Summit State Bank (SSBI) AI Stock Analysis

• Market Cap: $91.34M
• Dividend Yield: N/A
• Average Volume (3M): 9.94K
• Price to Earnings (P/E): 13.5
• Beta (1Y): 0.08
• Revenue Growth: -0.81%
• EPS Growth: -129.22%
• Country: US
• Employees: 106
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.16
• Shares Outstanding: 6,676,560
• 10 Day Avg. Volume: 8,791
• 30 Day Avg. Volume: 9,941
• PEG Ratio: -0.04
• Price to Book (P/B): 0.77
• Price to Sales (P/S): 2.39
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.35
• Enterprise Value/Revenue: 0.54
• Enterprise Value/Gross Profit: 0.97
• Enterprise Value/Ebitda: 3.43
• 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: 45 Neutral
• Price Target: $13.50 ▲(12.50% Upside)

Summit State Bank's overall stock score reflects significant financial and technical challenges. The most impactful factor is the financial performance, with recent losses and declining cash flow. Technical analysis indicates bearish momentum, further weighing on the score. Valuation metrics suggest the stock may be overvalued given its current performance.

Positive Factors

Conservative Leverage

Very low debt-to-equity indicates conservative leverage and a solid capital base. This reduces solvency and funding risk, giving the bank durable capacity to absorb loan losses, support lending activity, and pursue measured growth without immediate reliance on external debt markets.

Diversified Revenue Streams

A mix of interest and non-interest income (fees, treasury services, partnerships) provides structural diversification. That reduces dependence on net interest margins alone, smoothing revenue across rate cycles and enabling sustainable earnings if loan yields or deposit costs fluctuate.

Cash Generation Resilience

FCF nearly matches accounting earnings despite losses, signaling the business still converts a high share of reported profits into cash. That supports operational liquidity, funds lending and reserves, and provides a durable buffer while management addresses profitability drivers.

Negative Factors

Negative Profitability

A sustained negative net margin erodes retained earnings and weakens ROE, limiting the bank's ability to rebuild capital organically. Persistent losses constrain lending capacity, investment in technology or branches, and force tougher cost or pricing decisions to restore long-term profitability.

Declining Revenue Trend

Negative revenue growth indicates shrinking scale that undermines fixed-cost absorption and margin recovery. For a community bank, prolonged top-line decline reduces fee and interest income, weakens competitive position in local markets, and makes sustainable growth initiatives harder to fund.

Sharp Drop in Free Cash Flow Growth

A >60% fall in FCF growth materially reduces capacity to fund loans, investments, and capital buffers from internal cash. Even with a decent FCF-to-income ratio, the steep decline signals worsening cash dynamics that can force reliance on retained capital or external funding, limiting strategic flexibility.

Summit State Bank Business Overview & Revenue Model

Company Description

Summit State Bank provides various banking products and services to individuals and businesses primarily in Sonoma County, California. It offers personal and business checking, money market, sweep, savings, and demand accounts; time certificates of deposit; and specialized deposit accounts, such as professional, small business packaged, tiered, individual retirement, and other retirement plan accounts. The company also provides loans, including commercial loans and leases; lines of credit; commercial real estate, small business administration, residential mortgage, and construction loans; home equity lines of credit; and lines of credit, term, and equipment loans, as well as loans to agriculture-related businesses. In addition, the company provides Internet and telephone banking; and other services, such as banking by appointment, online banking, direct payroll and social security deposits, letters of credit, access to national automated teller machine networks, courier, safe deposit boxes, night depository facilities, notary, travelers checks, lockbox, and banking by mail. Further, it offers electronic banking, cash management, and electronic bill payment services. The company operates through five depository offices located in Santa Rosa, Rohnert Park, Healdsburg, and Petaluma, as well as loan production offices in Roseville, California, Irvine, and Scottsdale, Arizona. Summit State Bank was incorporated in 1982 and is headquartered in Santa Rosa, California.

