Coastal Financial (CCB) AI Stock Analysis

• Market Cap: $1.33B
• Dividend Yield: N/A
• Average Volume (3M): 89.34K
• Price to Earnings (P/E): 25.6
• Beta (1Y): 0.86
• Revenue Growth: 16.62%
• EPS Growth: 18.72%
• Country: US
• Employees: 488
• Sector: Financial
• Sector Strength: 77
• Industry: Banks - Regional
• EPS (TTM): 0.63
• Shares Outstanding: 15,026,272
• 10 Day Avg. Volume: 83,179
• 30 Day Avg. Volume: 89,343
• PEG Ratio: 0.38
• Price to Book (P/B): 2.53
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 9.58
• Enterprise Value/Market Cap: 0.25
• Enterprise Value/Revenue: 0.18
• Enterprise Value/Gross Profit: 0.81
• Enterprise Value/Ebitda: 1.58
• 1Y Price Target: $105.00
• Price Target Upside: 21.28% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 71 Outperform
• Price Target: $96.00 ▲(10.88%Upside)

Coastal Financial's strong financial performance, particularly in revenue growth and balance sheet stability, is a key strength. However, recent profitability and cash flow issues, along with a high valuation, temper enthusiasm. Technical indicators show moderate bullish momentum but warrant cautious optimism.

Coastal Financial Business Overview & Revenue Model

Company Description

Coastal Financial Corporation (CCB) is a publicly traded financial holding company based in the United States. It primarily operates through its wholly-owned subsidiary, Coastal Community Bank, which provides a broad range of banking services to individuals, businesses, and commercial clients. The bank's core offerings include personal and business banking solutions such as savings and checking accounts, loans, credit facilities, and online banking services. Coastal Financial is committed to delivering personalized customer service and leveraging technology to enhance its banking solutions.

How the Company Makes Money

Coastal Financial Corporation generates revenue primarily through the interest income from its loan portfolio, including personal, commercial, and real estate loans. Additionally, the company earns money from service charges and fees associated with various banking activities such as account maintenance, overdrafts, and transaction processing. Another significant revenue stream comes from the interest earned on investment securities held by the bank. Coastal Financial also benefits from strategic partnerships and collaborations with financial technology firms, enhancing its product offerings and expanding its customer base, contributing to its earnings growth.

Coastal Financial Financial Statement Overview

Summary

Coastal Financial demonstrates strong revenue growth and operational efficiency, but recent profitability and free cash flow issues need attention. The balance sheet remains robust with low leverage, positioning the company well for future growth if cash flow challenges are resolved.

Income Statement

Coastal Financial showed strong revenue growth with a notable increase from 2023 to 2024. The EBIT margin remained high, indicating efficient operations. However, the absence of net income in 2024 raises concerns about profitability stability.

Balance Sheet

The balance sheet reflects a solid equity position with a relatively low debt-to-equity ratio, indicating financial stability. The equity ratio is healthy, but the net income dip in 2024 could impact future ROE.

Cash Flow

Free cash flow turned negative in 2024, suggesting challenges in cash generation. However, previous years showed strong operating cash flow, which could stabilize if net income issues are addressed.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
560.44M	576.61M	330.37M	213.59M	101.81M	65.57M
	Gross Profit
400.60M	396.78M	330.37M	213.59M	101.81M	65.57M
	EBIT
150.65M	57.32M	57.13M	71.02M	34.38M	19.14M
	EBITDA
75.35M	61.87M	59.46M	0.00	35.96M	20.50M
	Net Income Common Stockholders
48.15M	45.22M	44.58M	40.63M	27.00M	15.15M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
43.50M	452.55M	582.63M	439.46M	848.49M	183.52M
	Total Assets
4.34B	4.12B	3.75B	3.14B	2.64B	1.77B
	Total Debt
53.22M	53.28M	53.86M	52.82M	59.19M	199.62M
	Net Debt
-571.09M	-399.23M	-429.27M	-289.32M	-753.97M	36.50M
	Total Liabilities
3.89B	3.68B	3.46B	2.90B	2.43B	1.63B
	Stockholders Equity
449.92M	438.70M	294.98M	243.49M	201.22M	140.22M
Cash Flow		Free Cash Flow
258.68M	249.89M	190.27M	64.26M	27.25M	13.96M
	Operating Cash Flow
269.57M	259.79M	196.51M	67.10M	29.85M	19.33M
	Investing Cash Flow
-580.50M	-608.57M	-598.99M	-987.95M	-894.15M	-666.54M
	Financing Cash Flow
420.10M	318.17M	543.46M	449.83M	859.84M	622.26M

