Bancorp (TBBK) AI Stock Analysis

• Market Cap: $2.61B
• Dividend Yield: N/A
• Average Volume (3M): 541.45K
• Price to Earnings (P/E): 12.1
• Beta (1Y): 1.10
• Revenue Growth: 29.24%
• EPS Growth: 21.49%
• Country: US
• Employees: 771
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 1.28
• Shares Outstanding: 43,917,625
• 10 Day Avg. Volume: 478,537
• 30 Day Avg. Volume: 541,448
• PEG Ratio: 0.52
• Price to Book (P/B): 3.34
• Price to Sales (P/S): 3.71
• P/FCF Ratio: 11.83
• Enterprise Value/Market Cap: 1.12
• Enterprise Value/Revenue: 3.40
• Enterprise Value/Gross Profit: 5.60
• Enterprise Value/Ebitda: 9.48
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 6.43
• Revenue Forecast (FY): $697.60M

• Rating: 65 Neutral
• Price Target: $64.00 ▼(-0.26% Downside)

The score is driven primarily by solid underlying financial quality (strong profitability and cash-flow conversion) and a constructive earnings outlook with sizeable buybacks and EPS guidance. These positives are tempered by very weak technical momentum (price below major moving averages with negative MACD) and the fundamental risk signaled by steep TTM revenue decline and mix-related NIM compression expectations.

Positive Factors

Cash Generation

Strong cash conversion (OCF/net income 1.78; FCF/net income 0.98) provides durable internal funding for growth, technology, and buybacks. Reliable cash generation reduces reliance on external financing and supports execution of multi-quarter initiatives and shareholder return programs.

Capital Efficiency (ROE)

High ROE (>27%) indicates efficient use of equity and strong profitability. This persistent capital efficiency supports continued buybacks, enables reinvestment without heavy dilution, and signals management’s ability to extract returns from existing capital over multiple reporting periods.

Fintech Fee & Credit Sponsorship Growth

Rapid expansion of fintech-related fee streams and credit sponsorship (>$1B, triple-digit YoY growth) signals structural diversification away from pure interest income. Recurring fee economics from partners and embedded finance can sustainably raise noninterest revenue share and reduce interest-rate sensitivity.

Negative Factors

TTM Revenue Decline

A steep trailing twelve-month revenue drop (-45.9%) undermines growth sustainability and raises concern that recent profitability gains rely on mix or one-off items. Recovering top-line momentum will be needed to sustain margins and justify continued capital returns over the coming quarters.

Deposit Funding Concentration

Heavy dependence on fintech partners for deposits concentrates funding risk: partner flow volatility or contractual changes can rapidly affect liquidity and funding costs. Over several months this elevates operational and repricing risk versus a more diversified deposit base.

NIM Compression Risk

A structural shift toward fee-heavy fintech mix could compress net interest margin toward ~4%, reducing core interest income. If fee growth or scale efficiencies lag expectations, margin compression would pressure sustainable profitability and make EPS targets reliant on execution and buyback timing.

Bancorp Business Overview & Revenue Model

Company Description

The Bancorp, Inc. operates as the financial holding company for The Bancorp Bank that provides banking products and services in the United States. The company offers a range of deposit products and services, including checking, savings, money market, and commercial accounts; and prepaid and debit cards. It also provides securities-backed lines of credit and insurance policy cash value-backed lines of credit; institutional banking services; vehicle fleet, other equipment leasing, and commercial fleet leasing services consist of commercial vehicles, including trucks and special purpose vehicles, and equipment; and real estate bridge lending, as well as small business administration, commercial mortgage-backed, and commercial real estate loans. The company offers private label banking; credit and debit card payment processing services for independent service organizations; and internet banking services. The Bancorp, Inc. was incorporated in 1999 and is headquartered in Wilmington, Delaware.

How the Company Makes Money

Bancorp generates revenue primarily through interest income from loans and other financial products. The company earns interest on loans issued to customers, which often includes commercial real estate loans, residential mortgages, and personal loans. Additionally, Bancorp collects fees from various banking services, such as account maintenance fees, transaction fees, and service charges. The company may also earn income through investment securities and treasury management services. Strategic partnerships with other financial institutions and technology providers may enhance Bancorp's service offerings and contribute to its revenue streams, while effective risk management practices help maintain profitability across its lending operations.

Bancorp Financial Statement Overview

Summary

Strong profitability and cash generation (high net/EBIT margins; operating cash flow to net income 1.78 and FCF to net income 0.98) support the score, but the sharp TTM revenue growth decline (-45.88%) and rising debt levels are meaningful risks despite a manageable debt-to-equity (0.54) and strong ROE (27.97%).

Income Statement

The income statement shows a mixed performance. The TTM data indicates a significant decline in revenue growth rate (-45.88%), which is concerning. However, the company maintains strong profitability with a high net profit margin of 51.60% and EBIT margin of 52.38%. The gross profit margin has decreased over time, indicating potential cost pressures or pricing challenges.

