Commercial Bancgroup, Inc. (CBK) AI Stock Analysis

• Market Cap: N/A
• Dividend Yield: N/A
• Average Volume (3M): 118.91K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.29
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 282
• Sector: Financial
• Sector Strength: 70
• Industry: Banks
• EPS (TTM): N/A
• Shares Outstanding: 12,239,644
• 10 Day Avg. Volume: 65,799
• 30 Day Avg. Volume: 118,907
• PEG Ratio: 3.91
• Price to Book (P/B): 1.33
• Price to Sales (P/S): 2.19
• P/FCF Ratio: 8.20
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 66 Neutral
• Price Target: $27.00 ▲(6.93% Upside)

Commercial Bancgroup, Inc. scores well due to strong financial performance, particularly in revenue growth and improved leverage. However, technical indicators suggest neutral momentum, and the lack of valuation data limits the assessment of its market attractiveness. The absence of earnings call insights and corporate events further constrains the overall score.

Positive Factors

Revenue Growth

Strong revenue growth indicates successful business expansion and increased market demand for CBK's financial services, supporting long-term stability.

Improved Leverage

Reduced leverage enhances financial flexibility and reduces risk, allowing CBK to better navigate economic fluctuations and invest in growth opportunities.

Efficient Cash Generation

Efficient cash generation supports operational stability and provides resources for reinvestment, dividends, or debt reduction, strengthening CBK's financial foundation.

Negative Factors

Margin Compression

Decreasing margins suggest rising costs or pricing pressures, which could impact profitability and limit CBK's ability to reinvest in growth or enhance shareholder returns.

Profitability Decline

A decline in return on equity indicates reduced profitability efficiency, potentially affecting investor confidence and the company's ability to attract capital.

Cash Flow Conversion Issues

Challenges in converting income into cash flow may hinder CBK's operational liquidity, affecting its capacity to fund operations and strategic initiatives.

Commercial Bancgroup, Inc. Business Overview & Revenue Model

Company Description

Commercial Bancgroup, Inc. operates as the bank holding company for Commercial Bank that provides a range of banking and financial services to individual and corporate customers in Kentucky, North Carolina, and Tennessee. It accepts various deposit products, including demand deposits accounts, interest-bearing products, savings accounts, and certificates of deposit products. The company also offers real estate, commercial, and consumer loans. The company was formerly known as Harrogate Corporation and changed its name to Commercial Bancgroup, Inc. in April 1989. The company was incorporated in 1975 and is based in Harrogate, Tennessee.

How the Company Makes Money

Commercial Bancgroup, Inc. generates revenue through various key streams, primarily from interest income on loans, which includes personal, commercial, and mortgage loans extended to customers. Additionally, the company earns fees from its wealth management and treasury management services, which include investment advisory, asset management, and cash management solutions for businesses. The bank also benefits from service charges on deposit accounts and transaction fees. Strategic partnerships with financial technology firms enhance its service offerings and expand its customer base, contributing further to its earnings. Additionally, CBK may derive income from investment securities and other financial products, thus diversifying its revenue sources.

Commercial Bancgroup, Inc. Financial Statement Overview

Summary

Commercial Bancgroup, Inc. exhibits robust revenue growth and improved leverage, but faces challenges with margin compression and cash flow conversion. The company's financial health is stable, with a strong equity base and efficient cash generation, though profitability metrics show room for improvement.

Income Statement

Commercial Bancgroup, Inc. demonstrated solid revenue growth with a 18.8% increase from the previous year. However, there was a slight decline in gross profit margin from 69.87% to 64.41%, and net profit margin decreased from 27.35% to 23.56%. EBIT and EBITDA margins also saw reductions, indicating potential cost pressures or operational inefficiencies. Overall, the income statement reflects strong revenue growth but with some margin compression.

Balance Sheet

The company improved its debt-to-equity ratio from 0.78 to 0.50, indicating a stronger equity position and reduced leverage. Return on equity decreased slightly from 16.12% to 14.26%, suggesting a minor decline in profitability relative to equity. The equity ratio remains healthy, reflecting a stable financial position with adequate equity backing.

Cash Flow

Operating cash flow remained stable, but free cash flow showed a slight decrease. The free cash flow to net income ratio is strong at 92.14%, indicating efficient cash generation relative to net income. However, the operating cash flow to net income ratio is low, suggesting potential issues in converting income into cash flow.

Breakdown	TTM	Dec 2024	Dec 2023
Income Statement
Total Revenue	132.90M	133.33M	112.20M
Gross Profit	89.30M	85.87M	78.39M
EBITDA	46.73M	45.17M	43.23M
Net Income	32.67M	31.41M	30.69M
Balance Sheet
Total Assets	2.21B	2.30B	2.20B
Cash, Cash Equivalents and Short-Term Investments	196.09M	234.28M	197.12M
Total Debt	157.20M	109.16M	149.26M
Total Liabilities	1.97B	2.08B	2.00B
Stockholders Equity	245.15M	220.26M	190.38M
Cash Flow
Free Cash Flow	36.19M	35.63M	35.72M
Operating Cash Flow	38.21M	38.68M	38.89M
Investing Cash Flow	3.39M	-84.93M	-127.96M
Financing Cash Flow	-67.13M	68.51M	183.10M

Commercial Bancgroup, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ACNB	78 Outperform	$548.84M	16.13	9.18%	2.61%	41.95%	-4.72%
BKU	74 Outperform	$3.43B	12.89	9.04%	2.68%	-5.44%	45.47%
ASB	74 Outperform	$4.37B	28.41	3.78%	3.50%	-1.44%	-21.65%
BFH	72 Outperform	$3.49B	7.77	14.81%	1.11%	-4.32%	58.34%
BOH	71 Outperform	$2.81B	17.29	10.65%	3.96%	3.40%	23.04%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
CBK	66 Neutral	―	―	―	―	―	―