HarborOne Bancorp (HONE) AI Stock Analysis

• Market Cap: $406.25M
• Dividend Yield: 3.41%
• Average Volume (3M): 204.82K
• Price to Earnings (P/E): 14.2
• Beta (1Y): 0.88
• Revenue Growth: 11.49%
• EPS Growth: 82.82%
• Country: US
• Employees: 535
• Sector: Financial
• Sector Strength: 79
• Industry: Banks - Regional
• EPS (TTM): 0.66
• Shares Outstanding: 43,309,937
• 10 Day Avg. Volume: 269,744
• 30 Day Avg. Volume: 204,821
• PEG Ratio: 0.17
• Price to Book (P/B): N/A
• Price to Sales (P/S): 2.80
• Price to Cash Flow (P/CF): 33.00
• P/FCF Ratio: 5.60
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $13.00
• Price Target Upside: 38.59% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

HarborOne Bancorp presents a mixed outlook. Strong revenue growth and financial stability with no debt in 2024 are significant positives. However, the financial performance is offset by challenges in maintaining cash flow and declining profitability metrics. The technical analysis indicates a bearish trend, further dampening the stock's outlook. Valuation metrics are fair, but not compelling enough to outweigh the technical concerns. Recent corporate events highlight robust financial growth, offering potential upside, but caution is advised given the current market momentum.

HarborOne Bancorp Business Overview & Revenue Model

Company Description

HarborOne Bancorp, Inc. (HONE) is a Massachusetts-based bank holding company that operates through its subsidiary, HarborOne Bank. The company primarily provides a wide range of retail and commercial banking services. Its offerings include personal and business checking and savings accounts, mortgage and consumer loans, and commercial lending services. HarborOne also offers wealth management and financial advisory services, catering to individuals, families, and businesses in the Massachusetts and Rhode Island regions.

How the Company Makes Money

HarborOne Bancorp generates revenue primarily through the interest income earned from its loan portfolio, which includes residential mortgages, commercial loans, and consumer loans. The company also earns money from non-interest income sources such as fees from deposit accounts, wealth management services, and other financial services. Additionally, HarborOne benefits from its strategic partnerships and community involvement, which enhance its market presence and customer base, contributing to the overall growth in earnings.

HarborOne Bancorp Financial Statement Overview

Summary

Overall, HarborOne Bancorp exhibits strong revenue growth and improved financial stability with no debt in 2024, enhancing its balance sheet position. However, challenges in maintaining consistent cash flow and slightly declining profitability metrics highlight areas for strategic focus. The company is well-positioned in the banking industry, but should aim to enhance cash generation capabilities to support future growth.

Income Statement

HarborOne Bancorp has shown a commendable revenue growth rate of 66.1% from 2023 to 2024, coupled with a strong EBIT margin of 96.8% in 2024. Despite this, the net profit margin has slightly decreased from 9.8% in 2023 to 10.1% in 2024. The absence of EBITDA margin data for 2024 is a minor limitation in assessing overall operating performance.

Balance Sheet

The company maintains a solid equity ratio of 10% in 2024, reflecting a stable financial structure. The debt-to-equity ratio has improved significantly due to the absence of total debt in 2024. However, the return on equity (ROE) has slightly decreased to 4.8% in 2024, indicating room for improvement in generating returns on shareholder investments.

Cash Flow

HarborOne Bancorp's cash flow analysis shows a substantial drop in operating cash flow from 2023 to 2024, leading to a 74.6% decrease in free cash flow. The free cash flow to net income ratio remains positive at 49.4% in 2024, indicating adequate cash generation relative to profits, though there are concerns about the sustainability of cash flow trends.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
271.41M	163.44M	204.91M	226.32M	248.94M
	Gross Profit
271.41M	163.44M	2.38M	226.32M	248.94M
	EBIT
262.64M	26.79M	84.67M	80.45M	58.01M
	EBITDA
0.00	20.63M	56.60M	70.24M	48.05M
	Net Income Common Stockholders
27.41M	16.08M	45.59M	58.52M	44.79M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
231.07M	227.35M	399.17M	588.75M	482.37M
	Total Assets
5.75B	5.67B	5.36B	4.55B	4.48B
	Total Debt
516.55M	568.46M	434.96M	89.87M	183.13M
	Net Debt
-44.09M	341.11M	336.94M	-104.85M	-22.74M
	Total Liabilities
5.18B	5.08B	4.74B	3.87B	3.79B
	Stockholders Equity
575.01M	583.76M	616.98M	679.26M	696.31M
Cash Flow		Free Cash Flow
13.54M	49.03M	66.63M	217.84M	-32.69M
	Operating Cash Flow
13.54M	53.51M	68.90M	224.29M	-26.95M
	Investing Cash Flow
1.12M	-196.71M	-952.02M	-241.05M	-318.85M
	Financing Cash Flow
-33.15M	272.54M	786.42M	5.61M	340.06M

HarborOne Bancorp Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 9.38
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HONE, the sentiment is Negative. The current price of 9.38 is below the 20-day moving average (MA) of 9.88, below the 50-day MA of 10.72, and below the 200-day MA of 11.85, indicating a bearish trend. The MACD of -0.43 indicates Positive momentum. The RSI at 37.54 is Neutral, neither overbought nor oversold. The STOCH value of 38.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HONE.

HarborOne Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UNTY	74 Outperform	$415.58M	9.69	15.17%	1.28%	6.99%	12.46%
AROW	70 Neutral	$397.04M	13.39	7.61%	4.63%	16.37%	0.52%
SHBI	65 Neutral	$417.51M	9.49	8.34%	3.84%	30.29%	103.33%
Sector *	63 Neutral	$12.75B	9.36	8.64%	84.32%	13.82%	-3.89%
HONE	59 Neutral	$406.25M	14.19	4.73%	3.41%	11.49%	82.82%
BCAL	58 Neutral	$409.56M	66.07	1.36%	―	41.74%	-85.66%
FFWM	44 Neutral	$410.18M	―	-9.34%	1.00%	6.75%	62.30%

HarborOne Bancorp Corporate Events

HarborOne Bancorp Reports Strong Financial Growth in 2024

HarborOne Bancorp, Inc. reported a significant increase in net income for the fourth quarter of 2024, showing a 126.5% rise to $8.9 million compared to the previous quarter. The year ended with a net income of $27.4 million, a 70.5% increase from the prior year, driven by growth in deposits and improved loan-to-deposit ratios. The company also made considerable progress in reducing borrowing costs and enhancing its mortgage segment profitability, highlighting its ability to navigate a competitive interest rate environment, which could positively impact its future financial stability and stakeholder confidence.