Capitol Federal Financial (CFFN) AI Stock Analysis

• Market Cap: $997.62M
• Dividend Yield: 4.73%
• Average Volume (3M): 912.57K
• Price to Earnings (P/E): 13.4
• Beta (1Y): 0.75
• Revenue Growth: 6.27%
• EPS Growth: 79.25%
• Country: US
• Employees: 583
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.16
• Shares Outstanding: 131,438,310
• 10 Day Avg. Volume: 1,314,560
• 30 Day Avg. Volume: 912,571
• PEG Ratio: 0.15
• Price to Book (P/B): 0.79
• Price to Sales (P/S): 1.98
• P/FCF Ratio: 16.57
• Enterprise Value/Market Cap: 2.60
• Enterprise Value/Revenue: 6.22
• Enterprise Value/Gross Profit: 13.14
• Enterprise Value/Ebitda: 28.60
• 1Y Price Target: $7.50
• Price Target Upside: -1.19% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: $8.00 ▲(5.40% Upside)

The score is driven primarily by solid financial performance—especially strong cash flow and healthy margins—supported by constructive technical momentum (price above key moving averages). Valuation and dividend yield are favorable, while higher leverage remains the key risk. Positive corporate updates around improved quarterly metrics and continued capital returns modestly reinforce the outlook.

Positive Factors

Cash Flow Management

Efficient cash generation relative to profits indicates strong operational efficiency and the ability to fund growth and shareholder returns.

Shareholder Returns

The special dividend and share buyback program highlight the company's commitment to returning value to shareholders, enhancing investor confidence.

Profitability Metrics

A strong net profit margin reflects efficient operations and the ability to maintain profitability, supporting long-term financial health.

Negative Factors

High Debt Levels

Significant leverage can pose risks to financial stability, potentially limiting flexibility and increasing vulnerability to interest rate changes.

Modest Revenue Growth

Modest revenue growth suggests limited expansion potential, which could impact long-term competitiveness and market position.

Operating Cash Flow

A low operating cash flow to net income ratio indicates potential challenges in converting earnings into cash, affecting liquidity and operational flexibility.

Capitol Federal Financial Business Overview & Revenue Model

Company Description

Capitol Federal Financial, Inc. operates as the holding company for Capitol Federal Savings Bank that provides various retail banking products and services in the United States. The company accepts a range of deposit products, including savings accounts, money market deposit accounts, interest-bearing and non-interest-bearing checking accounts, and certificates of deposit. It also provides various loan products, such as one- to four-family residential real estate loans, commercial real estate, commercial and industrial, and construction loans, as well as consumer loans, which include home equity, loans and lines of credit, home improvement loans, vehicle loans, and loans secured by saving deposits. In addition, the company offers mobile, telephone, and online banking services, as well as bill payment services; operates a call center; and invests in various securities. It operates a network of 54 branches, including 45 traditional branches and nine in-store branches located in nine counties throughout Kansas and two counties in Missouri. The company serves the metropolitan areas of Topeka, Wichita, Lawrence, Manhattan, Emporia, and Salina, Kansas, and a portion of the metropolitan area of greater Kansas City. Capitol Federal Financial, Inc. was founded in 1893 and is headquartered in Topeka, Kansas.

How the Company Makes Money

Capitol Federal Financial generates revenue primarily through interest income from its loan portfolio, which consists mainly of mortgage loans, commercial loans, and consumer loans. The interest earned on these loans is a significant source of revenue for the company. Additionally, CFFN earns income from fees associated with its banking services, such as account maintenance fees, transaction fees, and service charges. The company also benefits from net interest margin, which is the difference between the interest it earns on loans and the interest it pays on deposits. Furthermore, CFFN may engage in investment activities, contributing to its overall earnings. Partnerships with local businesses and community organizations can enhance its market presence and customer base, further driving its revenue streams.

Capitol Federal Financial Financial Statement Overview

Summary

Overall fundamentals are solid, led by strong cash flow (free cash flow growth of 98.56% TTM and free cash flow to net income of 90.55%) and healthy profitability (net margin 16.50%). The main offset is balance-sheet risk from higher leverage (debt-to-equity of 1.86) and only modest revenue growth (1.98% TTM).

Income Statement

Capitol Federal Financial shows a stable revenue growth rate of 1.98% TTM, indicating consistent performance. The gross profit margin is healthy at 34.94%, and the net profit margin is solid at 16.50%. EBIT and EBITDA margins are also strong, reflecting efficient operations. However, the growth rate is modest, and there is room for improvement in revenue expansion.

Balance Sheet

The company has a high debt-to-equity ratio of 1.86, which suggests significant leverage. Return on equity is moderate at 6.54%, indicating decent profitability relative to shareholder equity. The equity ratio is not explicitly provided, but the balance sheet shows a stable asset base. The high leverage poses a potential risk if not managed carefully.

