Home Bancorp (HBCP) AI Stock Analysis

• Market Cap: $438.67M
• Dividend Yield: 1.92%
• Average Volume (3M): 68.63K
• Price to Earnings (P/E): 11.8
• Beta (1Y): 1.03
• Revenue Growth: 9.82%
• EPS Growth: 0.91%
• Country: US
• Employees: 471
• Sector: Financial
• Sector Strength: 82
• Industry: Banks - Regional
• EPS (TTM): 1.40
• Shares Outstanding: 7,801,368
• 10 Day Avg. Volume: 94,275
• 30 Day Avg. Volume: 68,625
• PEG Ratio: 2.05
• Price to Book (P/B): 0.98
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.71
• Enterprise Value/Market Cap: 1.14
• Enterprise Value/Revenue: 0.63
• Enterprise Value/Gross Profit: 3.68
• Enterprise Value/Ebitda: 2.54
• 1Y Price Target: $60.00
• Price Target Upside: 6.70% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 78 Outperform
• Price Target: $63.00 ▲(12.04%Upside)

Home Bancorp's strong financial performance and positive earnings call sentiment are the most significant contributors to the score. Technical indicators suggest caution due to overbought conditions, while valuation metrics are favorable. The company's strategic initiatives and market success further support a positive outlook.

Positive Factors

Financial Performance

Analyst upgrades shares of HBCP to an Outperform rating following results that exceeded expectations on both an EPS and PPNR basis.

Profitability

The $60 price target for HBCP assumes the shares trade up to a justified 12x P/E due to its above-peer profitability, stable balance sheet, and well-managed credit risk.

Negative Factors

Earnings Growth

The lack of larger scale year-over-year EPS growth could inhibit the upside in the multiple to some degree for HBCP.

Home Bancorp Business Overview & Revenue Model

Company Description

Home Bancorp, Inc. (HBCP) is a financial holding company headquartered in Lafayette, Louisiana. It operates primarily through its wholly-owned subsidiary, Home Bank, N.A., which provides a comprehensive range of banking services. The company focuses on offering personalized banking solutions, including retail banking, commercial banking, and mortgage lending, catering to individuals, small businesses, and commercial clients across Louisiana and Mississippi.

How the Company Makes Money

Home Bancorp generates revenue primarily through interest income from its loan portfolio and investments. The company earns money by providing loans to individuals and businesses, collecting interest payments over time. Additionally, it receives fee income from various banking services, such as transaction fees, service charges, and mortgage origination fees. Home Bancorp's profitability is significantly influenced by its ability to manage interest rate spreads, the difference between interest earned on loans and paid on deposits, and maintaining strong customer relationships to drive fee-based revenue. Strategic partnerships with local businesses and community involvement also contribute to its financial performance.

Home Bancorp Financial Statement Overview

Summary

Home Bancorp presents a generally positive financial outlook with strong revenue growth of 39% and a solid balance sheet highlighted by a low debt-to-equity ratio of 0.35. However, there are areas for improvement, including a decrease in net profit margin from 30.4% to 19.7% and cash flow management challenges.

Income Statement

Home Bancorp's income statement shows a solid revenue growth trend with a 39% increase in total revenue from 2023 to 2024. The gross profit margin is strong at approximately 100% due to the nature of the banking industry. However, the net profit margin decreased from 30.4% in 2023 to 19.7% in 2024, indicating some pressure on profitability. EBIT margins also show a decline, suggesting a need for efficiency improvements.

Balance Sheet

The company's balance sheet is robust, with a low debt-to-equity ratio of 0.35, reflecting conservative leverage. Return on Equity (ROE) is healthy at 9.2% for 2024, slightly down from 10.9% in 2023, which indicates solid profitability relative to shareholder equity. The equity ratio stands at 11.5%, showing a stable capital structure, though slightly lower than industry peers.

