Optimumbank Holdings (OPHC) AI Stock Analysis

• Market Cap: $54.32M
• Dividend Yield: N/A
• Average Volume (3M): 12.23K
• Price to Earnings (P/E): 4.1
• Beta (1Y): 0.59
• Revenue Growth: 14.91%
• EPS Growth: 0.81%
• Country: US
• Employees: 73
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.18
• Shares Outstanding: 11,533,943
• 10 Day Avg. Volume: 10,619
• 30 Day Avg. Volume: 12,234
• PEG Ratio: 0.06
• Price to Book (P/B): 0.44
• Price to Sales (P/S): 0.70
• P/FCF Ratio: 3.07
• Enterprise Value/Market Cap: -3.28
• Enterprise Value/Revenue: -2.59
• Enterprise Value/Gross Profit: -4.06
• Enterprise Value/Ebitda: -8.17
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: $5.50 ▲(27.31% Upside)

Optimumbank Holdings scores well due to its strong financial performance and attractive valuation, indicating potential undervaluation. The recent corporate events further bolster confidence in its growth trajectory. However, technical indicators suggest limited immediate momentum, and cash flow challenges present areas for improvement.

Positive Factors

Balance Sheet Health

Extremely low leverage and a robust ROE provide durable financial flexibility: the bank can absorb credit stress, fund organic loan growth, and pursue strategic investments without large debt issuance. This strengthens resilience and supports sustainable earnings over the medium term.

Diversified Revenue Streams

A multi-stream business model—interest income, fees, investment returns and fintech partnerships—reduces reliance on any single market cycle. This structural diversification supports stable top-line and fee growth, improves cross-sell opportunities, and enhances long-term earnings predictability.

Deposit and Loan Growth

Sustained deposit and loan expansion indicates strong market traction and growing core interest income capacity. A larger deposit base improves low-cost funding, enhancing net interest margin durability and providing a stable platform for medium-term loan-led revenue growth and balance-sheet scale.

Negative Factors

Free Cash Flow Trend

A notable decline in free cash flow growth weakens internal funding for loan growth, technology, or capital returns. Over 2-6 months, continued FCF contraction could force greater dependence on external funding or constrain discretionary investments, reducing strategic flexibility.

Margin Pressure

Sustained compression in operating margins undermines profitability even with revenue gains. If cost growth or lower operating leverage persists, it will reduce return on assets and equity and limit capacity to reinvest in growth initiatives, affecting durable earnings power.

Capital Structure Dilution Risk

Conversion materially raises common share count and reshapes equity mix, diluting existing common holders and potentially reducing EPS and per-share metrics. While it retires preferred obligations, the shift alters capital allocation dynamics and may impact shareholder returns over the medium term.

Optimumbank Holdings Business Overview & Revenue Model

Company Description

OptimumBank Holdings, Inc. operates as the bank holding company for OptimumBank that provides various consumer and commercial banking services to individuals and businesses. It accepts demand interest-bearing and noninterest-bearing, savings, money market, NOW, and time deposit accounts, as well as certificates of deposit; and offers residential and commercial real estate, multi-family real estate, commercial, land and construction, and consumer loans, as well as lending lines for working capital needs. The company also provides debit and ATM cards; investment, cash management, notary, and night depository services; and direct deposits, money orders, cashier's checks, domestic collections, and banking by mail, as well as internet banking services. It operates through two banking offices located in Broward County, Florida. The company was founded in 2000 and is based in Fort Lauderdale, Florida.

How the Company Makes Money

Optimumbank Holdings generates revenue through multiple streams. The primary source is interest income from loans issued to customers, including personal, mortgage, and business loans. Additionally, the bank earns fee income from various services such as account maintenance fees, transaction fees, and wealth management services. Investment income from the bank's securities portfolio also contributes to revenue. Strategic partnerships with financial technology firms enhance the bank’s offerings and attract a broader customer base, further supporting its earnings. Overall, the company’s diversified approach to financial services allows it to capitalize on various market opportunities and mitigate risks.

Optimumbank Holdings Financial Statement Overview

Summary

Optimumbank Holdings demonstrates a strong financial performance with consistent revenue growth and profitability. The balance sheet is solid with low leverage, and the company effectively utilizes its equity. However, the decline in free cash flow growth and slight pressure on operational margins suggest areas for improvement.

Income Statement

Optimumbank Holdings shows a solid performance in its income statement with a consistent revenue growth rate of 2.78% in the TTM period. The gross profit margin is strong at 47.31%, and the net profit margin has improved to 23.61%. However, the EBIT and EBITDA margins have slightly decreased compared to the previous year, indicating some pressure on operational efficiency.

