Hanmi Financial (HAFC) AI Stock Analysis

• Market Cap: $844.44M
• Dividend Yield: 3.82%
• Average Volume (3M): 167.75K
• Price to Earnings (P/E): 11.8
• Beta (1Y): 0.81
• Revenue Growth: 3.34%
• EPS Growth: 15.52%
• Country: US
• Employees: 597
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.73
• Shares Outstanding: 29,955,307
• 10 Day Avg. Volume: 140,460
• 30 Day Avg. Volume: 167,752
• PEG Ratio: -0.54
• Price to Book (P/B): 0.97
• Price to Sales (P/S): 1.65
• P/FCF Ratio: 13.82
• Enterprise Value/Market Cap: 0.89
• Enterprise Value/Revenue: 1.71
• Enterprise Value/Gross Profit: 3.05
• Enterprise Value/Ebitda: 7.01
• 1Y Price Target: $31.75
• Price Target Upside: 12.63% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 77 Outperform
• Price Target: $32.00 ▲(13.52% Upside)

Hanmi Financial's overall stock score is driven by strong financial performance and positive earnings call outcomes. The company's robust cash flow and strategic initiatives provide a solid foundation for future growth. Technical indicators suggest bullish momentum, though caution is advised due to potential overbought conditions. The stock's valuation is attractive with a fair P/E ratio and a solid dividend yield.

Positive Factors

Strong Loan Production Growth

The significant increase in loan production indicates robust demand and effective lending strategies, supporting long-term revenue growth and market expansion.

Improved Net Interest Margin

An improved net interest margin enhances profitability, reflecting efficient cost management and favorable lending conditions, which are crucial for sustainable earnings.

Successful Portfolio Diversification

Diversifying the loan portfolio reduces risk and enhances financial stability, positioning the company for long-term growth and competitive advantage.

Negative Factors

Decline in Revenue Growth

A decline in revenue growth could signal challenges in market penetration or product demand, potentially impacting future profitability and market position.

Declining Return on Equity

A declining ROE trend may indicate inefficiencies in using equity capital, which could affect investor confidence and long-term financial performance if not addressed.

Decrease in SBA Loan Production

A decrease in SBA loan production could limit growth opportunities in the small business segment, affecting diversification and revenue streams.

Hanmi Financial Business Overview & Revenue Model

Company Description

Hanmi Financial Corporation operates as the holding company for Hanmi Bank that provides business banking products and services in the United States. The company offers various deposit products, including noninterest-bearing checking accounts, interest-bearing checking and savings accounts, negotiable order of withdrawal accounts, money market accounts, and certificates of deposit. It also provides real estate loans, such as commercial property, construction, and residential property loans; and commercial and industrial loans, such as commercial term loans and commercial lines of credit, as well as international finance, and trade services and products comprising letters of credit, and import and export financing. In addition, the company offers consumer loans, secured and unsecured loans, home equity loans, residential mortgages, and credit cards; SBA and trade finance lending to small and middle market businesses; and small business administration loans for business purposes, which comprise owner-occupied commercial real estate, business acquisitions, start-ups, franchise financing, working capital, improvements and renovations, inventory and equipment, and debt-refinancing, as well as equipment lease financing. As of February 28, 2022, it operated a network of 35 full-service branches and 8 loan production offices in California, Texas, Illinois, Virginia, New Jersey, New York, Colorado, Washington, and Georgia. The company was founded in 1982 and is headquartered in Los Angeles, California.

How the Company Makes Money

Hanmi Financial generates revenue primarily through interest income from loans and leases, which constitutes a significant portion of its earnings. The company offers various types of loans, including commercial real estate loans, residential mortgages, and business loans, which yield interest payments over time. Additionally, Hanmi earns non-interest income from service fees associated with deposit accounts, transaction services, and other financial products. The bank also engages in investment activities, contributing to its revenue through gains on securities. Key partnerships with local businesses and community organizations enhance its customer outreach and service offerings, ultimately driving deposits and loan growth. Overall, the company's revenue model is centered around traditional banking activities while focusing on community-oriented services to strengthen its market position.

Hanmi Financial Financial Statement Overview

Summary

Hanmi Financial demonstrates solid financial performance with strong profitability and cash flow generation. Despite a decline in revenue growth and ROE, the company maintains healthy margins and a strong balance sheet with low leverage. The significant increase in free cash flow is a positive indicator for future investments and stability.

