Old Point Financial (OPOF) AI Stock Analysis

• Market Cap: $213.78M
• Dividend Yield: 1.34%
• Average Volume (3M): 18.29K
• Price to Earnings (P/E): 24.4
• Beta (1Y): -0.17
• Revenue Growth: 1.57%
• EPS Growth: 21.30%
• Country: US
• Employees: 260
• Sector: Financial
• Sector Strength: 71
• Industry: Banks - Regional
• EPS (TTM): 0.24
• Shares Outstanding: 5,102,197
• 10 Day Avg. Volume: 23,941
• 30 Day Avg. Volume: 18,292
• PEG Ratio: 0.63
• Price to Book (P/B): 1.16
• Price to Sales (P/S): 1.54
• P/FCF Ratio: 9.97
• Enterprise Value/Market Cap: 1.18
• Enterprise Value/Revenue: 2.93
• Enterprise Value/Gross Profit: 4.12
• Enterprise Value/Ebitda: 17.30
• 1Y Price Target: $46.00
• Price Target Upside: 9.79% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 69 Neutral
• Price Target: $46.00 ▲(9.79% Upside)

Old Point Financial's overall stock score is driven by its strong financial performance and positive corporate events related to the merger with TowneBank. However, the high P/E ratio and technical indicators suggest caution due to potential overvaluation and short-term pullback risks.

Old Point Financial Business Overview & Revenue Model

Company Description

Old Point Financial Corporation operates as the bank holding company for The Old Point National Bank of Phoebus that provides consumer, mortgage, and business banking services for individual and commercial customers in Virginia. The company offers deposit products, including interest-bearing transaction accounts, money market deposit accounts, savings accounts, time deposits, and demand deposits. It also provides real estate construction, commercial, and mortgage loans, such as residential 1-4 family mortgages, multi-family and second mortgages, and equity lines of credit; and other loans, as well as cash management services. In addition, the company offers retirement planning, estate planning, financial planning, estate and trust administration, retirement plan administration, tax, and investment management services; and insurance products and wealth management services. It operates 14 branches in the Hampton Roads localities of Hampton, Newport News, Norfolk, Virginia Beach, Chesapeake, Williamsburg/James City County, York County, and Isle of Wight County; a loan production office in Richmond, Virginia; and a mortgage loan origination office in Charlotte, North Carolina. The company was founded in 1922 and is headquartered in Hampton, Virginia.

How the Company Makes Money

Old Point Financial generates revenue primarily through interest income, which is derived from the loans it provides to customers. This includes commercial loans, residential mortgages, and consumer loans. Additionally, the bank earns non-interest income from various services such as fees from deposit accounts, transaction fees, and investment advisory services. The company's revenue model is supported by a strong local presence and relationships within the community, which helps to attract and retain customers. Significant partnerships with local businesses and organizations also contribute to its earnings by enhancing its customer base and service offerings.

Old Point Financial Financial Statement Overview

Summary

Old Point Financial exhibits a robust financial performance with strong revenue growth and solid profitability metrics. The balance sheet is healthy with low leverage, but there is room for improvement in return on equity and cash flow consistency.

Income Statement

The company has demonstrated solid revenue growth, with a notable increase in total revenue from previous years. Gross profit margin and net profit margin are strong, indicating efficient cost management and profitability. However, the EBIT margin has slightly decreased over the TTM, suggesting some pressure on operating profits.

Balance Sheet

The balance sheet shows a healthy equity position with a low debt-to-equity ratio, indicating conservative financial leverage. The equity ratio has improved, showcasing a stable asset base supported by stockholders' equity. However, the return on equity shows potential for improvement, suggesting room for enhancing shareholder returns.

