Education
About Us
Working with TipRanks
Follow Us
Metropolitan Bank Holding (MCB)
NYSE:MCB
Top Page
Metropolitan Bank Holding
(NYSE:MCB)
Select Model
Select Model
Rating:71Outperform
Price Target:
$100.00
â–²(5.69% Upside)
The score is driven primarily by solid financial performance (strong cash generation and improved leverage, despite weaker margins) and a positive earnings outlook with guidance for continued growth and strong ROTCE. Technicals support the trend but are tempered by overbought signals, while valuation is reasonable but with limited dividend support.
Positive Factors
Deposit-led Funding & Liquidity
Sustained deposit inflows and elimination of $450M in wholesale funding materially strengthen funding stability and lower funding costs. This deposit-led model supports durable loan growth without reliance on volatile wholesale markets, improving liquidity and reducing refinancing risk over the medium term.
Strong Free Cash Flow Generation
Nearly 25% TTM free cash flow growth and a free cash flow to net income ratio near 1 indicate efficient conversion of earnings into cash. Durable cash generation provides flexibility for dividend increases, buybacks, investments, and loan growth while bolstering the bank's capital and liquidity buffers.
Margin Expansion & ROTCE Guidance
Management's guidance for modest NIM expansion to ~4.1% and ROTCE near 16% suggests durable profitability improvement driven by loan repricing, deposit funding gains, and disciplined expense control. If achieved, this underpins sustainable return generation and internal capital build.
Negative Factors
Declining Profitability Margins
Material margin compression versus prior year signals weakening profitability drivers that could persist absent pricing or cost action. Lower gross and net margins erode earnings power, constrain ROE recovery, and limit internal capital generation needed to fund growth and shareholder returns over the medium term.
Low Noninterest Income Run‑Rate
A thin fee-income base increases reliance on net interest income and heightens earnings cyclicality tied to loan yields and rates. Limited diversification of revenue constrains resilience in down cycles and requires sustained strategic investment to rebuild fee businesses for more stable, long-term revenue streams.
Sensitivity to Rate Path & Prepayments
Profitability and guidance are exposed to macro and behavioral drivers: Fed moves, deposit betas, and prepayment volatility can compress NIM and reduce loan yield on reinvestment. This structural sensitivity adds execution risk to targets and can generate earnings variability over the next several quarters.
Metropolitan Bank Holding (MCB) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$953.59M
Dividend Yield0.38%
Average Volume (3M)85.05K
Price to Earnings (P/E)14.0
Beta (1Y)0.87
Revenue Growth6.48%
EPS Growth8.78%
CountryUS
Employees291
SectorFinancial
Sector Strength70
IndustryBanks - Regional
Share Statistics
EPS (TTM)2.77
Shares Outstanding10,298,002
10 Day Avg. Volume92,841
30 Day Avg. Volume85,050
Financial Highlights & Ratios
PEG Ratio-0.69
Price to Book (P/B)0.89
Price to Sales (P/S)1.33
P/FCF Ratio4.48
Enterprise Value/Market Cap1.01
Enterprise Value/Revenue1.89
Enterprise Value/Gross Profit3.69
Enterprise Value/Ebitda11.38
Forecast
1Y Price Target
$96.50Price Target Upside1.99% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Metropolitan Bank Holding Business Overview & Revenue Model
Company DescriptionMetropolitan Bank Holding Corp. operates as the bank holding company for Metropolitan Commercial Bank that provides a range of business, commercial, and retail banking products and services to small businesses, middle-market enterprises, public entities, and individuals in the New York metropolitan area. The company offers checking, savings, term deposit, and money market accounts, as well as certificates of deposit. It also provides lending products, including commercial real estate, construction, multi-family, and one-to four-family real estate loans; commercial and industrial loans; consumer loans; acquisition and renovation loans; loans to refinance or return borrower equity; loans on owner-occupied properties; working capital lines of credit; trade finance and letters of credit; and term loans. In addition, the company offers cash management services, as well as online and mobile banking, ACH, remote deposit capture, and debit card services. It operates six banking centers in Manhattan, Brooklyn, Great Neck, and Long Island. Metropolitan Bank Holding Corp. was founded in 1999 and is headquartered in New York, New York.
How the Company Makes MoneyMetropolitan Bank Holding generates revenue primarily through interest income from loans, which constitutes a significant portion of its earnings. The bank offers various types of loans, including commercial real estate loans, construction loans, and consumer loans, earning interest on the amounts lent to clients. Additionally, MCB earns fee income from services such as treasury management, deposit account services, and other banking fees. The bank may also generate income through investments in securities and other financial instruments. Partnerships with local businesses, real estate developers, and community organizations help to strengthen its client base and drive growth in loan origination and deposits, contributing to overall revenue.
