Finward Bancorp (FNWD) AI Stock Analysis

• Market Cap: $124.14M
• Dividend Yield: 1.67%
• Average Volume (3M): 5.95K
• Price to Earnings (P/E): 37.3
• Beta (1Y): 0.10
• Revenue Growth: -7.64%
• EPS Growth: -78.60%
• Country: US
• Employees: 293
• Sector: Financial
• Sector Strength: 74
• Industry: Banks - Regional
• EPS (TTM): 0.11
• Shares Outstanding: 4,325,589
• 10 Day Avg. Volume: 6,565
• 30 Day Avg. Volume: 5,947
• PEG Ratio: -0.62
• Price to Book (P/B): 1.11
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 10.26
• Enterprise Value/Market Cap: 1.93
• Enterprise Value/Revenue: 0.76
• Enterprise Value/Gross Profit: 3.04
• Enterprise Value/Ebitda: 5.20
• 1Y Price Target: $34.00
• Price Target Upside: 18.47% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 72 Outperform
• Price Target: ―

Finward Bancorp demonstrates solid financial health with revenue and profit growth, alongside strong technical indicators suggesting potential price appreciation. The stock is fairly valued with a reasonable dividend yield, making it an attractive investment in the banking sector. However, the absence of recent cash flow data introduces some uncertainty.

Finward Bancorp Business Overview & Revenue Model

Company Description

Finward Bancorp (FNWD) is a financial holding company that operates in the banking sector. It provides a range of financial services primarily through its wholly-owned subsidiary, Peoples Bank. The company offers personal and business banking products, including savings and checking accounts, loans, credit facilities, and wealth management services, catering to individual consumers, small businesses, and commercial clients.

How the Company Makes Money

Finward Bancorp makes money primarily through the interest income generated from its lending activities. The company extends various types of loans, such as residential mortgages, commercial loans, and consumer loans, and earns interest on these financial products. Additionally, Finward generates revenue through non-interest income, which includes fees from deposit accounts, transaction processing, wealth management services, and other banking-related fees. The company's earnings are further supported by strategic partnerships with financial service providers and its focus on maintaining a diversified loan portfolio to manage risk and enhance profitability.

Finward Bancorp Financial Statement Overview

Summary

Finward Bancorp shows strong financial performance with consistent revenue and profit growth, high profitability margins, and improved ROE. The elimination of debt strengthens its financial position, but the low equity ratio and absence of 2024 cash flow data are concerns.

Income Statement

Finward Bancorp has shown consistent revenue growth, with a notable increase of 9.64% from 2023 to 2024. The gross profit margin remains strong at 100% due to the nature of the banking industry. However, the net profit margin improved significantly to 16.95% in 2024 from 12.83% in 2023, indicating enhanced profitability. The EBIT margin also improved to 31.42% in 2024, reflecting better operational efficiency. The absence of EBITDA in the latest year indicates potential changes in financial reporting or operations.

Balance Sheet

The company's balance sheet shows a strong equity base with an equity ratio of 7.35% in 2024, though slightly decreased from the previous year. The elimination of total debt by 2024 significantly strengthens the balance sheet, reducing financial risk. Return on equity (ROE) improved to 8.01% in 2024, indicating better returns generated from shareholders' equity. However, the relatively low equity ratio suggests a higher reliance on liabilities, which could pose risks if not managed properly.

Cash Flow

Cash flow analysis shows volatility, with free cash flow unavailable in 2024, contrasting with positive free cash flow in previous years. The operating cash flow to net income ratio for 2023 was 2.62, indicating solid cash flow generation relative to profits. However, the absence of cash flow data for 2024 raises concerns about cash management and operational efficiency.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
76.06M	71.09M	65.30M	78.66M	64.52M	64.03M
	Gross Profit
78.83M	71.09M	63.28M	78.66M	64.52M	64.03M
	EBIT
47.07M	13.46M	22.16M	16.56M	16.38M	19.50M
	EBITDA
2.67M	0.00	15.21M	22.53M	20.94M	21.91M
	Net Income Common Stockholders
3.31M	12.13M	8.38M	15.08M	14.96M	15.93M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
348.69M	404.14M	457.38M	404.63M	560.07M	430.59M
	Total Assets
2.04B	2.06B	2.11B	2.07B	1.62B	1.50B
	Total Debt
0.00	0.00	118.12M	120.00M	14.58M	6.15M
	Net Debt
-18.56M	-4.93M	32.53M	88.72M	-19.84M	-15.67M
	Total Liabilities
1.89B	1.91B	1.96B	1.93B	1.46B	1.34B
	Stockholders Equity
151.81M	151.41M	147.34M	136.39M	156.62M	151.69M
Cash Flow		Free Cash Flow
3.66M	6.73M	20.79M	14.70M	13.91M	16.00M
	Operating Cash Flow
6.02M	9.80M	21.93M	17.73M	17.04M	19.74M
	Investing Cash Flow
23.43M	42.79M	17.30M	-1.13M	-125.93M	-185.06M
	Financing Cash Flow
-28.68M	-68.02M	15.49M	-18.49M	122.14M	137.99M

Finward Bancorp Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 28.70
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FNWD, the sentiment is Negative. The current price of 28.7 is below the 20-day moving average (MA) of 29.45, below the 50-day MA of 29.81, and below the 200-day MA of 29.23, indicating a bearish trend. The MACD of -0.33 indicates Positive momentum. The RSI at 32.39 is Neutral, neither overbought nor oversold. The STOCH value of 5.71 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FNWD.

Finward Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EBMT	74 Outperform	$127.87M	11.35	6.42%	3.54%	9.50%	27.04%
FNWD	72 Outperform	$124.14M	37.35	2.18%	1.67%	-7.64%	-78.60%
UNB	65 Neutral	$125.99M	14.29	13.21%	5.12%	13.23%	-17.70%
Sector *	64 Neutral	$12.87B	9.76	7.85%	78.04%	12.07%	-7.94%
RMBI	60 Neutral	$142.06M	15.49	6.82%	4.39%	13.55%	3.11%
CZWI	54 Neutral	$137.55M	10.88	7.29%	2.61%	-1.01%	-1.81%

Finward Bancorp Corporate Events

Finward Bancorp Announces Board Changes Post-2025 Meeting

On March 21, 2025, James L. Wieser announced his retirement from the Board of Directors of Finward Bancorp and Peoples Bank, effective after the 2025 Annual Meeting of Shareholders. His departure is not due to any disagreements with the company. Concurrently, the Board decided to reassign Jennifer R. Evans from a Class II to a Class III director to balance the board’s composition, with her service considered uninterrupted. Following Wieser’s retirement, the board size will be reduced from 11 to 10 members, and the vacant Class II directorship will be eliminated.