Chemung Financial (CHMG) AI Stock Analysis

• Market Cap: $296.10M
• Dividend Yield: 2.4%
• Average Volume (3M): 8.71K
• Price to Earnings (P/E): 19.6
• Beta (1Y): 0.33
• Revenue Growth: -6.25%
• EPS Growth: -38.79%
• Country: US
• Employees: 343
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 1.61
• Shares Outstanding: 4,794,349
• 10 Day Avg. Volume: 6,565
• 30 Day Avg. Volume: 8,708
• PEG Ratio: -1.62
• Price to Book (P/B): 1.08
• Price to Sales (P/S): 1.56
• P/FCF Ratio: 8.89
• Enterprise Value/Market Cap: 0.93
• Enterprise Value/Revenue: 2.00
• Enterprise Value/Gross Profit: 3.22
• Enterprise Value/Ebitda: 14.48
• 1Y Price Target: $64.00
• Price Target Upside: 3.63% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: $67.00 ▲(8.48% Upside)

The score is primarily supported by solid financial performance (strong cash flow and improved leverage) and constructive technical momentum (price above key moving averages with positive MACD). The main constraint is a only-average valuation for a regional bank (P/E ~19.3 with a modest ~2.17% dividend yield).

Positive Factors

Cash generation

Sustained free cash flow growth and strong operating cash conversion provide durable internal funding for lending, investments, and dividends. This reduces reliance on volatile wholesale funding and supports capital allocation through economic cycles, enhancing financial resilience.

Leverage improvement

Meaningful improvement in leverage management strengthens the balance sheet, lowering financial risk and increasing capacity to absorb losses. Better leverage supports future loan growth and capital returns while improving regulatory and creditor confidence over the medium term.

Balance-sheet repositioning

Structural shift from low-yield securities to loans and issuance of subordinated debt improves earning asset mix, widens NIM potential, and bolsters regulatory capital. These durable changes should lift recurring net interest income and support sustainable earnings growth.

Negative Factors

Margin pressure

Ongoing compression in gross, EBIT and EBITDA margins reduces operating leverage and long-term profitability. Persistent margin erosion limits reinvestment capacity and ROE recovery, making it harder to sustain dividends or fund growth without structural revenue improvements.

Earnings deterioration

Material declines in revenue and EPS signal underlying earnings stress that could persist if cost or yield pressures remain. Weak top-line and per-share earnings constrain internal capital generation and could limit strategic investments and shareholder returns over the medium term.

Regional concentration

High geographic concentration in New York markets exposes the bank to localized economic cycles and credit risk. Limited geographic diversification can cap growth potential and amplify downside in regional downturns, making multi-region expansion crucial for durable risk reduction.

Chemung Financial Business Overview & Revenue Model

Company Description

Chemung Financial Corporation operates as the holding company for Chemung Canal Trust Company that provides a range of banking, financing, fiduciary, and other financial services. The company provides demand, savings, and time deposits; non-interest and interest-bearing checking accounts; and insured money market accounts. It also offers commercial and agricultural loans comprising loans to small to mid-sized businesses; commercial mortgage loans; residential mortgage loans; consumer loans, including home equity lines of credit and home equity term loans; and interest rate swaps, letters of credit, wealth management, employee benefit plans, mutual fund, insurance products, and brokerage services. Further, it provides securities, insurance, and tax preparation services. Additionally, it offers guardian, custodian, and trustee services, as well as acts as an agent for pension, profit-sharing, and other employee benefit trusts; and various investment, pension, estate planning, and employee benefit administrative services. The company operates 31 branch offices located in 13 counties in New York and Bradford County in Pennsylvania. Chemung Financial Corporation was founded in 1833 and is headquartered in Elmira, New York.

How the Company Makes Money

Chemung Financial generates revenue primarily through interest income from loans and mortgages, as well as fees from various banking services. The key revenue streams include interest earned on commercial and consumer loans, mortgage origination fees, and income from investment services such as asset management and financial planning. Additionally, the company earns non-interest income through service charges on deposit accounts, transaction fees, and investment advisory fees. Partnerships with local businesses and community organizations also contribute to its growth by enhancing customer engagement and expanding its service offerings.

Chemung Financial Financial Statement Overview

Summary

Solid overall fundamentals driven by strong cash generation (free cash flow improved; strong operating cash flow vs. net income) and improving leverage (better debt-to-equity). Offsetting factors are profitability pressure and reduced efficiency, with declines in gross, EBIT, and EBITDA margins and lower ROE.

Income Statement

Chemung Financial has shown consistent revenue growth over the years, with a notable increase in the TTM period. The gross profit margin has decreased from previous years, indicating potential cost pressures. However, the net profit margin remains healthy, albeit lower than historical levels. The EBIT and EBITDA margins have also seen a decline, suggesting reduced operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has improved significantly in the TTM period, indicating better leverage management. Return on equity has decreased, reflecting lower profitability relative to equity. The equity ratio remains stable, showcasing a solid capital structure.

