Hanmi Financial Corp. (HAFC)
NASDAQ:HAFC
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Hanmi Financial
(NASDAQ:HAFC)
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Rating:71Outperform
Price Target:
$29.00
â–²(10.14% Upside)
Action:ReiteratedDate:02/28/26
The score is driven primarily by solid fundamentals (growth and a strengthened balance sheet) and attractive valuation (low P/E and strong dividend yield). The main offsets are mixed technical momentum and some near-term banking headwinds highlighted on the call (deposit competition and softer Q4 loan production/noninterest income), partially mitigated by supportive guidance for NIM expansion and continued capital returns.
Positive Factors
Strengthened balance sheet / lower leverage
Hanmi materially de-levered over the past years, shrinking debt-to-equity and building equity to roughly $796M against ~$7.87B assets. A lower leverage profile and higher tangible equity increase shock-absorption, support regulatory flexibility, and reduce refinancing risk over the medium term.
Negative Factors
Margin compression and lower returns
Despite recent NIM improvement, the company shows a structural margin reset versus 2021–2022 and ROE declined from mid-teens to around high single-digits. Persistently lower margins constrain long-term profitability and limit reinvestment or larger capital-return capacity.
Read all positive and negative factors
Positive Factors
Negative Factors
Strengthened balance sheet / lower leverage
Hanmi materially de-levered over the past years, shrinking debt-to-equity and building equity to roughly $796M against ~$7.87B assets. A lower leverage profile and higher tangible equity increase shock-absorption, support regulatory flexibility, and reduce refinancing risk over the medium term.
Read all positive factors
Hanmi Financial (HAFC) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$787.07M
Dividend Yield3.82%
Average Volume (3M)167.75K
Price to Earnings (P/E)10.6
Beta (1Y)0.88
Revenue Growth3.34%
EPS Growth15.52%
CountryUS
Employees597
SectorFinancial
Sector Strength70
IndustryBanks - Regional
Share Statistics
EPS (TTM)0.70
Shares Outstanding29,892,590
10 Day Avg. Volume140,460
30 Day Avg. Volume167,752
Financial Highlights & Ratios
PEG Ratio0.46
Price to Book (P/B)1.01
Price to Sales (P/S)1.81
P/FCF Ratio3.92
Enterprise Value/Market Cap1.09
Enterprise Value/Revenue1.93
Enterprise Value/Gross Profit3.35
Enterprise Value/Ebitda7.76
Forecast
1Y Price Target
$34.00Price Target Upside29.13% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering1
EPS Forecast (FY)3.02
Revenue Forecast (FY)$298.67M
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, int...
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 mort...
Hanmi Financial Earnings Call Summary
Earnings Call Date:Feb 03, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 28, 2026
Earnings Call Sentiment Positive
The call emphasized strong full-year financial performance: double-digit net income growth, net interest margin expansion, meaningful loan production growth for the year, improved efficiency, stable deposit mix with a healthy share of noninterest-bearing deposits, and excellent asset quality and capital ratios. The fourth quarter showed some sequential headwinds—lower noninterest income, materially lower loan production versus a very strong prior quarter, modest deposit declines, and discrete OREO-related expenses—but these were characterized as manageable and tied to seasonality or one-time timing differences. Management expects continued low- to mid-single-digit loan growth, ongoing NIM benefits from deposit repricing, disciplined expense management, and maintained credit strength in 2026.Positive Updates
Full-Year Profitability Improvement
Net income for fiscal 2025 was $76.1 million ($2.51 per diluted share), an increase of 22% year-over-year; return on average equity for the year was 9.3%.
Negative Updates
Sequential Decline in Q4 Net Income and Noninterest Income
Q4 net income was $21.2 million ($0.70 per diluted share), down 3.7% sequentially, driven by lower noninterest income in the quarter (Q4 noninterest income $8.3 million), including lower mortgage gains and absence of bank-owned life insurance proceeds.
Read all updates
Q4-2025 Updates
Positive
Negative
Full-Year Profitability Improvement
Net income for fiscal 2025 was $76.1 million ($2.51 per diluted share), an increase of 22% year-over-year; return on average equity for the year was 9.3%.
