Northpointe Bancshares, Inc. (NPB)
NYSE:NPB
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Northpointe Bancshares, Inc.
(NYSE:NPB)
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Rating:60Neutral
Price Target:
$19.50
â–²(4.84% Upside)
Action:DowngradedDate:03/28/26
The score is held back primarily by balance-sheet and cash-flow risk (sharp 2025 leverage step-up and near-zero 2025 free cash flow), alongside weak technicals. Offsetting factors are the extremely cheap valuation and a generally positive earnings-call outlook with stable margin guidance and defined growth targets, supported by constructive recent corporate actions.
Positive Factors
Mortgage Purchase Program (MPP) expansion
Sustained, large MPP growth builds a higher-yield, fee-accretive lending franchise that diversifies interest and noninterest income. A larger MPP scale supports predictable gain-on-sale, servicing fees and improves NIM durability as long as underwriting and participation strategies remain disciplined.
Negative Factors
Sharp leverage increase (2025)
A rapid jump to materially higher leverage elevates solvency and funding risk, making earnings and capital metrics more sensitive to credit losses or rate moves. The suddenness reduces cushion for stress scenarios and constrains strategic flexibility while regulatory and market scrutiny may rise.
Read all positive and negative factors
Positive Factors
Negative Factors
Mortgage Purchase Program (MPP) expansion
Sustained, large MPP growth builds a higher-yield, fee-accretive lending franchise that diversifies interest and noninterest income. A larger MPP scale supports predictable gain-on-sale, servicing fees and improves NIM durability as long as underwriting and participation strategies remain disciplined.
Read all positive factors
Northpointe Bancshares, Inc. (NPB) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$641.59M
Dividend Yield0.42%
Average Volume (3M)151.41K
Price to Earnings (P/E)2.9
Beta (1Y)1.11
Revenue Growth18.10%
EPS Growth33.47%
CountryUS
Employees491
SectorFinancial
Sector Strength70
IndustryBanks - Regional
Share Statistics
EPS (TTM)0.52
Shares Outstanding34,494,118
10 Day Avg. Volume104,958
30 Day Avg. Volume151,405
Financial Highlights & Ratios
PEG Ratio0.05
Price to Book (P/B)0.43
Price to Sales (P/S)0.52
P/FCF Ratio5.87
Enterprise Value/Market Cap2.06
Enterprise Value/Revenue2.80
Enterprise Value/Gross Profit5.51
Enterprise Value/Ebitda11.72
Forecast
1Y Price Target
$21.50Price Target Upside15.59% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
EPS Forecast (FY)2.75
Revenue Forecast (FY)$270.90M
Northpointe Bancshares, Inc. Business Overview & Revenue Model
Company Description
Northpointe Bancshares, Inc. operates as the bank holding company for Northpointe Bank provides various banking products and services in the United States. It operates through two segments: Mortgage Purchase Program and Retail Banking. The company...
How the Company Makes Money
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Northpointe Bancshares, Inc. Earnings Call Summary
Earnings Call Date:Jan 20, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 28, 2026
Earnings Call Sentiment Positive
The call communicated strong operational and financial progress: significant balance sheet growth (assets +~$1.8B+ year-over-year), solid earnings momentum (EPS +15%), expansion of the high-yield MPP business, improving deposit relationships, and constructive 2026 guidance for MPP/AIO growth, fee income, and NIM. Challenges disclosed were relatively manageable in magnitude: modestly higher net charge-offs and nonperforming assets tied to seasoning, continued reliance on wholesale funding (wholesale funding ratio 64.6%), some quarterly volatility in gain-on-sale revenue, and anticipated higher noninterest expense and FDIC/insurance costs in 2026. Overall, the positive operational execution, clear growth targets and improved profitability metrics materially outweigh the limited credit seasoning and funding-mix risks discussed on the call.Positive Updates
Strong Balance Sheet Growth
Total assets grew from $5.2 billion at year-end 2024 to over $7.0 billion at December 31, 2025, driven largely by growth in the Mortgage Purchase Program (MPP).
Negative Updates
Credit Migration and Slightly Higher Charge-Offs
Net charge-offs increased to $1.2 million in Q4 (from $977,000 in Q3). Q4 annualized net charge-off ratio was 8 basis points (5 bps for full-year 2025). Management noted a handful of larger mortgage, land and construction loan charge-offs totaling about $1.0 million in the quarter.
Read all updates
Q4-2025 Updates
Positive
Negative
Strong Balance Sheet Growth
Total assets grew from $5.2 billion at year-end 2024 to over $7.0 billion at December 31, 2025, driven largely by growth in the Mortgage Purchase Program (MPP).