Cash Flow

Chemung Financial's free cash flow has grown in the TTM period, reversing the previous year's decline. The operating cash flow to net income ratio is strong, indicating efficient cash generation relative to earnings. The free cash flow to net income ratio remains robust, highlighting effective cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	137.33M	149.61M	136.58M	101.91M	91.84M	86.86M
Gross Profit	85.40M	96.15M	94.70M	95.17M	88.41M	78.63M
EBITDA	19.00M	32.10M	34.30M	39.91M	37.26M	28.13M
Net Income	13.28M	23.67M	25.00M	28.78M	26.43M	19.26M
Balance Sheet
Total Assets	2.70B	2.78B	2.71B	2.65B	2.42B	2.28B
Cash, Cash Equivalents and Short-Term Investments	361.26M	468.77M	620.84M	688.46M	819.01M	663.15M
Total Debt	52.66M	118.52M	40.80M	105.76M	25.54M	11.11M
Total Liabilities	2.45B	2.56B	2.52B	2.48B	2.21B	2.08B
Stockholders Equity	245.31M	215.31M	195.24M	166.39M	211.46M	199.70M
Cash Flow
Free Cash Flow	32.39M	26.19M	30.42M	34.62M	35.09M	27.79M
Operating Cash Flow	35.40M	29.82M	30.88M	35.05M	35.46M	28.66M
Investing Cash Flow	96.65M	-57.72M	-82.38M	-252.62M	-242.48M	-495.85M
Financing Cash Flow	-104.84M	38.10M	32.48M	246.46M	125.47M	453.82M

Chemung Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 61.76
• 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 CHMG, the sentiment is Positive. The current price of 61.76 is above the 20-day moving average (MA) of 56.62, above the 50-day MA of 55.49, and above the 200-day MA of 50.94, indicating a bullish trend. The MACD of 1.45 indicates Negative momentum. The RSI at 68.14 is Neutral, neither overbought nor oversold. The STOCH value of 92.15 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CHMG.

Chemung Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TSBK	79 Outperform	$308.30M	10.16	11.48%	2.91%	8.17%	21.95%
PKBK	76 Outperform	$327.69M	8.94	11.15%	2.84%	12.91%	21.72%
CHMG	72 Outperform	$296.10M	19.64	5.69%	2.40%	-6.25%	-38.79%
FDBC	72 Outperform	$268.18M	9.57	11.95%	3.61%	17.97%	68.34%
ISBA	68 Neutral	$364.77M	20.23	8.27%	2.13%	7.29%	33.75%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
FRST	58 Neutral	$347.49M	5.66	2.25%	3.06%	9.90%	―

Chemung Financial Corporate Events

Chemung Financial outlines strategy ahead of Q1 2026 meetings

Chemung Financial Corporation detailed to investors its strategy and recent performance as it prepared for first-quarter 2026 meetings with institutional investors, highlighting a revitalized balance sheet, strong credit metrics and expansion plans in higher-growth New York markets. For 2025, the community bank reported net income of $15.1 million, non-GAAP net income of $27.9 million, annual loan growth of 9.6% driven by 14.3% commercial loan growth, and steady asset quality, while quarterly net interest margin widened to 3.61% and returns on assets and equity improved, supported by a June 2025 balance sheet restructuring that replaced roughly $245 million of low-yield securities with higher-yielding loans and reduced wholesale funding, alongside a $45 million subordinated debt issuance to bolster capital ratios and underpin future earnings and dividend growth.

The most recent analyst rating on (CHMG) stock is a Buy with a $67.00 price target. To see the full list of analyst forecasts on Chemung Financial stock, see the CHMG Stock Forecast page.

Chemung Financial Declares Quarterly Cash Dividend

On November 18, 2025, Chemung Financial Corporation announced a quarterly cash dividend of $0.34 per share, to be paid on January 2, 2026, to shareholders of record as of December 19, 2025. This announcement reflects the company’s ongoing commitment to returning value to its shareholders and may positively influence its market positioning and stakeholder confidence.

The most recent analyst rating on (CHMG) stock is a Hold with a $54.00 price target. To see the full list of analyst forecasts on Chemung Financial stock, see the CHMG Stock Forecast page.

Chemung Financial Plans Strategic Investor Engagement

During the fourth quarter of 2025, Chemung Financial Corporation’s management plans to engage with institutional investors to discuss strategic initiatives and recent performance. The company has demonstrated robust financial health with a 6.3% increase in quarterly dividends and significant loan growth. The restructuring of its balance sheet, including the sale of low-yielding securities and the raising of subordinated debt, aims to enhance profitability and strengthen capital ratios. This strategic move is expected to improve the company’s earnings and market positioning, particularly in high-growth areas like Albany and Buffalo.

The most recent analyst rating on (CHMG) stock is a Hold with a $55.00 price target. To see the full list of analyst forecasts on Chemung Financial stock, see the CHMG Stock Forecast page.