Read all positive updates
Company Guidance
Management guided 2026 toward low- to mid-single-digit loan growth, supported by deposit growth and a stable, well‑balanced funding mix with particular emphasis on noninterest‑bearing deposits (about 30% of total deposits today); they expect continued net interest margin expansion (Q4 NIM 3.28%, +6 bps QoQ, +37 bps Y/Y) helped by repricing roughly $1.8 billion of CDs maturing in H1 (weighted averages ~4.01% and ~3.95%) toward ~3.5–3.6%; disciplined expense management with mid‑single‑digit expense growth (2025 expense +4.6%, efficiency ratio improved to 54.7% for the year / 54.95% Q4); sustained strong credit metrics (nonperforming assets 0.26% of assets, ACL 1.07% of loans, delinquent loans 0.27%, criticized loans 1.48%, net charge‑offs 10 bps); and a continued focus on capital returns subject to board review amid solid capital (tangible common equity per share $26.27, TCE/TA 9.99%).Hanmi Financial Financial Statement Overview
Summary
Income Statement
72
Positive
Balance Sheet
78
Positive
Cash Flow
66
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 444.74M | 429.51M | 397.56M | 308.01M | 256.80M |
| Gross Profit | 255.56M | 229.08M | 245.16M | 271.01M | 259.58M |
| EBITDA | 113.58M | 95.07M | 121.37M | 153.11M | 151.58M |
| Net Income | 76.09M | 62.20M | 80.04M | 101.39M | 98.68M |
Balance Sheet | |||||
| Total Assets | 7.87B | 7.68B | 7.57B | 7.38B | 6.86B |
| Cash, Cash Equivalents and Short-Term Investments | 1.09B | 1.21B | 1.17B | 1.21B | 1.52B |
| Total Debt | 280.46M | 393.14M | 455.01M | 479.41M | 352.51M |
| Total Liabilities | 7.07B | 6.95B | 6.87B | 6.74B | 6.22B |
| Stockholders Equity | 796.39M | 732.17M | 701.89M | 637.51M | 643.42M |
Cash Flow | |||||
| Free Cash Flow | 206.01M | 51.33M | 105.38M | 145.38M | 91.00M |
| Operating Cash Flow | 206.01M | 53.95M | 107.80M | 147.31M | 93.73M |
| Investing Cash Flow | -384.32M | -107.47M | -209.99M | -881.51M | -447.04M |
| Financing Cash Flow | 86.35M | 56.00M | 52.10M | 477.65M | 570.43M |
Hanmi Financial Technical Analysis
Positive
26.33
Price Trends
26.76
Negative
27.05
Negative
25.52
Positive
Market Momentum
-0.19
Negative
52.63
Neutral
77.16
Neutral
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 26.33 is above the 20-day moving average (MA) of 25.80, below the 50-day MA of 26.76, and above the 200-day MA of 25.52, indicating a neutral trend. The MACD of -0.19 indicates Negative momentum. The RSI at 52.63 is Neutral, neither overbought nor oversold. The STOCH value of 77.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HAFC.
Hanmi Financial Risk Analysis
Hanmi Financial disclosed 42 risk factors in its most recent earnings report. Hanmi Financial reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Hanmi Financial Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
73 Outperform | $743.89M | 11.80 | 11.55% | 2.33% | 9.43% | 17.64% | |
71 Outperform | $787.07M | 10.60 | 9.85% | 3.82% | 3.34% | 15.52% | |
71 Outperform | $859.85M | 8.81 | 13.54% | 3.05% | 5.64% | 6.24% | |
71 Outperform | $819.24M | 10.05 | 14.82% | 3.55% | -0.23% | 10.95% | |
68 Neutral | $768.28M | 12.13 | 8.86% | 3.48% | 5.75% | 20.52% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
64 Neutral | $846.38M | 9.76 | 8.88% | 2.68% | 11.13% | -15.28% |
* Financial Sector Average
HAFC
Hanmi Financial
26.33
4.45
20.34%
CCBG
Capital City Bank
43.37
7.66
21.46%
CCNE
Cnb Financial
28.56
6.37
28.70%
MBWM
Mercantile Bank
49.78
6.34
14.59%
TRST
TrustCo Bank
43.38
13.58
45.55%
MCBS
MetroCity Bankshares
28.49
1.79
6.70%
Hanmi Financial Corporate Events
Business Operations and StrategyFinancial Disclosures
Hanmi Financial Highlights Strategic Growth and Capital Strength
Positive
Feb 24, 2026
On February 24, 2026, Hanmi Financial Corporation released an investor slide presentation detailing its operating and growth strategies and recent financial performance. The materials highlighted management’s use of non-GAAP metrics, includi...
Business Operations and StrategyDividendsFinancial Disclosures
Hanmi Financial outlines growth strategy and capital strength
Positive
Feb 3, 2026
On February 3, 2026, Hanmi Financial Corporation released a slide presentation to analysts and prospective investors outlining its operating and growth strategies and reviewing its recent financial performance, including fourth-quarter 2025 result...
Stock BuybackDividends
Hanmi Financial boosts dividend and expands share repurchases
Positive
Jan 29, 2026
On January 29, 2026, Hanmi Financial Corporation announced that its board increased the first-quarter 2026 cash dividend on common stock by 4% to $0.28 per share, payable on February 25, 2026, to shareholders of record as of February 9, 2026. The ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.