Northeast Community Bancorp (NECB) AI Stock Analysis

• Market Cap: $296.96M
• Dividend Yield: 4.49%
• Average Volume (3M): 49.25K
• Price to Earnings (P/E): 6.5
• Beta (1Y): 0.81
• Revenue Growth: -0.72%
• EPS Growth: -7.24%
• Country: US
• Employees: 136
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.87
• Shares Outstanding: 14,027,240
• 10 Day Avg. Volume: 43,944
• 30 Day Avg. Volume: 49,253
• PEG Ratio: 0.87
• Price to Book (P/B): 1.01
• Price to Sales (P/S): 2.01
• P/FCF Ratio: 6.67
• Enterprise Value/Market Cap: 1.50
• Enterprise Value/Revenue: 2.83
• Enterprise Value/Gross Profit: 4.43
• Enterprise Value/Ebitda: 7.13
• 1Y Price Target: $24.00
• Price Target Upside: 13.37% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): 3.17
• Revenue Forecast (FY): $104.74M

• Rating: 71 Outperform
• Price Target: $21.50 ▲(1.56% Upside)

Northeast Community Bancorp's strong financial performance and attractive valuation are key strengths, despite technical indicators suggesting a bearish trend. The stock's low P/E ratio and high dividend yield make it appealing for value investors, while recent revenue and cash flow challenges warrant caution.

Positive Factors

Profitability

A strong net profit margin indicates efficient operations and the ability to generate significant profit from revenue, supporting long-term financial stability.

Balance Sheet Health

A manageable debt-to-equity ratio suggests financial stability and the ability to leverage growth opportunities without excessive risk.

Capital Position

A strong capital position ensures resilience against economic fluctuations and supports sustained growth and investment in community banking services.

Negative Factors

Revenue Growth Decline

Declining revenue growth can signal challenges in market expansion or product competitiveness, potentially impacting future profitability.

Cash Flow Management

A decline in free cash flow growth suggests potential challenges in cash management, which could affect the company's ability to fund operations and growth initiatives.

Operational Cash Generation

Low operational cash generation may indicate inefficiencies in converting income to cash, potentially limiting financial flexibility and investment capacity.

Northeast Community Bancorp Business Overview & Revenue Model

Company Description

Northeast Community Bancorp, Inc. operates as the holding company for NorthEast Community Bank that provides financial services for individuals and businesses. It accepts various deposit instruments, including checking accounts, money market accounts, regular savings accounts, and non-interest bearing demand accounts. The company also offers construction, commercial and industrial, multifamily and mixed-use real estate, non-residential real estate loans, and consumer loans. In addition, it invests in various types of liquid assets, including U.S. Treasury obligations, municipal securities, deposits at the Federal Home Loan Bank of New York, and certificates of deposit of federally insured institutions, as well as securities of various federal agencies, and of state and municipal governments. Further, the company offers investment advisory and financial planning services; and life insurance products and fixed-rate annuities. It operates seven full-service branches in New York and three full-service branches in Massachusetts; and loan production offices in White Plains and New City, New York, as well as Danvers, Massachusetts. The company was founded in 1934 and is based in White Plains, New York.

How the Company Makes Money

Northeast Community Bancorp generates revenue through several key streams. The primary source of income comes from interest earned on loans, which include commercial, residential, and consumer loans. The bank charges interest on these loans, creating a significant portion of its earnings. Additionally, NECB earns income from fees associated with various banking services, such as account maintenance fees, transaction fees, and service charges. The bank may also earn revenue from investment securities and other financial products. Partnerships with local businesses for mutual referrals and community engagement initiatives further enhance its customer base and revenue potential. Economic conditions, interest rates, and regulatory factors also play crucial roles in influencing its profitability.

Northeast Community Bancorp Financial Statement Overview

Summary

Northeast Community Bancorp demonstrates strong operational efficiency with high EBIT and EBITDA margins, although profitability has declined as seen in the reduced net profit margin and ROE. The balance sheet remains stable with moderate leverage, while cash flow generation shows positive growth. The company faces challenges in revenue growth, which could impact future profitability.

Income Statement

Northeast Community Bancorp shows a strong gross profit margin of 63.4% TTM, indicating efficient cost management. However, the net profit margin has decreased to 14.4% TTM from 29.4% in the previous year, reflecting reduced profitability. Revenue growth is negative at -1.3% TTM, suggesting challenges in revenue generation. Despite these issues, the EBIT and EBITDA margins remain robust at 39.0% and 39.8% TTM, respectively, highlighting operational efficiency.

