Main Street Financial Services (MSWV) AI Stock Analysis

• Market Cap: $135.35M
• Dividend Yield: 3.2%
• Average Volume (3M): 2.15K
• Price to Earnings (P/E): 9.0
• Beta (1Y): 0.21
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: N/A
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.58
• Shares Outstanding: 7,801,011
• 10 Day Avg. Volume: 385
• 30 Day Avg. Volume: 2,149
• PEG Ratio: -0.30
• Price to Book (P/B): 0.80
• Price to Sales (P/S): 1.36
• P/FCF Ratio: 12.22
• Enterprise Value/Market Cap: 1.22
• Enterprise Value/Revenue: 1.99
• Enterprise Value/Gross Profit: 3.32
• Enterprise Value/Ebitda: 9.53
• 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: 77 Outperform
• Price Target: $20.00 ▲(15.61% Upside)

Main Street Financial Services is positioned well with strong technical indicators and an attractive valuation, suggesting potential for price appreciation. However, financial performance shows some profitability challenges that need addressing. The lack of recent earnings call data limits insights into management's outlook and strategic direction.

Positive Factors

Revenue Growth

A 21% revenue growth rate indicates strong business expansion and effective client acquisition strategies, supporting long-term growth potential.

Operational Efficiency

Improved EBIT margin reflects enhanced operational efficiency, which can lead to better profitability and competitive positioning over time.

Balanced Leverage

A moderate debt-to-equity ratio suggests prudent financial management, maintaining flexibility for future investments and growth opportunities.

Negative Factors

Declining Profit Margins

Declining net profit margins indicate rising costs or inefficiencies, which could impact the company's ability to sustain profitability long-term.

Reduced ROE

A declining ROE suggests reduced profitability relative to shareholder investment, potentially affecting investor confidence and capital attraction.

Limited Cash Flow Data

Absence of detailed cash flow data hinders evaluation of cash management and reinvestment capacity, crucial for long-term financial health.

Main Street Financial Services Business Overview & Revenue Model

Company Description

Main Street Financial Services Corp. operates as the financial services holding company for Main Street Bank Corp. that provides various banking products and services. It offers checking and savings accounts; and various loans, such as commercial, real estate, installment, consumer, and residential loans, as well as personal lines of credit. The company also provides other services, including wire transfers, ATM, business money market, Internet banking, safe deposit boxes, non-profit accounts, and renaissance services of CDs. It serves to business communities, professionals, and individuals. Main Street Financial Services Corp. was founded in 2001 and is based in Wheeling, West Virginia.

How the Company Makes Money

Main Street Financial Services generates revenue through multiple streams, primarily by charging fees for its investment management and advisory services. The company typically employs a fee-based model where clients pay a percentage of assets under management (AUM) annually. Additionally, MSWV may earn commissions on the sale of financial products such as insurance policies and mutual funds. Strategic partnerships with financial institutions and technology providers also enhance its service offerings and can lead to referral fees or shared revenue opportunities. Overall, a combination of fee income, commissions, and partnerships contributes to the firm's financial performance.

Main Street Financial Services Financial Statement Overview

Summary

Main Street Financial Services shows solid revenue growth and improved operational efficiency. However, declining net profit margins and ROE suggest potential profitability challenges. The company maintains a moderate leverage position but has seen a decrease in its equity ratio. The lack of current cash flow data limits the evaluation of cash management strategies. Overall, the company is on a stable financial footing but faces challenges that need addressing to enhance profitability and growth sustainability.

Income Statement

Main Street Financial Services has demonstrated a solid revenue growth rate of 21% in the most recent year, indicating a positive trajectory in its income generation. The gross profit margin remains strong at 100% due to the nature of the banking industry where cost of goods sold is typically zero. However, the net profit margin declined to 14.7% from 21.5% the previous year, suggesting increased expenses or lower efficiency. The EBIT margin improved to 35.6% from 26.5%, showcasing operational efficiency gains. The absence of EBITDA data for the current year limits a comprehensive analysis of operational cash generation.

Balance Sheet

The company's debt-to-equity ratio is 0.9, which indicates a moderate level of leverage, suggesting a balanced approach to financing through debt. The return on equity (ROE) stood at 4.3%, a decline from the previous year's 10.5%, reflecting reduced profitability relative to shareholder investment. The equity ratio decreased to 7.8% from 8.9%, implying a slight increase in financial risk due to higher liabilities relative to assets.

Cash Flow

Cash flow analysis is challenging due to the absence of detailed cash flow data for the current year. Previously, the operating cash flow to net income ratio was healthy, indicating robust cash generation from operations. However, the lack of free cash flow data for 2024 makes it difficult to assess the company's cash management and reinvestment capacity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	82.65M	64.49M	38.11M	22.78M	21.57M	21.61M
Gross Profit	49.70M	36.83M	25.19M	20.07M	18.44M	17.15M
EBITDA	17.29M	7.78M	10.42M	7.50M	7.41M	6.06M
Net Income	13.94M	4.70M	7.83M	5.56M	5.42M	4.42M
Balance Sheet
Total Assets	1.45B	1.41B	809.95M	603.79M	607.43M	511.06M
Cash, Cash Equivalents and Short-Term Investments	52.38M	54.42M	20.88M	33.12M	69.14M	38.16M
Total Debt	82.24M	117.44M	47.00M	19.59M	22.19M	19.69M
Total Liabilities	1.33B	1.30B	756.98M	555.68M	558.48M	465.38M
Stockholders Equity	116.56M	110.64M	52.97M	48.10M	48.95M	45.68M
Cash Flow
Free Cash Flow	0.00	7.20M	6.75M	3.21M	2.46M	3.37M
Operating Cash Flow	0.00	7.51M	6.95M	4.63M	5.46M	3.60M
Investing Cash Flow	0.00	-16.45M	-67.80M	-34.62M	-66.14M	-45.39M
Financing Cash Flow	0.00	42.48M	67.95M	-6.03M	91.66M	33.18M

Main Street Financial Services Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 17.30
• 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 MSWV, the sentiment is Positive. The current price of 17.3 is above the 20-day moving average (MA) of 17.27, above the 50-day MA of 17.19, and above the 200-day MA of 14.93, indicating a bullish trend. The MACD of 0.05 indicates Positive momentum. The RSI at 53.10 is Neutral, neither overbought nor oversold. The STOCH value of 28.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MSWV.

Main Street Financial Services Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MSWV	77 Outperform	$135.35M	9.02	12.53%	3.20%	―	―
SBFG	76 Outperform	$132.40M	9.94	10.12%	2.69%	10.78%	21.72%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
SRBK	67 Neutral	$126.99M	43.82	1.57%	0.88%	9.43%	166.36%
AFBI	64 Neutral	$124.28M	17.63	5.95%	―	5.18%	36.12%
RBKB	63 Neutral	$132.63M	26.22	3.95%	―	22.30%	―
BSBK	48 Neutral	$112.05M	219.90	0.35%	―	-15.09%	―