Balance Sheet

The balance sheet reflects a stable financial position with a manageable debt-to-equity ratio of 0.54 in the TTM period. The return on equity is strong at 27.97%, indicating effective use of equity. The equity ratio is healthy, suggesting a solid capital structure, although the increase in total debt warrants monitoring.

Cash Flow

Cash flow analysis reveals positive trends with a free cash flow growth rate of 9.16% in the TTM period. The operating cash flow to net income ratio is robust at 1.78, indicating strong cash generation relative to net income. The free cash flow to net income ratio is also high at 0.98, suggesting efficient cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	860.88M	710.11M	611.60M	413.98M	326.86M	295.40M
Gross Profit	523.16M	495.38M	447.82M	347.42M	312.51M	273.13M
EBITDA	308.94M	296.31M	259.85M	181.21M	147.47M	112.04M
Net Income	227.83M	217.54M	192.30M	130.21M	110.65M	80.08M
Balance Sheet
Total Assets	8.60B	8.73B	7.71B	7.90B	6.84B	6.28B
Cash, Cash Equivalents and Short-Term Investments	98.65M	620.77M	1.79B	1.65B	1.56B	1.55B
Total Debt	223.26M	123.70M	147.82M	122.48M	151.60M	151.99M
Total Liabilities	7.82B	7.94B	6.90B	7.21B	6.19B	5.70B
Stockholders Equity	778.16M	789.78M	807.28M	694.03M	652.45M	581.16M
Cash Flow
Free Cash Flow	382.21M	222.68M	174.03M	114.48M	82.34M	116.95M
Operating Cash Flow	382.82M	227.65M	186.72M	119.61M	83.89M	120.69M
Investing Cash Flow	-648.19M	-1.51B	415.55M	-826.73M	-305.90M	-1.23B
Financing Cash Flow	294.29M	812.74M	-452.37M	993.52M	478.28M	509.02M

Bancorp Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 64.17
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TBBK, the sentiment is Negative. The current price of 64.17 is below the 20-day moving average (MA) of 68.62, below the 50-day MA of 67.28, and below the 200-day MA of 64.61, indicating a bearish trend. The MACD of -0.65 indicates Positive momentum. The RSI at 33.60 is Neutral, neither overbought nor oversold. The STOCH value of 26.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TBBK.

Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INDB	79 Outperform	$4.00B	18.19	6.25%	3.05%	11.05%	-10.78%
FBP	77 Outperform	$3.49B	10.29	18.97%	3.38%	2.35%	13.72%
FULT	75 Outperform	$3.71B	9.93	10.92%	3.52%	9.60%	20.38%
FIBK	73 Outperform	$3.65B	12.06	8.95%	5.24%	-5.43%	4.19%
RNST	71 Outperform	$3.58B	18.22	5.52%	2.47%	20.26%	-35.00%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
TBBK	65 Neutral	$2.61B	12.08	30.85%	―	29.24%	21.49%

Bancorp Corporate Events

Bancorp Posts Strong Q4 2025 Results Amid Headwinds

On January 29, 2026, The Bancorp reported fourth-quarter 2025 results showing net income of $56.3 million, or $1.28 per diluted share, up 11% from a year earlier, with a return on assets of 2.53% and return on equity of 30.4%. The quarter was characterized by a strong but slightly compressed net interest margin of 4.30%, robust loan growth to $7.12 billion, and especially rapid expansion in consumer fintech loans, which more than doubled year-on-year to $1.10 billion and helped lift fintech-related fees and total non-interest income to 46.7% of revenue. The bank also reported higher payment activity, with gross dollar volume on prepaid, debit and credit cards rising 16% versus the prior year, while criticized real estate bridge loans fell sharply, suggesting improving credit quality in that portfolio. Management acknowledged that despite record fourth-quarter EPS and ROE, results fell short of internal expectations due to the prolonged government shutdown’s drag on transaction volumes and deposits, delayed contribution from sponsored credit, net interest margin pressure, and an unexpected legal settlement, even as it continued aggressive capital return via $150 million of share repurchases in the quarter, equivalent to about 5% of shares outstanding, underscoring a strategy focused on fintech-driven growth and shareholder returns.

The most recent analyst rating on (TBBK) stock is a Hold with a $74.00 price target. To see the full list of analyst forecasts on Bancorp stock, see the TBBK Stock Forecast page.

Bancorp Appoints Dominic Canuso as New CFO

On November 3, 2025, The Bancorp, Inc. announced the appointment of Dominic C. Canuso as Chief Financial Officer. With over 25 years of experience in banking and financial services, Canuso will oversee the company’s financial strategy and operations, contributing to The Bancorp’s growth and strategic initiatives. His previous roles include CFO positions at Capital Bank and WSFS Bank. The appointment marks a significant step in The Bancorp’s focus on growth, innovation, and operational excellence.

The most recent analyst rating on (TBBK) stock is a Buy with a $73.00 price target. To see the full list of analyst forecasts on Bancorp stock, see the TBBK Stock Forecast page.