Balance Sheet

The company maintains a healthy debt-to-equity ratio of 0.42 TTM, indicating moderate leverage. Return on equity has decreased to 7.1% TTM from 14.8% in the previous year, reflecting a decline in profitability. The equity ratio stands at 17.1% TTM, suggesting a stable capital structure with adequate equity backing.

Cash Flow

Free cash flow growth is positive at 8.5% TTM, indicating improved cash generation. The operating cash flow to net income ratio is low at 0.03 TTM, suggesting potential challenges in converting income to cash. However, the free cash flow to net income ratio remains strong at 97.2% TTM, reflecting efficient cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	157.02M	159.84M	133.70M	73.59M	50.75M	51.55M
Gross Profit	100.34M	101.88M	97.44M	65.02M	42.04M	40.76M
EBITDA	62.34M	66.96M	65.96M	35.67M	16.69M	16.68M
Net Income	43.82M	47.07M	46.28M	24.84M	11.90M	12.33M
Balance Sheet
Total Assets	2.06B	2.01B	1.76B	1.42B	1.23B	968.22M
Cash, Cash Equivalents and Short-Term Investments	64.44M	78.36M	68.77M	95.41M	152.37M	69.29M
Total Debt	174.97M	4.72M	69.20M	23.90M	31.10M	31.57M
Total Liabilities	1.71B	1.69B	1.48B	1.16B	973.69M	814.40M
Stockholders Equity	344.04M	318.34M	279.32M	261.99M	251.38M	153.82M
Cash Flow
Free Cash Flow	49.14M	48.17M	42.21M	24.23M	15.11M	14.40M
Operating Cash Flow	50.85M	48.69M	42.84M	27.54M	21.56M	15.66M
Investing Cash Flow	-122.24M	-233.99M	-357.84M	-256.59M	-178.86M	-72.12M
Financing Cash Flow	37.94M	194.89M	288.37M	172.09M	240.38M	-2.03M

Northeast Community Bancorp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 21.17
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NECB, the sentiment is Positive. The current price of 21.17 is above the 20-day moving average (MA) of 20.02, above the 50-day MA of 20.27, and below the 200-day MA of 21.59, indicating a neutral trend. The MACD of 0.01 indicates Negative momentum. The RSI at 62.56 is Neutral, neither overbought nor oversold. The STOCH value of 84.88 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NECB.

Northeast Community Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PCB	80 Outperform	$314.73M	9.20	9.38%	3.62%	10.93%	42.68%
FNLC	72 Outperform	$278.70M	8.84	11.86%	5.63%	10.46%	18.70%
NECB	71 Outperform	$296.96M	6.46	13.63%	4.49%	-0.72%	-7.24%
JMSB	69 Neutral	$269.02M	13.42	7.97%	1.49%	2.59%	18.83%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
CZFS	64 Neutral	$275.17M	8.06	10.88%	3.51%	2.16%	24.43%
WSBF	63 Neutral	$291.62M	11.91	6.95%	3.87%	-0.09%	83.67%

Northeast Community Bancorp Corporate Events

Northeast Community Bancorp Reports Stable Q3 2025 Earnings

Northeast Community Bancorp, Inc. is a community-oriented financial institution headquartered in White Plains, New York, primarily engaged in offering construction loans and various retail deposit products through its branches in New York and Massachusetts. The company recently released its earnings report for the quarter ending September 30, 2025, highlighting a stable financial performance despite a slight decline in net income compared to the previous year. Key financial metrics revealed that the company achieved a net income of $11.9 million for the quarter, a decrease from $12.7 million in the same period last year, with earnings per share dropping to $0.90 from $0.97. The company’s total assets increased to $2.06 billion, up from $2.01 billion at the end of 2024, driven by growth in loans receivable and equity securities. Looking ahead, Northeast Community Bancorp remains well-capitalized and is poised to continue its growth trajectory, with management focusing on maintaining strong capital levels and exploring opportunities to expand its loan portfolio.

Northeast Community Bancorp Declares Special Cash Dividend

On August 21, 2025, NorthEast Community Bancorp announced a special cash dividend of $0.20 per share, to be paid on October 6, 2025, to shareholders on record as of September 8, 2025. This move is part of the company’s ongoing commitment to enhancing shareholder value, reflecting its strategic focus on rewarding investors and strengthening its market position.

The most recent analyst rating on (NECB) stock is a Hold with a $25.00 price target. To see the full list of analyst forecasts on Northeast Community Bancorp stock, see the NECB Stock Forecast page.