Infinity Bank (INFT) AI Stock Analysis

• Market Cap: $48.34M
• Dividend Yield: 2.41%
• Average Volume (3M): 3.00
• Price to Earnings (P/E): 8.9
• Beta (1Y): 0.04
• Revenue Growth: 9.38%
• EPS Growth: 76.22%
• Country: US
• Employees: 29
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.38
• Shares Outstanding: 3,300,000
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 3
• PEG Ratio: 0.99
• Price to Book (P/B): 0.78
• Price to Sales (P/S): 1.24
• P/FCF Ratio: 4.11
• Enterprise Value/Market Cap: 1.11
• Enterprise Value/Revenue: 2.40
• Enterprise Value/Gross Profit: 3.06
• Enterprise Value/Ebitda: 7.89
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: $13.50 ▼(-4.59% Downside)
• Action: Downgraded Date: 12/30/25
• Date: Action: Downgraded 12/30/25

The score is driven primarily by solid financial performance (profitability, stronger balance sheet, and robust recent cash generation) and attractive valuation (low P/E with a modest dividend). These positives are partially offset by weak technicals, with the stock trading below key moving averages and negative MACD despite very oversold RSI.

Positive Factors

Revenue Growth

Consistent revenue growth reflects Infinity Bank's ability to expand its market reach and enhance product adoption, supporting long-term business sustainability.

Cash Generation

Strong cash generation capabilities provide Infinity Bank with the flexibility to invest in growth opportunities and weather economic downturns, ensuring financial stability.

Profitability

High profitability margins indicate efficient operations and cost management, which can sustain competitive advantages and shareholder value over time.

Negative Factors

Leverage

Moderate leverage levels can limit financial flexibility and increase risk during economic downturns, potentially impacting long-term financial health.

Equity Ratio

A low equity ratio suggests a greater dependence on debt, which could constrain future financing options and increase vulnerability to interest rate changes.

Guidance Uncertainty

Lack of specific guidance from earnings calls may indicate uncertainty in strategic direction, affecting investor confidence and long-term planning.

Infinity Bank Business Overview & Revenue Model

Company Description

Infinity Bancorp operates as the bank holding company for Infinity Bank that provides various banking products and services for individuals and businesses in Southern California. The company accepts checking and savings accounts. Its loan products include personal loans and home equity lines of credit; and business term loans, business lines of credit, accounts receivable financing, commercial real estate loans, construction loans, small business administration loans, and letters of credit. The company also offers debit and credit cards; and treasury management, bill pay, ATM, automatic loan payment, direct deposit, night drop, overdraft, wire transfers, ACH, merchant, remote deposit capture, armored car and cash vault, and online and mobile banking services. Infinity Bancorp was founded in 2018 and is based in Santa Ana, California.

How the Company Makes Money

Infinity Bank generates revenue through a variety of channels. Its primary revenue streams include interest income from loans and mortgages, where the bank earns money by charging interest on the funds lent to individuals and businesses. Additionally, the bank earns fee-based income from services such as wealth management, investment advisory, and transaction processing. Infinity Bank also benefits from trading and investment income derived from its investment banking operations, which include underwriting, financial advisory services, and securities trading. Partnerships with fintech companies and strategic alliances with other financial institutions further enhance its ability to tap into new markets and expand its service offerings, contributing to the bank's overall earnings.

Infinity Bank Financial Statement Overview

Summary

Solid turnaround with meaningful multi-year revenue growth and sustained profitability since 2021. Balance sheet improved notably in 2024 with a large debt reduction, and operating/free cash flow in 2024 appears strong with good earnings quality. Main risks are margin compression in 2024 and historical volatility in earnings and cash flow.

Income Statement

Revenue has expanded meaningfully over time (from $3.6M in 2019 to $23.2M in 2024), with a clear step-up in 2024 (+15.0% YoY). Profitability has also improved versus the 2019–2020 losses, with 2024 net income of $3.9M and a 16.7% net margin. The main weakness is margin volatility: net margin fell from 26.8% (2023) to 16.7% (2024) even as revenue grew, indicating higher costs/pressure on spread-based earnings; earlier years also show negative results, highlighting cyclicality/execution risk.

Balance Sheet

Leverage improved substantially in 2024: total debt fell to $9.0M from $26.3M in 2023, and debt relative to equity decreased to ~0.24x (from ~0.94x). Equity is sizable at $36.8M, supporting balance-sheet resilience, and returns on equity are solid in 2024 (~10.5%) following stronger 2023 (~13.9%). Key watchouts: total assets are large ($332.7M) versus equity, and profitability/ROE has not been consistently strong across the full period (negative in 2019–2020).

Cash Flow

Cash generation is strong in the most recent year: operating cash flow rose to $7.0M in 2024 (from $5.7M in 2023) and free cash flow is similarly high at $7.0M, nearly matching net income (free cash flow to net income ~1.00x), suggesting good earnings quality. The main concern is volatility earlier in the history (negative operating/free cash flow in 2019) and a sharp deterioration in the provided operating cash flow coverage figure in 2023–2024 versus 2021–2022, signaling that cash flow coverage metrics may be inconsistent and should be monitored.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	22.34M	23.22M	20.22M	13.83M	9.77M	6.61M
Gross Profit	17.54M	15.62M	14.47M	11.93M	8.55M	5.39M
EBITDA	6.80M	5.77M	5.67M	4.42M	1.85M	-178.00K
Net Income	4.75M	3.88M	3.87M	3.00M	3.17M	-318.00K
Balance Sheet
Total Assets	337.07M	332.67M	306.13M	310.17M	296.83M	204.88M
Cash, Cash Equivalents and Short-Term Investments	113.12M	69.06M	106.67M	150.21M	144.06M	67.66M
Total Debt	3.98M	8.96M	26.34M	4.67M	4.98M	6.38M
Total Liabilities	297.37M	295.87M	278.23M	281.95M	268.22M	179.05M
Stockholders Equity	39.70M	36.80M	27.90M	28.22M	28.61M	25.83M
Cash Flow
Free Cash Flow	0.00	6.98M	5.49M	5.50M	3.02M	575.00K
Operating Cash Flow	0.00	7.01M	5.68M	5.55M	3.09M	603.00K
Investing Cash Flow	0.00	-24.73M	-28.81M	1.60M	-51.73M	-65.17M
Financing Cash Flow	0.00	22.62M	-10.95M	13.80M	89.01M	88.40M

Infinity Bank Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 14.15
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For INFT, the sentiment is Positive. The current price of 14.15 is below the 20-day moving average (MA) of 14.16, above the 50-day MA of 14.05, and above the 200-day MA of 13.57, indicating a bullish trend. The MACD of 0.13 indicates Negative momentum. The RSI at 70.95 is Negative, neither overbought nor oversold. The STOCH value of 47.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for INFT.

Infinity Bank Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HFBL	78 Outperform	$57.42M	11.01	8.21%	3.21%	0.32%	37.93%
OPHC	75 Outperform	$60.55M	5.24	15.03%	―	14.91%	0.81%
INFT	69 Neutral	$48.34M	8.93	12.87%	2.41%	9.38%	76.22%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
ASRV	66 Neutral	$61.46M	10.96	4.54%	3.87%	6.89%	―
TCBS	55 Neutral	$49.04M	19.79	4.74%	1.10%	12.12%	―