Cash Flow

Operating cash flow is strong relative to net income, indicating good cash generation from operations. However, free cash flow growth has been inconsistent, pointing to some volatility in cash flow management. The free cash flow to net income ratio is healthy, but there is room for improvement in sustaining growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	86.36M	85.82M	80.28M	59.86M	57.14M	53.79M
Gross Profit	61.37M	60.91M	59.25M	54.55M	52.88M	47.50M
EBITDA	14.62M	13.94M	11.64M	13.01M	12.17M	8.44M
Net Income	9.95M	9.51M	7.73M	9.11M	8.44M	5.39M
Balance Sheet
Total Assets	1.45B	1.45B	1.45B	1.36B	1.34B	1.23B
Cash, Cash Equivalents and Short-Term Investments	140.97M	358.13M	283.04M	244.77M	411.82M	306.84M
Total Debt	69.41M	73.77M	101.50M	92.00M	33.94M	7.97M
Total Liabilities	1.33B	1.34B	1.34B	1.26B	1.22B	1.11B
Stockholders Equity	117.22M	113.97M	106.78M	98.73M	120.82M	117.14M
Cash Flow
Free Cash Flow	12.25M	13.23M	9.94M	16.21M	21.66M	-9.56M
Operating Cash Flow	13.03M	14.64M	11.00M	17.57M	23.18M	-8.63M
Investing Cash Flow	31.93M	50.66M	-32.32M	-213.44M	-60.73M	-122.24M
Financing Cash Flow	-4.42M	-6.07M	81.06M	27.20M	105.04M	161.45M

Old Point Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 41.90
• 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 OPOF, the sentiment is Positive. The current price of 41.9 is above the 20-day moving average (MA) of 40.87, above the 50-day MA of 40.60, and above the 200-day MA of 32.65, indicating a bullish trend. The MACD of 0.30 indicates Negative momentum. The RSI at 60.68 is Neutral, neither overbought nor oversold. The STOCH value of 78.49 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for OPOF.

Old Point Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VABK	79 Outperform	$225.01M	12.46	11.01%	3.26%	2.41%	14.29%
MBCN	77 Outperform	$251.81M	14.00	8.60%	2.63%	7.42%	15.82%
HWBK	76 Outperform	$225.89M	10.76	14.00%	2.35%	2.03%	390.32%
PVBC	71 Outperform	$229.95M	20.63	4.59%	―	-3.01%	48.26%
OPOF	69 Neutral	$213.78M	24.44	7.59%	1.34%	1.57%	21.30%
Sector *	68 Neutral	$17.69B	11.82	10.30%	3.73%	9.66%	0.42%
BPRN	68 Neutral	$220.72M	35.05	2.70%	3.67%	16.39%	-72.87%

Old Point Financial Corporate Events

Old Point Financial Merger with TowneBank Approved

On August 14, 2025, TowneBank and Old Point Financial Corporation announced they received regulatory approval to proceed with their merger, expected to close around September 1, 2025. The merger, initially agreed upon on April 2, 2025, has cleared all necessary regulatory hurdles, and the companies have set an election deadline for Old Point stockholders to choose their preferred form of consideration by August 26, 2025. This merger is poised to enhance TowneBank’s market presence and service offerings, potentially impacting stakeholders by expanding the bank’s reach and capabilities in the financial services industry.

Old Point Financial Approves Merger with TowneBank

On July 2, 2025, Old Point Financial Corporation held a special meeting where shareholders approved the merger of Old Point and its subsidiary, Old Point National Bank, with TowneBank. This merger, subject to customary closing conditions and regulatory approvals, is expected to be completed in the second half of 2025. The approval marks a significant milestone for Old Point, as the strategic partnership with TowneBank is anticipated to bring compelling value and growth opportunities, benefiting the communities they serve.

Old Point Financial Faces Shareholder Legal Challenges

On April 2, 2025, Old Point Financial Corporation and its subsidiary entered into a merger agreement with TowneBank, with the latter continuing as the surviving entity. Following the announcement, Old Point faced legal challenges from shareholders alleging disclosure deficiencies in the merger documents, but both companies believe the claims are without merit and have supplemented their disclosures to avoid delays and minimize litigation risks.

Old Point Financial Declares Quarterly Dividend

On May 27, 2025, Old Point Financial Corporation announced a quarterly cash dividend of $0.14 per share to be paid on June 30, 2025, maintaining the same dividend amount as the previous quarter. With the stock’s closing price at $39.01 on May 23, 2025, the annual dividend yield is approximately 1.4%, reflecting the company’s stable financial performance and commitment to shareholder returns.