Income Statement

Hanmi Financial's income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) data indicates a decline in revenue growth rate by 4.39%, which is concerning. However, the company maintains a strong net profit margin of 17.55% and an EBIT margin of 35.63%, indicating efficient cost management and profitability. The gross profit margin has decreased significantly compared to previous years, which could be a potential risk if not addressed.

Balance Sheet

The balance sheet reflects a stable financial position with a low debt-to-equity ratio of 0.25 in the TTM period, indicating low leverage. Return on equity is at 9.59%, which is moderate but shows a decline from previous years. The equity ratio remains strong, suggesting a solid capital structure. However, the declining ROE trend could be a concern if it continues.

Cash Flow

Cash flow analysis reveals a robust free cash flow growth rate of 529.82% in the TTM period, demonstrating strong cash generation capabilities. The free cash flow to net income ratio is high at 93.43%, indicating efficient conversion of earnings into cash. The operating cash flow to net income ratio is not available, but overall, the cash flow position appears strong and supportive of future growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	438.96M	429.51M	397.56M	308.01M	256.80M	265.56M
Gross Profit	246.35M	229.08M	245.16M	271.01M	259.58M	177.14M
EBITDA	107.20M	95.07M	121.37M	153.11M	151.58M	70.45M
Net Income	72.55M	62.20M	80.04M	101.39M	98.68M	42.20M
Balance Sheet
Total Assets	7.86B	7.68B	7.57B	7.38B	6.86B	6.20B
Cash, Cash Equivalents and Short-Term Investments	1.09B	1.21B	1.17B	1.21B	1.52B	1.15B
Total Debt	192.81M	393.14M	455.01M	479.41M	352.51M	268.97M
Total Liabilities	7.08B	6.95B	6.87B	6.74B	6.22B	5.62B
Stockholders Equity	779.55M	732.17M	701.89M	637.51M	643.42M	577.04M
Cash Flow
Free Cash Flow	167.87M	51.33M	105.38M	145.38M	91.00M	55.81M
Operating Cash Flow	170.10M	53.95M	107.80M	147.31M	93.73M	60.20M
Investing Cash Flow	-327.63M	-107.47M	-209.99M	-881.51M	-447.04M	-407.59M
Financing Cash Flow	85.42M	56.00M	52.10M	477.65M	570.43M	617.55M

Hanmi Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 28.19
• 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 HAFC, the sentiment is Positive. The current price of 28.19 is above the 20-day moving average (MA) of 27.93, above the 50-day MA of 27.69, and above the 200-day MA of 24.59, indicating a bullish trend. The MACD of 0.11 indicates Negative momentum. The RSI at 63.94 is Neutral, neither overbought nor oversold. The STOCH value of 90.07 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HAFC.

Hanmi Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TRST	78 Outperform	$789.28M	14.29	8.35%	3.48%	5.75%	20.52%
HAFC	77 Outperform	$844.44M	11.75	9.49%	3.82%	3.34%	15.52%
CCBG	76 Outperform	$746.08M	12.24	11.90%	2.33%	9.43%	17.64%
MBWM	74 Outperform	$808.13M	9.42	13.79%	3.05%	5.64%	6.24%
MCBS	74 Outperform	$784.43M	10.51	15.62%	3.55%	-0.23%	10.95%
CCNE	69 Neutral	$778.17M	13.32	6.51%	2.68%	11.13%	-15.28%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

Hanmi Financial Corporate Events

Hanmi Financial Shares Strategic Growth Presentation

On November 14, 2025, Hanmi Financial Corporation shared a slide presentation with analysts and prospective investors detailing its operating and growth strategies, as well as financial performance. The presentation highlighted the company’s successful portfolio diversification strategy, reducing its concentration in commercial real estate loans and expanding into other areas such as equipment finance and residential real estate. This strategic move is part of Hanmi’s efforts to strengthen its market position and ensure sustainable growth, benefiting stakeholders by enhancing the bank’s financial stability and competitive edge.

The most recent analyst rating on (HAFC) stock is a Buy with a $30.00 price target. To see the full list of analyst forecasts on Hanmi Financial stock, see the HAFC Stock Forecast page.

Hanmi Financial Declares Fourth Quarter Cash Dividend

On October 24, 2025, Hanmi Financial Corporation announced that its Board of Directors declared a cash dividend of $0.27 per share for the fourth quarter of 2025. This dividend is scheduled to be paid on November 20, 2025, to stockholders of record as of November 4, 2025, reflecting the company’s ongoing commitment to returning value to its shareholders.

The most recent analyst rating on (HAFC) stock is a Buy with a $28.00 price target. To see the full list of analyst forecasts on Hanmi Financial stock, see the HAFC Stock Forecast page.