How the Company Makes Money

Summit State Bank generates revenue through multiple streams, primarily from interest income and non-interest income. The bank earns interest income by providing loans to customers, which includes personal loans, mortgages, and business loans, with interest rates set to yield a profit over the cost of funds. Additionally, SSBI generates non-interest income from various services, such as fees for account maintenance, transaction services, and other banking-related activities. The bank may also engage in partnerships with local businesses and organizations to enhance its service offerings and attract more clients, further contributing to its overall profitability.

Summit State Bank Financial Statement Overview

Summary

Summit State Bank is facing financial headwinds with recent losses impacting profitability and cash flow. The income statement reveals declining profitability with a negative net profit margin, while cash flow analysis shows a significant decline in free cash flow growth. However, the balance sheet remains stable with low leverage, indicating some financial stability.

Income Statement

Summit State Bank's income statement reveals a challenging period with declining profitability. The TTM data shows a negative net profit margin of -2.58%, indicating losses. Revenue growth has been inconsistent, with a notable decline in 2024. The gross profit margin has decreased over time, reflecting pressure on cost management. Despite previous years of strong EBIT and EBITDA margins, the recent negative margins highlight operational challenges.

Balance Sheet

The balance sheet shows a relatively low debt-to-equity ratio of 0.06 in the TTM, indicating conservative leverage. However, the return on equity has turned negative, reflecting recent losses. The equity ratio remains stable, suggesting a solid capital base. Historical data shows a reduction in debt levels, which is a positive sign for financial stability.

Cash Flow

Cash flow analysis indicates a significant decline in free cash flow growth in the TTM, down by 61.69%. The operating cash flow to net income ratio is low, suggesting challenges in converting earnings into cash. However, the free cash flow to net income ratio remains relatively strong at 0.92, indicating some resilience in cash generation despite recent losses.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	58.82M	62.03M	65.06M	56.16M	46.43M
Gross Profit	32.81M	24.81M	40.01M	47.09M	40.77M
EBITDA	8.96M	-4.00M	15.67M	24.26M	21.29M
Net Income	6.80M	-4.19M	10.82M	16.97M	14.70M
Balance Sheet
Total Assets	1.00B	1.07B	1.12B	1.12B	958.08M
Cash, Cash Equivalents and Short-Term Investments	0.00	111.47M	134.12M	161.35M	110.07M
Total Debt	5.95M	5.93M	5.92M	46.91M	54.39M
Total Liabilities	903.41M	975.37M	1.02B	1.03B	873.80M
Stockholders Equity	101.17M	91.72M	97.68M	88.55M	84.28M
Cash Flow
Free Cash Flow	0.00	5.62M	-2.62M	13.54M	7.38M
Operating Cash Flow	0.00	5.85M	-2.38M	13.72M	7.47M
Investing Cash Flow	0.00	36.79M	-20.18M	-117.18M	-74.95M
Financing Cash Flow	0.00	-49.03M	2.79M	140.33M	77.35M

Summit State Bank Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 12.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SSBI, the sentiment is Positive. The current price of 12 is below the 20-day moving average (MA) of 12.84, above the 50-day MA of 11.86, and above the 200-day MA of 11.13, indicating a bullish trend. The MACD of 0.56 indicates Negative momentum. The RSI at 74.47 is Negative, neither overbought nor oversold. The STOCH value of 74.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SSBI.

Summit State Bank Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BOTJ	73 Outperform	$85.87M	10.85	10.86%	2.18%	6.17%	-6.13%
FUSB	72 Outperform	$84.48M	14.65	5.50%	2.08%	1.03%	-35.72%
UBCP	69 Neutral	$80.26M	10.70	10.91%	6.51%	6.31%	-5.00%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
IROQ	65 Neutral	$90.89M	16.97	6.20%	1.48%	1.93%	157.35%
FNWB	50 Neutral	$98.69M	-21.48	-4.68%	2.88%	8.02%	21.36%
SSBI	45 Neutral	$91.34M	13.54	-1.41%	―	-0.81%	-129.22%