Cash Flow

Capitol Federal Financial demonstrates strong cash flow management with a significant free cash flow growth rate of 98.56% TTM. The operating cash flow to net income ratio is low at 1.76%, but the free cash flow to net income ratio is robust at 90.55%, indicating efficient cash generation relative to profits. Overall, cash flow metrics are a strong point for the company.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	417.40M	379.37M	185.64M	299.57M	278.75M
Gross Profit	197.45M	163.33M	-27.71M	217.26M	204.08M
EBITDA	90.74M	62.81M	-128.85M	117.94M	106.98M
Net Income	68.03M	38.01M	-101.66M	84.45M	76.08M
Balance Sheet
Total Assets	9.78B	9.53B	10.18B	9.62B	9.63B
Cash, Cash Equivalents and Short-Term Investments	248.70M	1.07B	1.63B	1.61B	2.06B
Total Debt	1.97B	2.18B	2.38B	2.13B	1.58B
Total Liabilities	8.73B	8.50B	9.13B	8.53B	8.39B
Stockholders Equity	1.05B	1.03B	1.04B	1.10B	1.24B
Cash Flow
Free Cash Flow	49.84M	24.00M	41.25M	91.74M	65.06M
Operating Cash Flow	55.04M	31.18M	47.53M	97.30M	74.47M
Investing Cash Flow	-206.59M	629.11M	-329.10M	-167.58M	-326.67M
Financing Cash Flow	186.68M	-688.59M	477.98M	49.18M	82.78M

Capitol Federal Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.59
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CFFN, the sentiment is Positive. The current price of 7.59 is above the 20-day moving average (MA) of 6.95, above the 50-day MA of 6.87, and above the 200-day MA of 6.17, indicating a bullish trend. The MACD of 0.19 indicates Negative momentum. The RSI at 72.19 is Negative, neither overbought nor oversold. The STOCH value of 85.19 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CFFN.

Capitol Federal Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CPF	79 Outperform	$907.04M	11.78	11.65%	3.39%	1.22%	15.97%
AMAL	79 Outperform	$1.21B	11.84	13.88%	1.70%	4.33%	-2.20%
HFWA	76 Outperform	$920.57M	13.53	6.43%	3.91%	8.27%	54.96%
CFFN	74 Outperform	$997.62M	13.43	6.53%	4.73%	6.27%	79.25%
AMTB	69 Neutral	$938.79M	17.74	7.21%	1.79%	15.37%	―
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
HBNC	57 Neutral	$931.65M	-5.77	-26.60%	3.50%	-78.64%	-913.67%

Capitol Federal Financial Corporate Events

Capitol Federal Financial Holders Back Leadership and Incentive Plan

At its Annual Meeting of Stockholders held on January 27, 2026, Capitol Federal Financial, Inc. stockholders elected Michel’ Philipp Cole and Jeffrey M. Johnson to three-year terms as directors, while the terms of several incumbent directors continued. Investors also approved, on an advisory basis, the compensation of the company’s named executive officers and ratified the appointment of KPMG LLP as independent auditors for the fiscal year ending September 30, 2026, and they adopted the 2026 Omnibus Incentive Plan, signaling support for the company’s current leadership, governance framework, and long-term incentive structure.

The most recent analyst rating on (CFFN) stock is a Buy with a $7.50 price target. To see the full list of analyst forecasts on Capitol Federal Financial stock, see the CFFN Stock Forecast page.

Capitol Federal Financial Reports Strong Quarterly Commercial Banking Growth

Capitol Federal Financial, Inc. reported preliminary results for the quarter ended December 31, 2025, showing total assets of $9.78 billion, stockholders’ equity of $1.04 billion and net income of $20.3 million, up from $18.8 million in the prior quarter, with earnings per share of $0.16. The bank improved its net interest margin to 2.19%, enhanced efficiency and operating expense ratios, and continued returning capital through dividends and the repurchase of roughly 2.38 million shares, even as equity declined due to these capital actions. The quarter underscored the company’s ongoing pivot toward full-service commercial banking, with commercial loans growing $162.6 million to $2.28 billion and commercial deposits rising $19.5 million to $527.7 million, as management redeployed funds from correspondent loan repayments and leveraged new treasury management, digital banking tools and relationship-driven commercial banking to deepen customer relationships. The bank is also building out private banking and wealth management for high-net-worth clients, and planning additional digital and treasury-management capabilities in 2026, moves aimed at diversifying funding sources, increasing noninterest income and supporting long-term shareholder value while maintaining disciplined credit and capital management.

The most recent analyst rating on (CFFN) stock is a Buy with a $8.00 price target. To see the full list of analyst forecasts on Capitol Federal Financial stock, see the CFFN Stock Forecast page.

Capitol Federal to Webcast Annual Stockholder Meeting Presentation

On January 23, 2026, Capitol Federal Financial, Inc. announced that the presentation for its Annual Meeting of Stockholders would be made available on the company’s website at 10:00 a.m. Central Time on January 27, 2026, signaling an emphasis on accessible, web-based communication with shareholders regarding its governance and performance updates.

The most recent analyst rating on (CFFN) stock is a Buy with a $8.00 price target. To see the full list of analyst forecasts on Capitol Federal Financial stock, see the CFFN Stock Forecast page.

Capitol Federal Financial Announces Special Cash Dividend

Capitol Federal Financial, a financial institution specializing in banking and related services, announced a special cash dividend and an update on its stock buyback program. The special dividend of $0.04 per share will be distributed on January 23, 2026, to stockholders of record as of January 9, 2026, highlighting returns to shareholders and strengthening investor relations in the banking sector.

The most recent analyst rating on (CFFN) stock is a Buy with a $7.50 price target. To see the full list of analyst forecasts on Capitol Federal Financial stock, see the CFFN Stock Forecast page.