Northeast Bancorp (NBN) AI Stock Analysis

• Market Cap: $688.32M
• Dividend Yield: 0.04%
• Average Volume (3M): 72.64K
• Price to Earnings (P/E): 8.1
• Beta (1Y): 0.90
• Revenue Growth: 33.22%
• EPS Growth: 38.44%
• Country: US
• Employees: 194
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 2.67
• Shares Outstanding: 7,977,690
• 10 Day Avg. Volume: 54,009
• 30 Day Avg. Volume: 72,641
• PEG Ratio: 0.25
• Price to Book (P/B): 1.46
• Price to Sales (P/S): 2.05
• P/FCF Ratio: 13.48
• Enterprise Value/Market Cap: 1.71
• Enterprise Value/Revenue: 3.41
• Enterprise Value/Gross Profit: 5.93
• Enterprise Value/Ebitda: 9.14
• 1Y Price Target: $108.50
• Price Target Upside: 25.75% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 69 Neutral
• Price Target: $94.00 ▲(8.95% Upside)

Northeast Bancorp's strong financial performance and attractive valuation are significant positives, contributing to a solid overall score. However, technical indicators suggest bearish momentum, which tempers the outlook. The earnings call provided a cautiously optimistic view, acknowledging both strengths and challenges.

Northeast Bancorp Business Overview & Revenue Model

Company Description

Northeast Bank provides banking services to individual and corporate customers in Maine. The company's deposit products include demand deposit, NOW, money market, savings, certificate of deposit, and individual retirement accounts, as well as checking accounts. Its loan portfolio comprises residential mortgage loans; multi-family and other commercial real estate loans; commercial and industrial loans, such as term loans, lines of credit and equipment, and receivables financing; consumer loans comprising mobile home and overdraft, and deposit-secured loans; and small business administration loans. In addition, the company offers telephone banking, online banking and bill payment, mobile banking, cash management, and remote deposit capture services, as well as debit and credit card, ATM, electronic transfer, and check services. It operates a network of nine branches in Western, Central, and Southern Maine. Northeast Bank was founded in 1872 and is headquartered in Portland, Maine.

How the Company Makes Money

Northeast Bancorp generates revenue primarily through interest income from loans and fees associated with various banking services. The company's key revenue streams include interest earned on commercial and residential loans, which constitute a significant portion of its income. Additionally, NBN earns fee income from services such as deposit accounts, ATM transactions, and wealth management services. The bank also engages in mortgage banking, which contributes to its earnings through origination fees and servicing rights. Strategic partnerships with local businesses and community organizations further enhance its market presence and customer acquisition efforts, positively impacting its overall financial performance.

Northeast Bancorp Financial Statement Overview

Summary

Northeast Bancorp exhibits strong financial health with robust revenue and profit growth, efficient operations, and a balanced capital structure. While cash flow generation is impressive, enhancing operational cash conversion remains a key area for improvement.

Income Statement

Northeast Bancorp has demonstrated strong revenue growth of 11.53% in the latest year, supported by a solid gross profit margin of 58.14%. The net profit margin of 23.77% indicates robust profitability. EBIT and EBITDA margins are healthy at 35.81%, reflecting efficient operations. Overall, the income statement shows a positive growth trajectory and stable profitability.

Balance Sheet

The company maintains a moderate debt-to-equity ratio of 0.69, indicating a balanced approach to leverage. Return on equity is strong at 16.88%, showcasing effective use of shareholder funds. The equity ratio of 11.55% suggests a conservative capital structure. The balance sheet reflects financial stability with manageable leverage.

Cash Flow

Free cash flow has grown significantly by 1653.78%, indicating improved cash generation capabilities. The operating cash flow to net income ratio is low at 0.016, suggesting potential challenges in converting income to cash. However, the free cash flow to net income ratio is high at 0.99, highlighting efficient cash management. Overall, cash flow performance is strong with room for improvement in operational cash conversion.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	345.37M	351.00M	260.51M	179.91M	109.78M	146.89M
Gross Profit	198.46M	204.09M	149.43M	119.24M	107.13M	137.25M
EBITDA	128.84M	128.84M	91.18M	68.43M	64.15M	103.69M
Net Income	83.44M	83.44M	58.23M	44.19M	42.16M	71.50M
Balance Sheet
Total Assets	4.28B	4.28B	3.13B	2.87B	1.58B	2.17B
Cash, Cash Equivalents and Short-Term Investments	428.93M	428.93M	291.04M	251.31M	226.99M	1.07B
Total Debt	339.24M	339.24M	365.44M	584.53M	34.45M	36.11M
Total Liabilities	3.78B	3.78B	2.76B	2.57B	1.33B	1.94B
Stockholders Equity	494.29M	494.29M	376.63M	296.66M	248.32M	232.39M
Cash Flow
Free Cash Flow	53.42M	53.42M	111.00K	57.64M	29.44M	7.08M
Operating Cash Flow	54.13M	54.13M	2.56M	60.11M	30.50M	8.34M
Investing Cash Flow	-919.85M	-919.85M	-158.25M	-1.23B	-248.95M	27.46M
Financing Cash Flow	1.04B	1.04B	199.94M	1.20B	-619.96M	831.03M

Northeast Bancorp Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 86.28
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NBN, the sentiment is Negative. The current price of 86.28 is below the 20-day moving average (MA) of 93.35, below the 50-day MA of 101.73, and below the 200-day MA of 94.98, indicating a bearish trend. The MACD of -2.89 indicates Positive momentum. The RSI at 33.94 is Neutral, neither overbought nor oversold. The STOCH value of 7.16 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NBN.

Northeast Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ESQ	―	$800.92M	16.48	19.19%	0.72%	17.98%	14.35%
AMAL	―	$820.77M	8.20	13.88%	2.02%	4.33%	-2.20%
UVSP	―	$836.05M	9.83	9.61%	2.88%	4.49%	20.44%
NBN	―	$688.32M	8.12	19.62%	0.04%	33.22%	38.44%
Sector *	―	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
CFFN	―	$802.12M	11.62	6.54%	5.33%	6.27%	79.32%
AMTB	―	$700.14M	10.60	7.67%	2.03%	15.37%	―

Northeast Bancorp Corporate Events

Northeast Bancorp’s Earnings Call Highlights Strong Performance

Northeast Bancorp’s recent earnings call conveyed a generally positive sentiment, highlighting a strong quarterly performance driven by robust loan purchases and a new product launch. However, the call also acknowledged challenges, including decreased Small Business Administration (SBA) gains and the impact of the government shutdown on SBA operations.

Northeast Bank Reports Strong Q1 Earnings Growth

Northeast Bank, headquartered in Portland, Maine, operates as a financial institution offering personal and business banking services, with a focus on commercial lending and Small Business Administration (SBA) loans across the United States. In its latest earnings report, Northeast Bank announced a net income of $22.5 million for the quarter ending September 30, 2025, marking an increase from the previous year’s $17.1 million. The bank declared a cash dividend of $0.01 per share, reflecting its commitment to returning value to shareholders.

Northeast Bancorp Shines in Earnings Call

Northeast Bancorp’s recent earnings call painted a picture of strong financial performance, marked by record net income and robust loan activity. Despite facing challenges such as a potential decline in SBA volume, increased competition in loan purchases, and rising noninterest expenses, the overall sentiment was positive, highlighting the company’s resilience and strategic foresight.