Read all positive updates
Company Guidance
Management's 2026 guidance calls for a net interest margin of 2.45%–2.55% (Q4/2025: 2.51%, FY2025: 2.45%), MPP balances to grow to $4.1B–$4.3B by year‑end with an additional $300M–$500M on average participated out, AIO balances to $900M–$1.0B, the remainder of the loan book (ex‑MPP/AIO) to decline to $1.9B–$2.1B, saleable mortgage originations of $2.2B–$2.4B with all‑in margins of 2.75%–3.25% (consumer direct ~24% of saleable volume), MPP fees of $9M–$11M, loan servicing revenue of $9M–$11M, provision expense of $3M–$4M, noninterest expense of $138M–$142M (including roughly $1M of incremental salaries/benefits), and an effective tax rate near 24.4% (Q4/2025: 26.04%); assumptions include two 25‑bp Fed cuts in 2026 and no material further decline in mortgage rates (which would be upside).Northpointe Bancshares, Inc. Financial Statement Overview
Summary
Income Statement
74
Positive
Balance Sheet
38
Negative
Cash Flow
22
Negative
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 471.18M | 390.45M | 362.45M | 324.24M | 2.17M |
| Gross Profit | 239.62M | 187.47M | 197.77M | 255.34M | 1.02M |
| EBITDA | 110.39M | 76.68M | 48.70M | 37.71M | -56.67M |
| Net Income | 83.41M | 55.16M | 33.76M | 23.24M | -57.44M |
Balance Sheet | |||||
| Total Assets | 7.02B | 1.55B | 2.61B | 4.07B | 878.74M |
| Cash, Cash Equivalents and Short-Term Investments | 501.20M | 1.27B | 2.28B | 3.45B | 670.96M |
| Total Debt | 1.54B | 28.33M | 133.87M | 74.98M | 17.64M |
| Total Liabilities | 6.45B | 84.08M | 894.81M | 1.16B | 163.42M |
| Stockholders Equity | 569.04M | 1.47B | 1.72B | 2.91B | 715.33M |
Cash Flow | |||||
| Free Cash Flow | 41.53M | 18.76M | -26.92M | -82.91M | -155.52M |
| Operating Cash Flow | 44.29M | 19.81M | -24.11M | -79.52M | -150.88M |
| Investing Cash Flow | -1.63B | -458.24M | -222.41M | 255.90M | -112.76M |
| Financing Cash Flow | 1.71B | 462.83M | 324.17M | -354.76M | 92.09M |
Northpointe Bancshares, Inc. Risk Analysis
Northpointe Bancshares, Inc. disclosed 58 risk factors in its most recent earnings report. Northpointe Bancshares, Inc. reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Northpointe Bancshares, Inc. Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
71 Outperform | $559.62M | 8.95 | 17.76% | 1.08% | 11.38% | 36.10% | |
69 Neutral | $577.45M | 8.23 | 10.83% | 4.97% | 39.98% | 413.87% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
67 Neutral | $823.99M | 9.18 | 12.01% | 4.95% | 3.93% | 17.48% | |
60 Neutral | $641.59M | 2.92 | 21.01% | 0.42% | 18.10% | 33.47% |
* Financial Sector Average
NPB
Northpointe Bancshares, Inc.
18.60
6.39
52.33%
FMNB
Farmers National Banc Oh
13.89
2.49
21.79%
UNTY
Unity Bancorp
55.87
16.51
41.95%
PFIS
Peoples Financial Services
57.75
18.85
48.47%
Northpointe Bancshares, Inc. Corporate Events
Business Operations and StrategyPrivate Placements and Financing
Northpointe Bancshares Issues $20 Million Subordinated Note
Positive
Mar 13, 2026
On March 12, 2026, Northpointe Bancshares, Inc. entered into a subordinated note purchase agreement with an institutional accredited investor and issued a $20 million 7.50% fixed-to-floating rate subordinated note due March 15, 2036, at par. The u...
Executive/Board Changes
Northpointe Bancshares Announces Planned Retirement of Three Directors
Neutral
Mar 3, 2026
On February 27, 2026, Northpointe Bancshares, Inc. announced that directors R. Jeffrey Dean, Bruce L. Edger and John M. Eggemeyer III intend to retire from the boards of both the company and its subsidiary Northpointe Bank at the end of their curr...
Executive/Board Changes
Northpointe Bancshares Adds Independent Director to Board
Positive
Feb 27, 2026
On February 27, 2026, Northpointe Bancshares, Inc. and its subsidiary Northpointe Bank expanded their boards from 10 to 11 members and appointed the Honorable Rodney E. Hood as a director and audit committee member, with his initial term running u...
Business Operations and StrategyDividendsFinancial DisclosuresPrivate Placements and Financing
Northpointe Bancshares reports strong first year as public company
Positive
Jan 20, 2026
On January 20, 2026, Northpointe Bancshares reported that in its first full year as a public company it delivered significantly stronger earnings and robust balance sheet expansion for the quarter and year ended December 31, 2025, supported by net...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.