.89% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: $20.00 ▲(10.13% Upside)

Bridgewater Bancshares demonstrates strong financial performance with robust profitability and cash management. Technical indicators show positive momentum, and the earnings call reflects a positive outlook with strong growth in deposits and loans. However, challenges with revenue growth and increasing debt levels, along with moderate valuation, slightly temper the overall score.

Positive Factors

Core Deposit Growth

The strong growth in core deposits indicates successful market share gains and enhances the bank's funding base, supporting long-term growth.

Asset Quality

Maintaining low non-performing assets and charge-offs reflects robust risk management, ensuring financial stability and investor confidence.

Tangible Book Value Growth

The increase in tangible book value per share signifies enhanced shareholder equity and financial strength, supporting future growth initiatives.

Negative Factors

Revenue Growth Challenges

The decline in revenue growth poses a risk to sustainable profitability and may impact the company's ability to invest in growth opportunities.

Higher Non-Interest Expenses

Increased non-interest expenses can pressure profit margins and reduce operational efficiency, potentially affecting long-term profitability.

Subordinated Debt Impact on Margin

The higher cost of new subordinated debt impacts net interest margins, which could constrain earnings and financial flexibility over time.

Bridgewater Bancshares Business Overview & Revenue Model

Company Description

Bridgewater Bancshares, Inc. operates as the bank holding company for Bridgewater Bank that provides banking products and services to commercial real estate investors, small business entrepreneurs, and high net worth individuals in the United States. The company offers savings and money market accounts, demand deposits, time and brokered deposits, and interest and noninterest bearing transaction, as well as certificates of deposit. It also provides commercial loans to sole proprietorships, partnerships, corporations, and other business enterprises to finance accounts receivable or inventory, capital assets, or other business-related purposes; paycheck protection program loans; construction and land development loans; 1-4 family mortgage loans; multifamily lending products; owner and non-owner occupied commercial real estate loans; and consumer and other loans. In addition, the company online, mobile, and direct banking services. It operates through seven full-service offices located in Bloomington, Greenwood, Minneapolis, St. Louis Park, Orono, and St. Paul, Minnesota. The company was incorporated in 2005 and is headquartered in Saint Louis Park, Minnesota.

How the Company Makes Money

Bridgewater Bancshares generates revenue primarily through interest income derived from its loan portfolio, which includes commercial and residential loans. The company earns interest on loans issued to customers, with the interest rates determined by market conditions and the creditworthiness of borrowers. Additionally, Bridgewater Bank collects fees from various banking services, such as account maintenance, transaction fees, and treasury management services. The bank's revenue model is bolstered by its focus on relationship banking, which fosters long-term client relationships and encourages cross-selling of products. Furthermore, the company benefits from a diversified lending strategy and prudent risk management practices that contribute to stable earnings over time.

Bridgewater Bancshares Financial Statement Overview

Summary

Bridgewater Bancshares shows strong profitability with a healthy net profit margin of 14.95%, but faces challenges with a significant decline in revenue growth at -23.82%. The balance sheet is stable with a manageable debt-to-equity ratio, though increasing debt levels are a concern. Cash flow metrics are robust, indicating strong cash generation capabilities.

Income Statement

Bridgewater Bancshares has shown a mixed performance in its income statement. The TTM data indicates a significant decline in revenue growth rate at -23.82%, which is concerning. However, the company maintains a healthy net profit margin of 14.95% in the TTM, which suggests strong profitability despite revenue challenges. Historical data shows fluctuating but generally strong gross profit margins, although recent margins have decreased. The EBIT and EBITDA margins have also decreased in the TTM, indicating potential operational challenges.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.989 in the most recent annual report, which is manageable for a regional bank. The return on equity has slightly improved to 8.62% in the TTM, indicating efficient use of equity. The equity ratio remains stable, suggesting a balanced capital structure. However, the increase in total debt over the years could pose a risk if not managed carefully.

