Northeast Community Bancorp (NECB) AI Stock Analysis

• Market Cap: $303.27M
• Dividend Yield: 2.29%
• Average Volume (3M): 49.53K
• Price to Earnings (P/E): 6.1
• Beta (1Y): 0.99
• Revenue Growth: 18.40%
• EPS Growth: 15.91%
• Country: US
• Employees: 141
• Sector: Financial
• Sector Strength: 77
• Industry: Banking
• EPS (TTM): 3.58
• Shares Outstanding: 14,020,602
• 10 Day Avg. Volume: 51,906
• 30 Day Avg. Volume: 49,527
• PEG Ratio: 0.38
• Price to Book (P/B): N/A
• Price to Sales (P/S): 2.91
• Price to Cash Flow (P/CF): 5.30
• P/FCF Ratio: 3.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $31.00
• Price Target Upside: 43.32% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

Northeast Community Bancorp demonstrates impressive financial health with significant revenue growth and strong profitability margins, contributing positively to the overall score. However, technical analysis indicates bearish trends, which slightly dampen the outlook. The attractive valuation offers a solid opportunity for potential investors, balancing out the technical concerns.

Northeast Community Bancorp Business Overview & Revenue Model

Company Description

Northeast Community Bancorp (NECB) is a financial institution primarily focused on providing a wide range of banking services. Operating within the financial services sector, NECB offers products such as savings accounts, checking accounts, mortgage lending, and commercial loans. The company serves individuals, businesses, and communities in its region, emphasizing personalized customer service and community engagement.

How the Company Makes Money

Northeast Community Bancorp generates revenue primarily through interest income from its lending activities. The bank earns interest by providing loans to individuals and businesses, including residential mortgages, commercial real estate loans, and construction loans. Additionally, the company makes money from service fees associated with deposit accounts, transaction processing, and other banking services. NECB's earnings are also supplemented by investment income from securities and other financial instruments. The company's strategic partnerships with other financial institutions and businesses enhance its service offerings and contribute to its overall revenue streams.

Northeast Community Bancorp Financial Statement Overview

Summary

Northeast Community Bancorp exhibits strong financial health, characterized by substantial revenue growth and robust profitability margins. The balance sheet shows a conservative financial strategy with low debt levels, enhancing stability. Strong cash flows further reinforce the company's financial position, although there is potential for improved equity utilization to enhance returns.

Income Statement

The company exhibits a strong financial performance with substantial revenue growth over the years, notably a 43.7% increase in TTM. Gross profit margins are consistently high, with the TTM gross profit margin at 100%. The net profit margin has also improved to 33.8% in TTM, indicating efficient cost management. EBIT and EBITDA margins are robust, showcasing operational efficiency.

Balance Sheet

Northeast Community Bancorp maintains a solid balance sheet with a favorable equity ratio of 15.7% in TTM, indicating a stable capital structure. The debt-to-equity ratio is low at 0.038, reflecting minimal reliance on debt financing. However, the return on equity (ROE) has room for improvement at 15.8% in TTM, suggesting potential for better utilization of equity capital.

Cash Flow

The company demonstrates strong cash flow management with a significant free cash flow growth rate of 18.9% in TTM. The operating cash flow to net income ratio stands at 1.03, indicating robust cash generation relative to income. The free cash flow to net income ratio of 1.02 highlights efficient conversion of net income into free cash flow.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
145.01M	100.95M	65.46M	45.65M	41.57M	56.15M
	Gross Profit
145.01M	99.82M	65.46M	45.65M	41.57M	56.15M
	EBIT
86.42M	64.90M	41.31M	15.57M	15.61M	17.09M
	EBITDA
34.30M	0.00	35.67M	16.69M	16.68M	0.00
	Net Income Common Stockholders
48.96M	46.28M	24.84M	11.90M	12.33M	12.95M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
0.00	68.67M	95.41M	152.37M	69.29M	127.67M
	Total Assets
0.00	1.76B	1.43B	1.23B	968.22M	955.49M
	Total Debt
0.00	69.20M	23.90M	31.10M	31.57M	22.58M
	Net Debt
0.00	425.00K	-71.51M	-121.27M	-37.72M	-105.09M
	Total Liabilities
0.00	1.48B	1.16B	31.10M	31.57M	813.38M
	Stockholders Equity
142.11M	279.32M	262.06M	251.38M	153.82M	142.11M
Cash Flow		Free Cash Flow
50.17M	42.21M	24.23M	15.11M	14.40M	10.30M
	Operating Cash Flow
50.42M	42.84M	27.54M	21.56M	15.66M	14.34M
	Investing Cash Flow
-252.43M	-357.84M	-256.59M	-178.86M	-72.12M	-7.45M
	Financing Cash Flow
193.08M	288.37M	172.09M	240.38M	-2.03M	69.43M

Northeast Community Bancorp Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 21.63
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NECB, the sentiment is Negative. The current price of 21.63 is below the 20-day moving average (MA) of 23.25, below the 50-day MA of 24.15, and below the 200-day MA of 23.27, indicating a bearish trend. The MACD of -0.70 indicates Positive momentum. The RSI at 23.56 is Positive, neither overbought nor oversold. The STOCH value of 12.19 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NECB.

Northeast Community Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NECB	74 Outperform	$303.27M	6.09	15.97%	2.29%	18.40%	15.91%
OCFC	73 Outperform	$962.68M	10.09	5.95%	4.81%	7.54%	-2.82%
THFF	70 Outperform	$572.52M	12.17	8.78%	3.82%	13.46%	-21.20%
BRKL	67 Neutral	$959.66M	13.97	5.68%	5.02%	7.79%	-8.83%
Sector *	64 Neutral	$13.81B	10.53	9.19%	4.25%	17.27%	-7.62%
COLB	63 Neutral	$5.01B	9.61	10.55%	5.88%	7.84%	54.79%
FFIC	46 Neutral	$432.86M	16.43	-4.49%	6.75%	-3.66%	-196.64%