Balance Sheet

The balance sheet reflects a healthy financial position with a low debt-to-equity ratio of 0.02 in the TTM period, significantly reduced from previous years. The return on equity is robust at 14.33%, showcasing effective use of equity. However, the equity ratio is not explicitly calculated, which could provide additional insights into asset financing.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth by 10.31% in the TTM period, indicating potential challenges in cash generation. The operating cash flow to net income ratio is not available, but the free cash flow to net income ratio remains strong at 98.73%, suggesting efficient cash conversion from profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	68.67M	64.25M	39.23M	22.84M	11.82M	7.00M
Gross Profit	43.82M	37.09M	23.12M	15.33M	9.66M	4.26M
EBITDA	21.78M	18.23M	9.02M	5.96M	3.37M	-455.00K
Net Income	15.75M	13.12M	6.28M	4.02M	6.30M	-782.00K
Balance Sheet
Total Assets	1.08B	932.93M	791.25M	585.22M	351.88M	235.11M
Cash, Cash Equivalents and Short-Term Investments	235.09M	116.40M	101.02M	96.94M	93.36M	73.52M
Total Debt	2.85M	102.77M	126.25M	22.17M	37.77M	25.99M
Total Liabilities	966.15M	829.75M	721.25M	522.64M	313.37M	217.28M
Stockholders Equity	116.89M	103.18M	70.01M	62.58M	38.51M	17.83M
Cash Flow
Free Cash Flow	16.94M	14.62M	6.21M	10.04M	3.38M	-1.66M
Operating Cash Flow	17.16M	15.61M	6.88M	10.36M	3.76M	-1.46M
Investing Cash Flow	-34.50M	-125.47M	-199.66M	-229.80M	-108.76M	-62.77M
Financing Cash Flow	120.82M	126.83M	197.61M	232.31M	109.34M	109.93M

Optimumbank Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.32
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OPHC, the sentiment is Positive. The current price of 4.32 is below the 20-day moving average (MA) of 4.56, below the 50-day MA of 4.34, and above the 200-day MA of 4.32, indicating a bullish trend. The MACD of 0.14 indicates Negative momentum. The RSI at 65.78 is Neutral, neither overbought nor oversold. The STOCH value of 53.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for OPHC.

Optimumbank Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HFBL	78 Outperform	$56.30M	10.67	8.21%	3.21%	0.32%	37.93%
OPHC	73 Outperform	$54.32M	4.10	15.03%	―	14.91%	0.81%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
ASRV	66 Neutral	$54.52M	9.72	4.54%	3.87%	6.89%	―
BAFN	58 Neutral	$27.99M	-1.15	-11.14%	4.10%	1.63%	-508.72%
TCBS	55 Neutral	$48.50M	19.88	4.74%	1.10%	12.12%	―

Optimumbank Holdings Corporate Events

OptimumBank restructures capital with preferred-for-common exchange

On January 27, 2026, OptimumBank Holdings, Inc. completed a securities exchange transaction in which investor Michael Blisko swapped 65 shares of the company’s Series B Convertible Preferred Stock for 531,178 newly issued shares of common stock. The deal, executed under an exemption from registration provided by the Securities Act of 1933, effectively increased the company’s common share count while retiring a portion of its preferred equity, modestly reshaping its capital structure and potentially affecting common and preferred shareholders’ relative positions.

The most recent analyst rating on (OPHC) stock is a Buy with a $5.50 price target. To see the full list of analyst forecasts on Optimumbank Holdings stock, see the OPHC Stock Forecast page.

OptimumBank Releases Preliminary 2025 Financial Results Presentation

On January 20, 2026, OptimumBank Holdings, Inc. announced that it had released a presentation detailing its unaudited results of operations and financial condition for, and at the end of, the year ended December 31, 2025. The disclosure provides investors and other stakeholders with an early view of the bank’s 2025 performance and balance-sheet position ahead of audited figures, offering preliminary insight into the company’s recent financial trajectory and operational health.

The most recent analyst rating on (OPHC) stock is a Buy with a $5.50 price target. To see the full list of analyst forecasts on Optimumbank Holdings stock, see the OPHC Stock Forecast page.

OptimumBank Holdings Reports Strong Q3 2025 Financial Results

On November 12, 2025, OptimumBank Holdings, Inc. announced its financial results for the third quarter of 2025, reporting net earnings of $4.32 million, an increase from previous quarters. The company experienced significant growth in deposits and loans, with total deposits reaching $959.49 million and gross loans increasing to $813.72 million. The growth was driven by improved net interest income and noninterest income, despite higher noninterest expenses. The company maintained strong capital levels and expressed confidence in its continued growth and strategic investments.

The most recent analyst rating on (OPHC) stock is a Buy with a $4.50 price target. To see the full list of analyst forecasts on Optimumbank Holdings stock, see the OPHC Stock Forecast page.