Northrim Bancorp (NRIM) AI Stock Analysis

• Market Cap: $524.21M
• Dividend Yield: 2.65%
• Average Volume (3M): 48.03K
• Price to Earnings (P/E): 11.8
• Beta (1Y): 1.09
• Revenue Growth: 27.34%
• EPS Growth: 39.43%
• Country: US
• Employees: 503
• Sector: Financial
• Sector Strength: 72
• Industry: Banks - Regional
• EPS (TTM): 2.09
• Shares Outstanding: 5,522,667
• 10 Day Avg. Volume: 44,675
• 30 Day Avg. Volume: 48,031
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.07
• Enterprise Value/Revenue: 2.51
• Enterprise Value/Gross Profit: 3.18
• Enterprise Value/Ebitda: 9.12
• 1Y Price Target: $98.00
• Price Target Upside: 3.22% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 74 Outperform
• Price Target: $98.00 ▲(3.22% Upside)

Northrim Bancorp's strong financial performance is the most significant factor, supported by robust profitability and cash flow generation. The stock's valuation is reasonable, enhancing its attractiveness. However, technical indicators suggest caution due to potential overbought conditions and bearish momentum.

Northrim Bancorp Business Overview & Revenue Model

Company Description

Northrim Bancorp, Inc. (NRIM) is a financial holding company based in Alaska, primarily engaged in the banking sector through its subsidiary, Northrim Bank. The company provides a wide range of financial services, including personal and commercial banking, mortgage financing, and investment management. Northrim Bancorp focuses on the Alaskan market, catering to both individual and business customers, and aims to foster economic development in the region.

How the Company Makes Money

Northrim Bancorp generates revenue primarily through interest income from loans and interest-earning assets. The company offers various loan products, including commercial loans, residential mortgages, and consumer loans, which are a significant source of interest income. Additionally, Northrim earns non-interest income through fees associated with account services, mortgage origination, and investment management services. The bank also invests in securities to generate interest income. Partnerships with local businesses and community organizations enhance its service offerings and customer base, contributing to its overall earnings. The company strategically focuses on the growing Alaskan economy, which is critical to its revenue model.

Northrim Bancorp Financial Statement Overview

Summary

Northrim Bancorp exhibits a strong overall financial performance with robust revenue and profit growth, low leverage, and solid equity ratios. While there are areas to monitor, such as EBIT margin contraction and negative free cash flow growth, the company's financial health appears stable and well-managed, positioning it favorably within the regional banking sector.

Income Statement

Northrim Bancorp has demonstrated solid revenue growth with a TTM increase from $155.2 million to $168.9 million, indicating a positive trajectory. The gross profit margin remains strong at approximately 94.4% for TTM. The net profit margin is healthy at 24.9% TTM, showing profitability. However, there is a slight contraction in EBIT margin from 27.1% in the previous year to 30.2% TTM, which should be monitored.

Balance Sheet

The company's balance sheet reflects financial stability with a low debt-to-equity ratio of 0.03, indicating conservative leverage. The equity ratio is robust at 8.9% TTM, showing a solid equity base. Return on Equity (ROE) has improved to 15.1% TTM, showcasing effective use of equity. Overall, the balance sheet demonstrates financial prudence and strength.

Cash Flow

Northrim Bancorp's cash flow performance is mixed. The operating cash flow to net income ratio is strong at 1.32 TTM, indicating efficient cash generation. The free cash flow to net income ratio is commendable at 1.33. However, the negative free cash flow growth compared to the previous year is a concern. Despite this, the company maintains a healthy cash flow position.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	222.83M	195.96M	158.33M	134.41M	136.87M	140.04M
Gross Profit	176.20M	151.93M	125.79M	127.35M	137.19M	131.56M
EBITDA	61.41M	50.60M	34.92M	41.66M	52.47M	46.75M
Net Income	44.85M	36.97M	25.39M	30.74M	37.52M	32.89M
Balance Sheet
Total Assets	3.24B	3.04B	2.81B	2.67B	2.72B	2.12B
Cash, Cash Equivalents and Short-Term Investments	473.15M	541.35M	756.47M	936.38M	1.07B	363.60M
Total Debt	80.41M	40.84M	33.08M	34.27M	35.78M	37.51M
Total Liabilities	2.95B	2.77B	2.57B	2.45B	2.49B	1.90B
Stockholders Equity	290.22M	267.12M	234.72M	218.63M	237.82M	221.57M
Cash Flow
Free Cash Flow	47.81M	-9.35M	32.61M	74.28M	109.48M	-39.72M
Operating Cash Flow	47.44M	-8.73M	38.92M	78.12M	111.99M	-36.45M
Investing Cash Flow	-271.49M	-197.63M	-254.92M	-405.57M	-159.09M	-382.82M
Financing Cash Flow	310.91M	150.56M	75.33M	-58.98M	576.96M	439.82M

Northrim Bancorp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 94.94
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NRIM, the sentiment is Positive. The current price of 94.94 is above the 20-day moving average (MA) of 86.76, above the 50-day MA of 90.44, and above the 200-day MA of 82.59, indicating a bullish trend. The MACD of 1.24 indicates Negative momentum. The RSI at 67.33 is Neutral, neither overbought nor oversold. The STOCH value of 93.60 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NRIM.

Northrim Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TCBX	79 Outperform	$554.17M	13.32	12.21%	―	10.44%	62.82%
FBIZ	76 Outperform	$433.32M	9.17	14.31%	2.13%	8.45%	21.74%
GCBC	75 Outperform	$408.13M	13.21	14.00%	1.54%	13.07%	25.72%
NRIM	74 Outperform	$524.21M	11.81	16.69%	2.65%	27.34%	39.43%
COFS	69 Neutral	$465.77M	24.61	4.37%	3.58%	38.01%	-58.08%
Sector *	68 Neutral	$17.84B	12.03	10.32%	3.73%	9.70%	0.76%
FFIC	62 Neutral	$458.71M	16.43	-5.27%	6.43%	-7.00%	-233.54%

Northrim Bancorp Corporate Events

Northrim Bancorp Holds 2025 Annual Shareholder Meeting

On May 22, 2025, Northrim BanCorp, Inc. conducted its 2025 Annual Meeting of Shareholders, where key decisions were made regarding the company’s governance and financial strategies. The shareholders voted on the election of 13 directors, the approval of the 2025 Stock Incentive Plan, the compensation of executive officers, and the ratification of Moss Adams LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025. These decisions are pivotal for the company’s operational and strategic direction in the upcoming year.