Cash Flow

Cash flow analysis shows a positive trajectory with a significant increase in free cash flow growth rate at 50.86% in the TTM. The operating cash flow to net income ratio is strong, indicating good cash generation relative to net income. The free cash flow to net income ratio is also healthy at 86.05%, suggesting effective cash management. However, historical fluctuations in free cash flow growth indicate potential volatility in cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	280.61M	251.44M	226.95M	169.34M	134.19M	120.67M
Gross Profit	125.69M	104.22M	109.94M	127.64M	109.67M	81.05M
EBITDA	57.48M	45.74M	55.66M	74.96M	64.13M	37.06M
Net Income	40.96M	32.83M	39.96M	53.39M	45.69M	27.19M
Balance Sheet
Total Assets	5.36B	5.07B	4.61B	4.35B	3.48B	2.93B
Cash, Cash Equivalents and Short-Term Investments	509.03M	619.83M	732.67M	636.84M	584.71M	554.16M
Total Debt	513.09M	452.92M	412.54M	476.65M	134.74M	142.24M
Total Liabilities	4.86B	4.61B	4.19B	3.95B	3.10B	2.66B
Stockholders Equity	497.46M	457.94M	425.51M	394.06M	379.27M	265.40M
Cash Flow
Free Cash Flow	48.69M	42.30M	27.05M	83.37M	53.46M	-1.67M
Operating Cash Flow	55.41M	46.38M	30.02M	85.00M	54.24M	23.02M
Investing Cash Flow	-467.59M	-95.24M	-209.18M	-938.24M	-571.42M	-530.33M
Financing Cash Flow	352.14M	150.06M	220.69M	796.81M	499.99M	636.05M

Bridgewater Bancshares Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 18.16
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BWB, the sentiment is Positive. The current price of 18.16 is above the 20-day moving average (MA) of 18.05, above the 50-day MA of 17.31, and above the 200-day MA of 15.90, indicating a bullish trend. The MACD of 0.40 indicates Positive momentum. The RSI at 54.13 is Neutral, neither overbought nor oversold. The STOCH value of 55.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BWB.

Bridgewater Bancshares Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NRIM	81 Outperform	$601.09M	9.86	21.92%	2.31%	36.60%	92.63%
ACNB	78 Outperform	$524.54M	15.17	9.18%	2.78%	41.95%	-4.72%
AROW	78 Outperform	$518.18M	15.28	8.49%	3.59%	6.86%	6.11%
BWB	74 Outperform	$500.11M	13.81	8.63%	―	13.96%	25.74%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
FFIC	60 Neutral	$582.34M	-14.36	-5.05%	5.16%	-11.91%	-235.73%
FFWM	48 Neutral	$511.40M	-3.15	-16.22%	―	-6.47%	-75.82%

Bridgewater Bancshares Corporate Events

Bridgewater Bancshares Unveils Strategic Investor Presentation

Bridgewater Bancshares, Inc. has released an investor presentation to be used by its executives in meetings with investors and analysts. The presentation outlines the company’s strategic focus on commercial real estate and multifamily lending, as well as its efficient operations and risk management practices. The company continues to demonstrate strong growth and profitability despite market disruptions, with plans for a branch closure and a new branch opening in the Twin Cities. This strategic move is expected to enhance its market presence and operational efficiency.

Bridgewater Bancshares Reports Strong Q3 Financial Results

On October 21, 2025, Bridgewater Bancshares announced its third-quarter financial results, highlighting a net income of $11.6 million, an increase from the previous quarter and the same period last year. The company reported robust growth in core deposits and loans, attributed to strategic market share gains and the successful integration of First Minnetonka City Bank. The quarterly cash dividend on its Series A Preferred Stock was declared, payable on December 1, 2025, to shareholders of record on November 14, 2025. The announcement underscores Bridgewater’s strong asset quality, tangible book value growth, and favorable outlook for continued profitability.