Metropolitan Bank Holding Earnings Call Summary
Earnings Call Date:Jan 20, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 16, 2026
Earnings Call Sentiment Positive
The call presents a predominantly positive picture: the bank delivered strong full-year loan (≈13%) and deposit (≈23%) growth, improved NIM and top-line NII, eliminated $450 million of wholesale funding, showed sequential expense control, and provided constructive 2026 guidance (targeting ~12% loan growth, ~4.1% NIM and ~16% ROTCE). Lowlights include elevated Q4 prepayments that muted quarter loan growth and added one-time items (~$4.6M), modest noninterest income, a small NPA uptick (~$5M) with ongoing workouts, and near-term transformation and real estate expense headwinds. Overall, positives outweigh the manageable and largely non-recurring negatives.Q4-2025 Updates
Positive Updates
Strong Annual Loan Growth
Loan portfolio expanded by approximately $775–$776 million for the year, representing nearly 13% year-over-year growth; total loan originations reached about $1.9 billion.
Robust Deposit Expansion
Deposits grew by roughly $1.4 billion for the year (about 23%); quarter-over-quarter deposit growth was $34 million (≈4.3%), and the spot cost of interest-bearing deposits declined ~43 basis points Q/Q.
Net Interest Margin and NII Expansion
Reported fourth-quarter NIM was 4.10%, up 22 basis points from the prior quarter (adjusted NIM ≈4.02% after above-normal prepayment/fee items); fourth-quarter net interest income was $85.3 million, up >10% linked quarter and nearly 20% year-over-year.
Improved Profitability Metrics and EPS
Diluted EPS for the fourth quarter was $2.77; adjusted ROTCE for the quarter was just north of 14% with forecasted ROTCE approaching ~16% for 2026.
Wholesale Funding Eliminated
Paid off all wholesale funding totaling $450 million during 2025, reducing funding cost and reliance on non-deposit funding sources.
Operational Discipline and Expense Reductions
Noninterest expense for the quarter was $44.4 million, down $1.4 million versus prior quarter driven by a $1.3 million reduction in compensation & benefits and a $649k decline in professional fees; bank provided FY2026 OpEx guidance of $189–$191 million reflecting disciplined planning.
Branch Expansion and Market Presence
Opened a full-service branch in Lakewood, NJ in Q4 and plans to open two branches in Florida (Miami and West Palm Beach) in 2026 to deepen presence in key growth markets.
2026 Guidance — Continued Growth with Defensible NIM
Management expects ~ $800 million (≈12%) loan growth in 2026 funded by deposits, modest NIM expansion and an annual NIM target of ~4.1%; forecasts 5–10% noninterest income growth and maintains securities portfolio at ~10–12% of the balance sheet.
Negative Updates
Elevated Loan Prepayments Impacting Q4 Growth
Fourth-quarter loan book was essentially flat due to approximately $317 million of prepayments (about $150 million above the trailing three-quarter run rate), which reduced quarter loan growth and generated above-normal prepayment/fee income.
One-Time / Non-Core Items Affecting Comparability
Non-core items (prepayment penalty/deferred fee income, insurance claim recovery and compensation accrual adjustment) totaled an estimated $4.6 million (≈$0.30 per share), creating noise in quarter results and requiring adjustment to evaluate underlying performance.
Low Noninterest Income Run-Rate
Fourth-quarter noninterest income was only $3.1 million; management acknowledged the need to rebuild fee income and does not expect further securities gains, indicating continued reliance on interest income.
Asset Quality — Small NPA Increase and Ongoing Workouts
Nonperforming assets increased by about $5 million in the quarter (two in‑market multifamily loans), and management is still working through workouts on specific reserves booked in 2025 with final dispositions potentially causing allowance adjustments outside of normal planning.
Higher Near-Term Transformation and Real Estate Costs
Digital transformation (Modern Banking in Motion) incurred $3.1 million in Q4 with $3 million first-quarter spend expected for conversion extension; additional real estate expansion adds ~$1 million to 2026 expense (run rate ~$2.2 million annually) and deposit-vertical fees are expected to increase ~$6 million.
Limited Near-Term Core C&I Growth
Management does not expect substantial core C&I growth in the near term and will continue to manage that portfolio more conservatively, limiting diversification of loan growth.
Capital Metrics Moderately Constrained
Reported CET1 ratio of about 10.7%; management prefers to run TCE from the current high‑8s (~8.8%) to low‑9s as they grow the balance sheet, implying constrained excess capital headroom while pursuing double-digit growth.
Sensitivity to Interest Rate Path and Prepayment Assumptions
Guidance and NIM outlook depend materially on the timing/number of Fed rate cuts, deposit beta assumptions (~75% observed during easing) and loan spread dynamics; accelerated prepayments and uncertain reinvestment/pricing could pressure projected margins.
