Bridgewater Bancshares (BWB) AI Stock Analysis

• Market Cap: $482.46M
• Dividend Yield: N/A
• Average Volume (3M): 91.80K
• Price to Earnings (P/E): 13.3
• Beta (1Y): 1.00
• 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: 71,251
• 30 Day Avg. Volume: 91,800
• 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: 1.96
• Enterprise Value/Revenue: 3.36
• Enterprise Value/Gross Profit: 7.51
• Enterprise Value/Ebitda: 16.42
• 1Y Price Target: $21.00
• Price Target Upside: 20.07% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: $18.00 ▲(2.92% Upside)

Bridgewater Bancshares demonstrates strong profitability and robust cash flow management, which are significant strengths. The earnings call further supports a positive outlook with strong deposit and loan growth. However, challenges such as declining revenue growth and increasing debt levels pose risks. Technical indicators suggest a cautious approach, and the valuation appears fair.

Positive Factors

Strong Deposit and Loan Growth

The robust growth in core deposits and loans indicates strong market share gains and enhances the company's ability to generate interest income, supporting long-term financial stability.

Cash Flow Management

Effective cash flow management with a significant increase in free cash flow ensures liquidity and financial flexibility, enabling strategic investments and debt management.

Asset Quality

Maintaining low levels of non-performing assets reflects prudent risk management and contributes to financial stability, reducing potential future credit losses.

Negative Factors

Declining Revenue Growth

A significant decline in revenue growth poses a challenge to sustaining profitability and may impact the company's ability to invest in growth opportunities.

Increasing Debt Levels

Rising debt levels, particularly at higher interest rates, can strain financial resources and limit flexibility, impacting long-term financial health.

Higher Non-Interest Expenses

Increased non-interest expenses reduce profitability and may require cost management strategies to maintain margins and operational efficiency.

Bridgewater Bancshares Business Overview & Revenue Model

Company Description

Bridgewater Bancshares, Inc. is a financial holding company headquartered in Minnesota, primarily engaged in providing a range of banking services through its wholly owned subsidiary, Bridgewater Bank. The company operates in the banking sector, focusing on commercial and retail banking services, including loans, deposits, and treasury management solutions. Its core products include commercial real estate loans, residential mortgages, and business loans, catering to both individual and business clients in its target markets.

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: 17.49
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

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 17.49 is above the 20-day moving average (MA) of 16.86, above the 50-day MA of 17.00, and above the 200-day MA of 15.61, indicating a bullish trend. The MACD of 0.16 indicates Negative momentum. The RSI at 58.67 is Neutral, neither overbought nor oversold. The STOCH value of 83.98 is Negative, 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
ACNB	77 Outperform	$479.73M	14.00	9.18%	2.86%	41.95%	-4.72%
NRIM	76 Outperform	$551.60M	8.89	21.92%	2.59%	36.60%	92.63%
AROW	74 Outperform	$494.92M	14.47	8.49%	3.78%	6.86%	6.11%
BWB	71 Outperform	$482.46M	13.30	8.63%	―	13.96%	25.74%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
FFIC	66 Neutral	$560.72M	―	-5.05%	5.57%	-11.91%	-235.73%
FFWM	44 Neutral	$430.88M	-2.67	-16.22%	―	-6.47%	-75.82%

Bridgewater Bancshares Corporate Events

Bridgewater Bancshares Reports Steady Growth Amid Challenges

The recent earnings call of Bridgewater Bancshares painted a picture of steady performance with promising growth prospects. The company reported strong deposit and loan growth, alongside increased net interest income, which were tempered by higher non-interest expenses and some credit challenges. Overall, the sentiment was positive, with a focus on future improvements.

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.

The most recent analyst rating on (BWB) stock is a Buy with a $20.00 price target. To see the full list of analyst forecasts on Bridgewater Bancshares stock, see the BWB Stock Forecast page.

Bridgewater Bancshares Highlights Strategic Focus in Presentation

Bridgewater Bancshares, Inc. has released an investor presentation detailing its strategic focus and operational strengths. The company emphasizes its branch-light model, efficient operations, and expertise in commercial real estate, particularly in multifamily and affordable housing lending. The presentation highlights the company’s track record of profitability and growth, as well as its commitment to risk management and maintaining high asset quality. These factors position Bridgewater Bancshares as a strong player in the financial services industry, with potential implications for stakeholders in terms of stability and growth prospects.

The most recent analyst rating on (BWB) stock is a Buy with a $17.50 price target. To see the full list of analyst forecasts on Bridgewater Bancshares stock, see the BWB Stock Forecast page.

Bridgewater Bancshares Announces Executive Retirements and Promotions

On August 19, 2025, Bridgewater Bancshares, Inc. announced the upcoming retirements of Mary Jayne Crocker, Executive Vice President and Chief Strategy Officer, and Jeffrey Shellberg, Executive Vice President and Chief Credit Officer. In preparation for these transitions, the company promoted Laura Espeseth, Katie Morrell, and Jessica Stejskal to key leadership roles effective September 15, 2025. Additionally, the Board appointed Mary Jayne Crocker as a director, effective February 16, 2026, after her retirement. These leadership changes are part of a strategic succession plan aimed at ensuring continued growth and leadership continuity within the organization.

The most recent analyst rating on (BWB) stock is a Buy with a $17.00 price target. To see the full list of analyst forecasts on Bridgewater Bancshares stock, see the BWB Stock Forecast page.