LINKBANCORP (LNKB) AI Stock Analysis

• Market Cap: $268.80M
• Dividend Yield: 4.32%
• Average Volume (3M): 36.51K
• Price to Earnings (P/E): 7.5
• Beta (1Y): 0.47
• Revenue Growth: 77.09%
• EPS Growth: N/A
• Country: US
• Employees: 298
• Sector: Financial
• Sector Strength: 81
• Industry: Banks - Regional
• EPS (TTM): 0.20
• Shares Outstanding: 37,385,136
• 10 Day Avg. Volume: 30,126
• 30 Day Avg. Volume: 36,514
• PEG Ratio: 0.20
• Price to Book (P/B): 0.88
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 11.58
• Enterprise Value/Market Cap: 1.36
• Enterprise Value/Revenue: 0.99
• Enterprise Value/Gross Profit: 2.38
• Enterprise Value/Ebitda: 9.64
• 1Y Price Target: $8.25
• Price Target Upside: 18.88% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 71 Outperform
• Price Target: ―

LINKBANCORP's strong financial performance and valuation are primary drivers of its stock score, reflecting solid profitability and an attractive investment proposition. While technical analysis suggests caution, recent corporate events such as record earnings and strategic sales support a positive outlook. Investors should remain mindful of potential risks related to economic fluctuations and capital needs.

LINKBANCORP Business Overview & Revenue Model

Company Description

LINKBANCORP, Inc. operates as a bank holding company for The Gratz Bank, a full-service state chartered commercial bank in Pennsylvania. The company's deposit products include checking accounts, saving accounts, money market accounts, and certificates of deposits. The company's loan portfolio comprises small business, real estate, agricultural, home equity, consumer lending, commercial, municipal, term, lines of credit, auto, and home mortgage and construction loans. It also provides debit cards, mobile banking, card valet app, e-statements, ATMs, online banking and bill pay, and other services. The company operates through a main office located in Gratz, Pennsylvania, as well as bank offices located in Camp Hill, Gratz, Valley View, Harrisburg, Herndon, Lancaster, Pottsville, Trevorton, West Chester, and Minersville. Pennsylvania. LINKBANCORP, Inc. was incorporated in 2018 and is based in Camp Hill, Pennsylvania.

How the Company Makes Money

LINKBANCORP generates revenue primarily through the interest income earned on loans and investments, as well as fees from deposit-related services. The company offers a variety of loan products, such as commercial real estate loans, construction loans, and consumer loans, which contribute significantly to its interest income. Additionally, LINKBANCORP earns non-interest income through service charges on deposit accounts, electronic banking fees, and other financial services. The company may also benefit from strategic partnerships and community engagement initiatives that enhance customer acquisition and retention within its regional market.

LINKBANCORP Financial Statement Overview

Summary

LINKBANCORP exhibits strong revenue and profit growth with improved margins, indicating a positive financial trajectory. Reduced leverage and a better equity position enhance financial stability. Cash flow has improved, but careful management is needed for continued positive cash flow amidst potential future capital expenditures.

Income Statement

LINKBANCORP shows robust revenue growth, with total revenue increasing significantly from 2023 to 2024. The gross profit margin remains at 100% due to the nature of the banking industry. However, net profit margin has improved substantially to 16.51% in 2024 from a negative margin in 2023, indicating a significant turnaround in profitability. EBIT margin is notably high at 97.82% in 2024, reflecting strong operating efficiency. The absence of EBITDA data for the current period limits a full margin analysis.

Balance Sheet

The debt-to-equity ratio decreased to 0.09 in 2024 from 0.33 in 2023, indicating a reduction in leverage and improved financial stability. Return on Equity (ROE) improved significantly to 9.35% in 2024, reflecting enhanced profitability for shareholders. The equity ratio slightly increased to 9.73% in 2024, showing a modest improvement in financial structure. However, the lower equity base compared to total assets suggests potential vulnerability to economic fluctuations.

