Home Bancorp (HBCP) AI Stock Analysis

• Market Cap: $485.42M
• Dividend Yield: 1.92%
• Average Volume (3M): 27.83K
• Price to Earnings (P/E): 10.5
• Beta (1Y): 0.91
• Revenue Growth: 6.25%
• EPS Growth: 24.92%
• Country: US
• Employees: 471
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 1.49
• Shares Outstanding: 7,828,144
• 10 Day Avg. Volume: 26,350
• 30 Day Avg. Volume: 27,828
• PEG Ratio: -1.18
• Price to Book (P/B): 0.93
• Price to Sales (P/S): 1.85
• P/FCF Ratio: 8.27
• Enterprise Value/Market Cap: 0.83
• Enterprise Value/Revenue: 1.94
• Enterprise Value/Gross Profit: 2.79
• Enterprise Value/Ebitda: 6.88
• 1Y Price Target: $66.00
• Price Target Upside: 6.43% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: $67.00 ▲(8.05% Upside)

The score is driven primarily by solid financial quality (profitability, low leverage, and improving free cash flow) and a constructive earnings outlook (expected NIM expansion and improved funding mix). Technicals are supportive with price above major moving averages and positive MACD, while valuation is favorable with a low P/E. Key risks tempering the score include negative revenue growth and credit/expense headwinds noted on the earnings call (higher NPAs and rising costs).

Positive Factors

High profitability and cash conversion

Sustained high net margins and strong free cash flow conversion provide durable internal funding for capital returns, loan growth and reserve builds. This profitability cushion supports resilience through credit cycles and funds strategic initiatives without heavy external financing.

Improving funding mix and liquidity

Significant deposit inflows and a drastic cut in wholesale FHLB reliance materially improve funding stability and reduce interest expense sensitivity. A lower loan-to-deposit ratio and greater core funding enhance liquidity and support steadier NIMs and balance-sheet optionality over coming quarters.

Capital strength and shareholder returns

Consistent tangible book and EPS growth combined with meaningful dividends and buybacks indicate disciplined capital allocation. Maintaining capital while returning cash signals balance-sheet strength and gives management flexibility for M&A or reinvestment without weakening solvency metrics.

Negative Factors

Rising nonperforming assets

A meaningful rise in NPAs, driven by downgraded relationships and a $4.1M development exposure, increases credit volatility and the need for higher provisions. If localized stresses persist, reserve builds or losses could materially pressure earnings and capital over several quarters.

Declining revenue trend and margin pressure

A falling revenue growth rate and eroding gross margins weaken the top line that funds lending, reserves, and shareholder returns. Without stable loan growth or fee diversification, margin compression could force tougher expense tradeoffs and limit sustainable earnings expansion.

Rising operating expenses

Projected increases in noninterest expense from raises and new initiatives create persistent margin headwinds. If revenue growth remains subdued, higher fixed operating costs can compress operating leverage and reduce cash available for reserves, dividends, or reinvestment over the medium term.

Home Bancorp Business Overview & Revenue Model

Company Description

Home Bancorp, Inc. operates as the bank holding company for Home Bank, National Association that provides various banking products and services in Louisiana and Mississippi. It offers deposit products, including interest-bearing and noninterest-bearing checking, money market, savings, NOW, and certificates of deposit accounts. The company also provides various loan products, such as one-to four-family first mortgage loans, home equity loans and lines, commercial real estate loans, construction and land loans, multi-family residential loans, commercial and industrial loans, and consumer loans. In addition, it invests in securities; and offers credit cards and online banking services. The company operates through a network of 19 banking offices in the Acadiana, four banking offices in Baton Rouge, six banking offices in the Greater New Orleans area, six banking offices in the Northshore region, and three banking offices in Natchez. Home Bancorp, Inc. was founded in 1908 and is headquartered in Lafayette, Louisiana.

How the Company Makes Money

Home Bancorp generates revenue primarily through interest income from loans, which constitutes a significant portion of its earnings. The company originates various types of loans, including residential mortgages, commercial real estate loans, and consumer loans, which are then held in its portfolio or sold in the secondary market. Additionally, Home Bancorp earns non-interest income from service fees, transaction fees, and other banking services. The bank's deposit-taking activities also contribute to its revenue, as it attracts funds from customers in the form of savings and checking accounts. Furthermore, strategic partnerships with local businesses and community organizations enhance its customer base and drive growth in both loan and deposit volumes, positively impacting its overall profitability.

Home Bancorp Financial Statement Overview

Summary

Solid overall fundamentals: strong profitability (net margin 22.56%, EBIT margin 28.21%), stable balance sheet with low leverage (debt-to-equity 0.15) and decent ROE (10.87%), plus improving free cash flow (+9.50%) and healthy cash conversion (FCF to net income 0.87). Offsetting risk is the decline in revenue growth (-4.65%) and signs of cost/margin pressure (gross margin deterioration).

