Magyar Bancorp (MGYR) AI Stock Analysis

• Market Cap: $107.16M
• Dividend Yield: 1.57%
• Average Volume (3M): 8.88K
• Price to Earnings (P/E): 12.0
• Beta (1Y): 0.30
• Revenue Growth: 20.91%
• EPS Growth: 20.30%
• Country: US
• Employees: 91
• Sector: Financial
• Sector Strength: 72
• Industry: Banks - Regional
• EPS (TTM): 0.40
• Shares Outstanding: 6,470,948
• 10 Day Avg. Volume: 3,927
• 30 Day Avg. Volume: 8,876
• PEG Ratio: 1.20
• Price to Book (P/B): 0.93
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 16.19
• Enterprise Value/Market Cap: 1.03
• Enterprise Value/Revenue: 1.49
• Enterprise Value/Gross Profit: 6.13
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $17.50
• Price Target Upside: 2.94% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 69 Neutral
• Price Target: $18.00 ▲(5.88%Upside)

Magyar Bancorp is a stable investment with strong financial performance and reasonable valuation. Technical indicators show a positive trend, though momentum is balanced. The recent dividend announcement supports shareholder value, aligning with the overall positive outlook.

Magyar Bancorp Business Overview & Revenue Model

Company Description

Magyar Bancorp, Inc. operates as the holding company for Magyar Bank that provides various consumer and commercial banking services to individuals, businesses, and nonprofit organizations in New Jersey, the United States. It accepts various deposit accounts, including demand, savings, NOW, money market, and retirement accounts, as well as certificates of deposit. The company also provides residential mortgage loans, multi-family and commercial real estate mortgage loans, home equity loans and lines of credit, commercial business loans, and construction loans, as well as small business administration loans. In addition, it offers non-deposit investment products and financial planning services, including insurance products, fixed and variable annuities, and retirement planning for individual and commercial customers; and buys, sells, and holds investment securities. The company has seven branch offices located in New Brunswick, North Brunswick, South Brunswick, Branchburg, Bridgewater, and Edison, New Jersey. Magyar Bancorp, Inc. was founded in 1922 and is headquartered in New Brunswick, New Jersey.

How the Company Makes Money

Magyar Bancorp makes money through interest income from loans and leases, service charges on deposit accounts, and other banking-related fees. The company's primary revenue stream comes from the interest earned on loans issued to customers, including residential mortgages, commercial real estate loans, and consumer loans. Additional income is generated through service fees associated with checking and savings accounts, as well as transaction processing services. Magyar Bancorp may also earn income from investment securities and partnerships with other financial institutions that offer complementary banking products and services.

Magyar Bancorp Financial Statement Overview

Summary

Magyar Bancorp displays a strong financial profile with healthy revenue and profit growth, stable margins, and a robust balance sheet. The low debt levels and high equity base ensure financial stability, though cash flow growth is moderate.

Income Statement

Magyar Bancorp exhibits a strong revenue growth trajectory, with total revenue increasing from $31.5M to $54.9M in TTM. Gross Profit Margin stands at 40.1%, supported by consistent profit generation. Net Profit Margin at 16.4% reflects healthy profitability. There is a notable improvement in EBIT and EBITDA margins at 36.0% and 9.3% respectively, indicating efficient cost management and operational efficiency.

Balance Sheet

The balance sheet shows robust financial health with a Debt-to-Equity Ratio of 0.30, suggesting low financial leverage and prudent debt management. The Equity Ratio is 11.2%, indicating a solid capital base. Return on Equity (ROE) is strong at 7.9%, demonstrating effective use of shareholder equity to generate profit.

Cash Flow

Magyar Bancorp's cash flow statement indicates stable operations with a Free Cash Flow to Net Income Ratio of 0.77, reflecting good cash generation relative to net income. Operating Cash Flow to Net Income Ratio is 0.87, suggesting effective conversion of income into cash. Free Cash Flow growth is moderate, pointing towards stable but not aggressive liquidity enhancement.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	52.12M	40.74M	32.22M	31.62M	28.34M
Gross Profit	31.53M	30.03M	29.43M	27.05M	21.16M
EBITDA	11.99M	11.58M	12.01M	9.56M	3.96M
Net Income	7.78M	7.71M	7.92M	6.12M	2.19M
Balance Sheet
Total Assets	951.92M	907.29M	798.54M	773.99M	754.00M
Cash, Cash Equivalents and Short-Term Investments	41.21M	82.66M	40.16M	88.13M	76.29M
Total Debt	28.57M	33.90M	20.37M	23.36M	67.41M
Total Liabilities	841.37M	802.50M	700.04M	676.35M	697.15M
Stockholders Equity	110.55M	104.79M	98.50M	97.64M	56.85M
Cash Flow
Free Cash Flow	5.51M	8.18M	10.81M	8.84M	667.00K
Operating Cash Flow	6.32M	8.48M	11.20M	9.26M	814.00K
Investing Cash Flow	-90.29M	-66.05M	-69.74M	-8.20M	-79.96M
Financing Cash Flow	37.04M	99.17M	14.28M	12.41M	119.40M

Magyar Bancorp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 17.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MGYR, the sentiment is Positive. The current price of 17 is above the 20-day moving average (MA) of 16.79, above the 50-day MA of 16.19, and above the 200-day MA of 14.38, indicating a bullish trend. The MACD of 0.18 indicates Positive momentum. The RSI at 57.63 is Neutral, neither overbought nor oversold. The STOCH value of 56.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MGYR.

Magyar Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PROV	74 Outperform	$102.63M	16.26	5.09%	3.61%	5.62%	-5.99%
MGYR	69 Neutral	$107.16M	12.04	8.68%	1.57%	20.91%	20.30%
PBHC	67 Neutral	$91.26M	31.55	2.30%	2.67%	11.12%	53.85%
Sector *	58 Neutral	HK$92.47B	5.69	-3.20%	4.65%	5.50%	-56.25%
BSBK	56 Neutral	$104.20M	―	-0.73%	―	-9.96%	-23.54%
WMPN	53 Neutral	$113.45M	―	-0.81%	0.97%	2.25%	-261.40%
FNWB	43 Neutral	$75.24M	―	-6.59%	3.51%	10.23%	-109.60%

Magyar Bancorp Corporate Events

Magyar Bancorp Announces Quarterly Cash Dividend

On July 24, 2025, Magyar Bancorp announced that its Board of Directors approved a quarterly cash dividend of $0.08 per common share. This dividend will be payable on August 21, 2025, to shareholders of record as of August 7, 2025, reflecting the company’s ongoing commitment to returning value to its shareholders.

Magyar Bancorp Announces New Stock Repurchase Program

On May 22, 2025, Magyar Bancorp announced the completion of its stock repurchase program authorized in December 2022, having repurchased 337,146 shares at an average price of $12.23. The Board of Directors has authorized a new stock repurchase program to buy back up to 5% of its outstanding shares, or 323,547 shares, with timing dependent on market conditions and company liquidity needs. This move aims to manage capital effectively and support corporate purposes, potentially impacting shareholder value and market perception.