Company Guidance
The company’s 2026 guidance assumes two 25-basis-point Fed cuts (June and September) and targets roughly $800 million (≈12%) loan growth funded entirely with deposits, with new loan mix ~70% fixed / 30% floating and modest spread tightening (renewals assumed 25–50 bps below new origination); loan pipelines include ~$1.1 billion of inventory at a WACC of 6.94% (expect to retain 75–80% of cash flows) and management noted prior-quarter originations/draws of ~$599 million at a 7.28% WACC and Q4 prepayments of ~$317 million (~$150 million above the trailing run rate). Balance-sheet and margin assumptions include maintaining securities at ~10–12% of footings, using a generic cost of funds = Fed funds −50 bps, hedged indexed deposits of $1.0 billion (positive carry at an effective Fed funds ≈3.5%), a modestly expanding annual NIM of about 4.1% (Q4 NIM 4.1%, adjusted ~4.02%), and continued deposit-led funding after deposits grew ~$1.4 billion (≈23% YoY; Q4 +$34 million, ≈4.3%) with cost of interest-bearing deposits down 43 bps QoQ. On the P&L, management expects noninterest income growth of 5–10%, operating expenses of $189–191 million (including $3 million Q1 digital spend, ~$1 million incremental 2026 premises expense toward a $2.2 million run rate, and ~$6 million of deposit-vertical fees), and a forecasted ROTCE approaching 16% (with TCE trending from the high‑8s toward the low‑9s).Metropolitan Bank Holding Financial Statement Overview
Summary
Solid overall fundamentals supported by strong free cash flow growth (24.94% TTM) and improved leverage (debt-to-equity 0.43). Offsetting this, profitability has softened with materially lower gross and net margins versus prior year and slightly lower ROE (8.71% TTM).Income Statement
Metropolitan Bank Holding shows a consistent revenue growth trajectory, with a TTM revenue growth rate of 1.55%. However, margins have been declining over the years, with the TTM gross profit margin at 40.42% compared to 59.13% in 2023. The net profit margin has also decreased to 12.52% in the TTM period. Despite these declines, the company maintains a solid EBIT margin of 18.03%.72
Positive
Balance Sheet
The company has managed its leverage well, with a TTM debt-to-equity ratio of 0.43, which is an improvement from previous years. However, the return on equity has slightly decreased to 8.71% in the TTM period, indicating a need for better profitability. The equity ratio remains stable, reflecting a balanced asset structure.68
Positive
Cash Flow
Metropolitan Bank Holding has shown strong free cash flow growth of 24.94% in the TTM period, indicating robust cash generation capabilities. The free cash flow to net income ratio is nearly 1, suggesting efficient conversion of income into cash. However, the operating cash flow to net income ratio is low, indicating potential areas for improvement in operational efficiency.75
Positive
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 510.83M | 492.21M | 403.31M | 287.33M | 196.98M | 160.10M |
| Gross Profit | 261.46M | 270.66M | 238.46M | 245.63M | 176.88M | 132.44M |
| EBITDA | 84.85M | 85.67M | 114.06M | 106.61M | 94.63M | 62.52M |
| Net Income | 63.66M | 66.69M | 77.27M | 59.42M | 60.55M | 39.47M |
Balance Sheet | ||||||
| Total Assets | 8.23B | 7.30B | 7.07B | 6.27B | 7.12B | 4.33B |
| Cash, Cash Equivalents and Short-Term Investments | 920.72M | 267.16M | 269.46M | 257.42M | 2.93B | 1.13B |
| Total Debt | 292.36M | 457.44M | 546.59M | 257.73M | 57.17M | 61.62M |
| Total Liabilities | 7.50B | 6.57B | 6.41B | 5.69B | 6.56B | 3.99B |
| Stockholders Equity | 732.04M | 729.83M | 659.02M | 575.90M | 556.99M | 340.79M |
Cash Flow | ||||||
| Free Cash Flow | 136.84M | 145.83M | 36.68M | 66.65M | 33.28M | 83.36M |
| Operating Cash Flow | 141.35M | 148.46M | 42.43M | 85.89M | 37.28M | 87.27M |
| Investing Cash Flow | -853.17M | -369.61M | -775.45M | -1.23B | -1.30B | -489.04M |
| Financing Cash Flow | 779.28M | 151.96M | 745.07M | -958.47M | 2.76B | 876.85M |
Metropolitan Bank Holding Technical Analysis
Positive
94.62
Price Trends
80.22
Positive
76.62
Positive
72.72
Positive
Market Momentum
3.91
Negative
70.21
Negative
79.68
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MCB, the sentiment is Positive. The current price of 94.62 is above the 20-day moving average (MA) of 85.08, above the 50-day MA of 80.22, and above the 200-day MA of 72.72, indicating a bullish trend. The MACD of 3.91 indicates Negative momentum. The RSI at 70.21 is Negative, neither overbought nor oversold. The STOCH value of 79.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MCB.