Cash Flow

Free cash flow turned positive in 2024, showing significant improvement from the prior year's negative figures. The operating cash flow to net income ratio is approximately 0.97, indicating strong cash generation relative to net income. However, the free cash flow to net income ratio is slightly lower due to capital expenditures. The cash flow position remains relatively stable but could face challenges if capital needs increase.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
108.76M	66.28M	35.94M	18.25M	13.33M
	Gross Profit
158.72M	66.28M	35.94M	18.25M	13.33M
	EBIT
34.51M	0.00	12.99M	100.00K	4.84M
	EBITDA
0.00	0.00	7.93M	0.00	5.15M
	Net Income Common Stockholders
26.21M	-11.97M	5.60M	289.00K	4.19M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
159.42M	128.58M	114.45M	139.20M	175.66M
	Total Assets
2.88B	2.67B	1.16B	932.76M	429.54M
	Total Debt
128.22M	88.50M	102.80M	45.19M	1.49M
	Net Debt
-37.88M	8.31M	67.16M	9.77M	-48.72M
	Total Liabilities
2.60B	2.40B	1.03B	823.14M	378.87M
	Stockholders Equity
280.22M	265.31M	138.55M	109.62M	50.67M
Cash Flow		Free Cash Flow
22.56M	-1.38M	-2.25M	4.51M	3.02M
	Operating Cash Flow
25.44M	-10.00K	2.34M	4.77M	3.13M
	Investing Cash Flow
-122.02M	58.58M	-222.59M	-5.04M	-38.82M
	Financing Cash Flow
182.49M	-8.39M	227.67M	-10.30M	41.15M

LINKBANCORP Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6.94
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LNKB, the sentiment is Negative. The current price of 6.94 is below the 20-day moving average (MA) of 6.96, above the 50-day MA of 6.81, and above the 200-day MA of 6.85, indicating a neutral trend. The MACD of 0.08 indicates Positive momentum. The RSI at 47.33 is Neutral, neither overbought nor oversold. The STOCH value of 24.94 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for LNKB.

LINKBANCORP Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CBAN	81 Outperform	$274.39M	10.97	9.20%	2.88%	6.61%	14.29%
TSBK	77 Outperform	$247.15M	9.66	10.54%	3.19%	12.28%	5.73%
OBT	77 Outperform	$306.45M	11.16	14.76%	1.85%	6.08%	-23.52%
PLBC	76 Outperform	$270.60M	9.23	16.93%	2.43%	10.64%	3.48%
LNKB	71 Outperform	$268.80M	7.46	12.74%	4.32%	77.09%	―
FLIC	65 Neutral	$279.41M	17.03	4.32%	7.09%	4.04%	-32.19%
Sector *	64 Neutral	$12.66B	9.79	7.67%	17015.07%	12.23%	-6.06%

LINKBANCORP Corporate Events

LINKBANCORP Declares Dividend Amid Record Q1 Earnings

On April 24, 2025, LINKBANCORP‘s Board of Directors declared a quarterly cash dividend of $0.075 per share, payable on June 16, 2025. The company reported record net income of $15.3 million for the first quarter of 2025, driven by the successful sale of its New Jersey operations, which resulted in an after-tax gain of $8.7 million. This transaction, along with strong core deposit growth and improved liquidity, positions LINKBANCORP well for future growth and shareholder value creation.

Spark’s Take on LNKB Stock

According to Spark, TipRanks’ AI Analyst, LNKB is a Outperform.

LINKBANCORP’s strong financial performance, characterized by robust revenue and profit growth, is a primary driver of its stock score. The company’s attractive valuation, including a low P/E ratio and high dividend yield, further supports its investment appeal. While technical indicators suggest caution due to mixed signals, the positive impact of recent corporate events, such as record financial results and strategic initiatives, provides a balanced outlook. Investors should note the potential risks associated with economic fluctuations and capital expenditure needs.

To see Spark’s full report on LNKB stock, click here.

LINKBANCORP Announces Board Restructuring Ahead of 2025 Meeting

On February 27, 2025, LINKBANCORP, Inc. announced a decision by its Board of Directors to reduce the size of the Board to eleven members, effective at the 2025 annual meeting of shareholders. The Board nominated eleven directors for reelection, while ten current directors will not stand for reelection or serve on the board of LINKBANK, the company’s subsidiary. The directors not standing for reelection did not cite any disagreements with the company or its subsidiary.