Coastal Financial Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 86.58
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CCB, the sentiment is Neutral. The current price of 86.58 is below the 20-day moving average (MA) of 87.86, above the 50-day MA of 85.23, and above the 200-day MA of 76.76, indicating a neutral trend. The MACD of 0.70 indicates Positive momentum. The RSI at 48.87 is Neutral, neither overbought nor oversold. The STOCH value of 50.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CCB.

Coastal Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VBTX	72 Outperform	$1.36B	12.00	7.07%	3.52%	1.52%	19.00%
CCB	71 Outperform	$1.33B	25.59	12.78%	―	16.62%	18.72%
WABC	71 Outperform	$1.27B	9.71	15.54%	3.79%	-7.38%	-15.58%
HOPE	71 Outperform	$1.34B	12.94	4.44%	5.36%	-11.94%	-21.67%
TCBK	68 Neutral	$1.34B	11.93	9.38%	3.23%	3.01%	4.55%
Sector *	65 Neutral	$12.93B	9.81	7.84%	78.03%	12.20%	-7.74%
TFIN	57 Neutral	$1.41B	161.08	1.35%	―	2.37%	-72.01%

Coastal Financial Corporate Events

Coastal Financial Shareholders Approve Bylaw Amendments

On May 28, 2025, Coastal Financial Corporation’s shareholders approved significant amendments to the company’s bylaws during the annual meeting. These changes included removing the age restriction for board members and allowing the board to alter bylaws affecting director qualifications and terms. Additionally, the board introduced more detailed requirements for shareholder proposals and director nominations, effective immediately, enhancing transparency and governance.

The most recent analyst rating on (CCB) stock is a Buy with a $73.00 price target. To see the full list of analyst forecasts on Coastal Financial stock, see the CCB Stock Forecast page.

Coastal Financial Holds 2025 Annual Shareholder Meeting

Coastal Financial Corporation held its 2025 annual meeting of shareholders on May 28, 2025, with 83% of voting power present. Key outcomes included the election of directors, approval of executive compensation, an amendment to the 2018 Omnibus Incentive Plan, updated bylaws, and the ratification of Moss Adams LLP as the accounting firm for 2025.

The most recent analyst rating on (CCB) stock is a Buy with a $73.00 price target. To see the full list of analyst forecasts on Coastal Financial stock, see the CCB Stock Forecast page.

Coastal Financial Announces CFO Joel Edwards’ Retirement

On May 7, 2025, Coastal Financial Corporation announced the upcoming retirement of Joel G. Edwards, their Executive Vice President and Chief Financial Officer. Edwards will retire upon the appointment of a new CFO or by October 1, 2025, whichever comes first. His departure is amicable, and he is recognized for his contributions to the company’s strong financial position. To ensure a smooth transition, Edwards will continue full-time until October 1, 2025, and part-time until April 1, 2026, under a Retirement and Retention Agreement. This agreement includes provisions for salary, bonuses, and stock options, with severance benefits if his employment is terminated without cause during the retention period.

Coastal Financial Reports Q1 2025 Financial Results

Coastal Financial Corporation released its first quarter 2025 financial results, highlighting a 5.7% increase in total deposits to $3.79 billion and a 5.4% growth in core net revenue from the previous quarter. Despite a 4.7% decrease in overall revenue due to lower credit enhancement revenue and interest income, the company maintained a strong focus on expanding its CCBX loan segment and launched new deposit products with major partners. The financial performance was impacted by elevated expenses related to new partnerships and technology investments, resulting in a diluted EPS of $0.63, down from the previous quarter but up 26.6% from the same quarter last year.