Income Statement

Home Bancorp's income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) data indicates a decline in revenue growth rate by 4.65%, which is concerning. However, the company maintains a strong net profit margin of 22.56% and an EBIT margin of 28.21%, reflecting good profitability. The gross profit margin has decreased significantly compared to previous years, indicating potential cost management issues.

Balance Sheet

The balance sheet reflects a stable financial position with a low debt-to-equity ratio of 0.15 in the TTM period, showing reduced leverage compared to previous years. Return on equity is at 10.87%, indicating efficient use of equity to generate profits. The equity ratio is not directly provided, but the overall equity position seems strong, supporting financial stability.

Cash Flow

Cash flow analysis reveals a positive trajectory with a 9.50% growth in free cash flow in the TTM period. The free cash flow to net income ratio is 0.87, indicating a healthy conversion of income into cash. However, the operating cash flow to net income ratio is not available, which limits a full assessment of cash flow efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	207.95M	199.39M	178.30M	139.81M	123.17M	118.43M
Gross Profit	145.09M	132.37M	132.49M	124.13M	127.03M	93.79M
EBITDA	58.74M	48.68M	53.72M	45.97M	63.52M	34.03M
Net Income	44.32M	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	219.96M	114.46M	91.95M	574.27M	929.42M	443.05M
Total Debt	63.22M	235.54M	252.49M	235.76M	31.59M	34.36M
Total Liabilities	3.07B	3.05B	2.95B	2.90B	2.59B	2.27B
Stockholders Equity	423.04M	396.09M	367.44M	329.95M	351.90M	321.84M
Cash Flow
Free Cash Flow	42.55M	44.67M	39.33M	48.49M	53.24M	46.88M
Operating Cash Flow	48.65M	48.73M	41.36M	51.20M	55.72M	49.03M
Investing Cash Flow	-1.17M	-107.11M	-94.25M	-495.35M	54.93M	-260.04M
Financing Cash Flow	5.97M	81.09M	41.33M	-69.89M	302.85M	359.11M

Home Bancorp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 62.01
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

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 62.01 is above the 20-day moving average (MA) of 60.34, above the 50-day MA of 59.06, and above the 200-day MA of 54.20, indicating a bullish trend. The MACD of 0.57 indicates Negative momentum. The RSI at 59.67 is Neutral, neither overbought nor oversold. The STOCH value of 66.20 is Neutral, 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
RRBI	78 Outperform	$610.46M	13.95	12.03%	0.73%	7.81%	26.91%
FBIZ	77 Outperform	$494.88M	9.79	15.02%	2.08%	8.21%	29.65%
HBCP	73 Outperform	$485.42M	10.49	10.86%	1.92%	6.25%	24.92%
COFS	73 Outperform	$457.47M	15.08	6.16%	3.69%	50.36%	-56.64%
CARE	72 Outperform	$487.90M	15.96	7.71%	―	6.62%	117.46%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
KRNY	64 Neutral	$523.09M	16.01	3.92%	5.80%	4.38%	―

Home Bancorp Corporate Events

Home Bancorp Reports Q4 2025 Results and Dividend

On January 26, 2026, Home Bancorp reported its financial results for the fourth quarter of 2025, posting net income of $11.4 million, or $1.46 per diluted share, down 8% from the prior quarter as net interest margin compressed to 4.06% amid lower yields on interest-earning assets. Loans grew 1% during the quarter to $2.7 billion, led by commercial and industrial and commercial real estate lending, while total deposits were essentially flat at $3.0 billion, with a 1% increase in core deposits to $2.2 billion, reflecting stable funding and solid loan demand despite a softer rate environment. Credit quality showed some deterioration as nonperforming assets rose 17% to $36.1 million, or 1.03% of total assets, largely due to two loan relationships moving to nonaccrual, prompting a $480,000 provision to the allowance for loan losses, though net charge-offs remained low and year-to-date net charge-offs were just 0.03% of average loans. In conjunction with these results, the board declared a quarterly cash dividend of $0.31 per share, payable on February 20, 2026 to shareholders of record as of February 9, 2026, underscoring ongoing capital return despite modest earnings pressure and higher nonperforming assets.

The most recent analyst rating on (HBCP) stock is a Buy with a $71.00 price target. To see the full list of analyst forecasts on Home Bancorp stock, see the HBCP Stock Forecast page.

Home Bancorp Schedules Fourth-Quarter 2025 Earnings Release

Home Bancorp, Inc. announced on January 6, 2026, that it planned to release its earnings for the quarter ended December 31, 2025, after the close of business on Monday, January 26, 2026, with the earnings release and an accompanying investor presentation to be made available on the company’s investor relations website. The company also scheduled a conference call for 10:30 a.m. CDT on Tuesday, January 27, 2026, during which senior executives John W. Bordelon and David T. Kirkley would discuss fourth-quarter results, with both a replay and transcript to be posted online afterward, underscoring Home Bancorp’s emphasis on transparency and ongoing engagement with investors and analysts around its financial performance.

The most recent analyst rating on (HBCP) stock is a Buy with a $64.00 price target. To see the full list of analyst forecasts on Home Bancorp stock, see the HBCP Stock Forecast page.