Cash Flow

Cash flow analysis reveals a positive trajectory with a 13.6% growth in free cash flow from 2023 to 2024. The operating cash flow to net income ratio is 1.34, indicating strong cash generation relative to earnings. However, free cash flow to net income ratio decreased slightly, showing potential cash flow management issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	202.93M	199.39M	178.30M	139.81M	123.17M	118.43M
Gross Profit	135.42M	132.37M	132.49M	124.13M	127.03M	93.79M
EBITDA	50.93M	48.68M	53.72M	45.97M	64.03M	34.03M
Net Income	38.19M	36.43M	40.24M	34.07M	48.62M	24.77M
Balance Sheet
Total Assets	3.49B	3.44B	3.32B	3.23B	2.94B	2.59B
Cash, Cash Equivalents and Short-Term Investments	141.59M	114.46M	91.95M	574.27M	929.42M	443.05M
Total Debt	223.31M	235.54M	252.49M	235.76M	31.59M	34.36M
Total Liabilities	3.08B	3.05B	2.95B	2.90B	2.59B	2.27B
Stockholders Equity	402.83M	396.09M	367.44M	329.95M	351.90M	321.84M
Cash Flow
Free Cash Flow	44.30M	44.67M	39.33M	48.49M	53.24M	46.88M
Operating Cash Flow	50.98M	48.73M	41.36M	51.20M	55.72M	49.03M
Investing Cash Flow	-106.20M	-107.11M	-94.25M	-495.35M	54.93M	-260.04M
Financing Cash Flow	75.40M	81.09M	41.33M	-69.89M	302.85M	359.11M

Home Bancorp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 56.23
• 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 HBCP, the sentiment is Positive. The current price of 56.23 is above the 20-day moving average (MA) of 51.01, above the 50-day MA of 50.56, and above the 200-day MA of 47.16, indicating a bullish trend. The MACD of 1.18 indicates Negative momentum. The RSI at 77.93 is Negative, neither overbought nor oversold. The STOCH value of 94.73 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HBCP.

Home Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HBCP	78 Outperform	$438.67M	11.78	9.85%	1.92%	9.82%	0.91%
RRBI	78 Outperform	$428.40M	12.05	11.51%	0.75%	10.47%	13.63%
BSVN	75 Outperform	$420.40M	9.44	22.26%	2.16%	1.20%	46.86%
USCB	73 Outperform	$340.82M	12.28	13.20%	2.35%	26.42%	78.75%
BSRR	72 Outperform	$445.52M	11.38	11.58%	3.10%	1.99%	17.65%
Sector *	67 Neutral	¥718.51B	10.84	7.44%	3.36%	7.82%	15.26%
MSBI	58 Neutral	$402.55M	13.77	5.03%	6.63%	14.75%	-48.47%

Home Bancorp Corporate Events

Home Bancorp Extends Executive Employment Agreements

On May 20, 2025, Home Bancorp, Inc. and Home Bank, N.A. extended the employment agreements for several executives, including John W. Bordelon, Darren E. Guidry, and David T. Kirkley, with terms now lasting until 2028 for Bordelon and 2027 for others. Additionally, new agreements were made with Mark C. Herpin, Natalie B. Lemoine, and John J. Zollinger, IV, mirroring existing terms for senior executives. These agreements include provisions for severance and benefits in cases of termination without cause or following a change in control, ensuring financial security and continuity for the executives involved.

The most recent analyst rating on (HBCP) stock is a Buy with a $60.00 price target. To see the full list of analyst forecasts on Home Bancorp stock, see the HBCP Stock Forecast page.

Home Bancorp Holds Annual Shareholders Meeting

Home Bancorp held its Annual Meeting of Shareholders on May 13, 2025, where a quorum was established with 6,282,353 shares represented. During the meeting, shareholders elected directors, approved executive compensation, and ratified the appointment of Wipfli LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025.

The most recent analyst rating on (HBCP) stock is a Buy with a $60.00 price target. To see the full list of analyst forecasts on Home Bancorp stock, see the HBCP Stock Forecast page.

Home Bancorp Announces New Share Repurchase Program

On April 21, 2025, Home Bancorp announced a new share repurchase program allowing the purchase of up to 400,000 shares, approximately 5% of its outstanding common stock, reflecting confidence in its financial stability. Additionally, the company declared a quarterly cash dividend of $0.27 per share, to be paid on May 16, 2025. The company reported strong financial results for the first quarter of 2025, with net income rising to $11.0 million and growth in loans and deposits, despite an increase in nonperforming assets due to two loan relationships moving to nonaccrual status.