Metropolitan Bank Holding Risk Analysis
Metropolitan Bank Holding disclosed 36 risk factors in its most recent earnings report. Metropolitan Bank Holding reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Metropolitan Bank Holding Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
79 Outperform | $873.77M | 11.39 | 11.65% | 3.39% | 1.22% | 15.97% | |
79 Outperform | $1.16B | 11.39 | 13.88% | 1.70% | 4.33% | -2.20% | |
79 Outperform | $848.03M | 11.06 | 13.78% | 3.21% | 3.86% | 12.33% | |
71 Outperform | $953.59M | 13.99 | 8.80% | 0.38% | 6.48% | 8.78% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
63 Neutral | $879.80M | 37.50 | 2.90% | 1.34% | 6.45% | 8.32% | |
57 Neutral | $902.45M | -5.70 | -26.60% | 3.50% | -78.64% | -913.67% |
* Financial Sector Average
MCB
Metropolitan Bank Holding
94.62
30.59
47.78%
CPF
Central Pacific Financial
32.98
3.94
13.58%
HBNC
Horizon Bancorp
17.96
1.69
10.40%
EQBK
Equity Bancshares
47.13
3.43
7.85%
AMAL
Amalgamated Bank
40.19
6.64
19.81%
HBT
HBT Financial
27.92
3.67
15.13%
Metropolitan Bank Holding Corporate Events
Business Operations and StrategyStock BuybackDividendsFinancial Disclosures
Metropolitan Bank Holding Reports Strong Q4 2025 Earnings
Positive
Jan 20, 2026
On January 20, 2026, Metropolitan Bank Holding Corp. reported a sharp improvement in fourth-quarter 2025 earnings, with net income rising to $28.9 million, or $2.77 per diluted share, from $7.1 million in the prior quarter and $21.4 million a year earlier, driven by net interest income of $85.3 million and a wider net interest margin of 4.10%. The company posted an annualized return on average equity of 15.6% and return on average tangible common equity of 15.8% for the quarter, supported by loan growth to $6.8 billion and robust deposit expansion to $7.4 billion at year-end 2025, which funded loan growth, enabled repayment of all wholesale funding, and bolstered liquidity to $3.3 billion in cash and available secured capacity. Management highlighted 2025 as a year of organic growth, with loans up 12.9% and deposits up 23.3% from December 31, 2024, while the bank remained well capitalized, repurchased about 293,000 shares at a discount to tangible book value, modestly increased its quarterly dividend to $0.20 per share on January 16, 2026, and acknowledged higher non-owner-occupied CRE concentration partly due to stock buybacks funded by bank dividends.
The most recent analyst rating on (MCB) stock is a Buy with a $87.00 price target. To see the full list of analyst forecasts on Metropolitan Bank Holding stock, see the MCB Stock Forecast page.
Dividends
Metropolitan Bank Holding Raises Quarterly Common Stock Dividend
Positive
Jan 16, 2026
On January 16, 2026, Metropolitan Bank Holding Corp.’s board of directors approved a higher quarterly cash dividend of $0.20 per share on its common stock, up from $0.15 per share previously, underscoring confidence in the company’s financial position and capital strength. The dividend will be paid on February 6, 2026, to shareholders of record as of the close of business on January 27, 2026, providing increased income to investors and reinforcing the bank’s shareholder-return profile within the regional banking sector.
The most recent analyst rating on (MCB) stock is a Hold with a $89.00 price target. To see the full list of analyst forecasts on Metropolitan Bank Holding stock, see the MCB Stock Forecast page.
Financial Disclosures
Metropolitan Bank Reports Q3 2025 Financial Results
Neutral
Oct 23, 2025
On October 23, 2025, Metropolitan Bank Holding Corp. reported its financial results for the third quarter of 2025, highlighting a net interest income growth of 18.5% compared to the previous year. The company’s net income was $7.1 million, a decrease from $18.8 million in the previous quarter, influenced by a $23.9 million provision for credit losses. Despite the decrease in earnings per share to $0.67, the company saw an increase in total loans and deposits, reflecting a robust balance sheet expansion. The bank’s net interest margin improved to 3.88%, supported by loan and deposit pricing strategies, and the company remains well-capitalized.
The most recent analyst rating on (MCB) stock is a Buy with a $84.00 price target. To see the full list of analyst forecasts on Metropolitan Bank Holding stock, see the MCB Stock Forecast page.
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.