Texas Community (TCBS) AI Stock Analysis

• Market Cap: $46.42M
• Dividend Yield: 1.23%
• Average Volume (3M): 2.91K
• Price to Earnings (P/E): 18.7
• Beta (1Y): 0.15
• Revenue Growth: 12.12%
• EPS Growth: N/A
• Country: US
• Employees: 60
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.67
• Shares Outstanding: 2,914,743
• 10 Day Avg. Volume: 3,126
• 30 Day Avg. Volume: 2,906
• PEG Ratio: -0.39
• Price to Book (P/B): 0.85
• Price to Sales (P/S): 2.13
• P/FCF Ratio: 60.08
• Enterprise Value/Market Cap: 1.97
• Enterprise Value/Revenue: 3.62
• Enterprise Value/Gross Profit: 5.98
• Enterprise Value/Ebitda: 25.82
• 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: 55 Neutral
• Price Target: $16.00 ▼(-3.38% Downside)

Texas Community's stock score is primarily influenced by its solid financial performance, particularly in cash flow generation. However, the technical analysis indicates a bearish trend, and the valuation suggests potential overvaluation. These factors collectively result in a moderate overall stock score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates expanding market reach and successful engagement in community initiatives, supporting long-term sustainability.

Cash Flow Generation

Strong cash flow generation enhances financial flexibility, allowing for reinvestment in community projects and strategic initiatives.

CFO Transition

The new CFO brings extensive experience, potentially strengthening financial leadership and strategic execution for future growth.

Negative Factors

Profitability Challenges

Low profitability may limit the ability to fund new projects and initiatives, impacting long-term growth and community impact.

Operational Cash Flow

Challenges in operational cash flow generation could constrain day-to-day operations and limit the ability to respond to new opportunities.

Return on Equity

Low return on equity indicates inefficiencies in using shareholder funds, potentially affecting investor confidence and future capital raising.

Texas Community Business Overview & Revenue Model

Company Description

Texas Community Bancshares, Inc. operates as the bank holding company for Mineola Community Bank, S.S.B. that provides loans and banking services to consumers and commercial customers in Mineola, Texas and the surrounding area, and the Dallas Fort Worth Metroplex. It generates a selection of deposit accounts, including savings accounts, checking accounts, certificates of deposit, and individual retirement accounts. The company also originates primarily one- to four-family residential mortgage loans, commercial real estate loans, and construction and land loans; and car, boat, share, unsecured loans, etc., as well as agricultural loans, commercial loans, and consumer and other loans. In addition, it invests in securities; and offers sweep account, safe deposit boxes, cards, online banking, and mobile banking services. The company was founded in 1934 and is headquartered in Mineola, Texas.

How the Company Makes Money

TCBS generates revenue through multiple streams, primarily relying on donations, grants, and sponsorships from local businesses and philanthropic organizations. Additionally, the company hosts fundraising events and community programs that not only engage the public but also serve as revenue-generating opportunities. Membership fees from individuals and local businesses who wish to be part of the community network further contribute to TCBS's financial sustainability. Strategic partnerships with government agencies and other nonprofits also provide access to funding and resources that support TCBS's initiatives.

Texas Community Financial Statement Overview

Summary

Texas Community shows strong revenue growth and improved profitability metrics in the TTM period. However, the company faces cash flow challenges with negative free cash flow, indicating liquidity management needs improvement. The balance sheet is moderately leveraged, with potential risks if liabilities grow faster than assets.

Income Statement

Texas Community has shown a strong revenue growth of 19% from 2023 to 2024 and a further 19% growth into TTM (Trailing-Twelve-Months). Gross profit margin improved to 58.4% in TTM from 51.7% in 2024, indicating efficient cost management. However, the company has experienced fluctuations in its EBIT margin, currently at 9.5% in TTM, bouncing back from negative margins in prior periods. Net profit margin improved to 8.2% in TTM from negative margins, reflecting better profitability, though still below industry leaders.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio of 0.94, suggesting a balanced approach to leveraging. However, the equity ratio has slightly decreased to 11.9% in TTM from 11.8% in 2024, which could signal potential risks if liabilities continue to grow. Return on equity has improved to 3.8% in TTM, showing better utilization of equity, but still below optimal levels for significant value creation.

Cash Flow

Texas Community's cash flow indicates challenges, with a negative free cash flow of -$476,000 in TTM, a decline from positive flows in 2024. The operating cash flow to net income ratio is negative, highlighting difficulties in converting earnings to cash. The free cash flow to net income ratio is also negative, signaling potential liquidity constraints and the need for improved cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	25.23M	20.84M	19.33M	14.43M	12.25M	12.36M
Gross Profit	15.27M	10.78M	11.06M	11.94M	10.09M	9.37M
EBITDA	3.53M	-1.21M	-515.00K	2.61M	1.05M	1.37M
Net Income	2.52M	-1.30M	-733.00K	1.75M	518.00K	749.00K
Balance Sheet
Total Assets	439.49M	443.46M	452.04M	417.35M	364.83M	299.64M
Cash, Cash Equivalents and Short-Term Investments	69.16M	88.92M	111.04M	116.11M	77.41M	32.95M
Total Debt	48.77M	49.88M	76.90M	62.49M	27.57M	30.77M
Total Liabilities	385.95M	391.35M	398.36M	361.48M	304.69M	267.70M
Stockholders Equity	53.53M	52.11M	53.69M	55.87M	60.13M	31.94M
Cash Flow
Free Cash Flow	726.00K	740.00K	-3.31M	2.74M	1.62M	1.10M
Operating Cash Flow	987.00K	1.94M	2.29M	3.13M	1.76M	1.91M
Investing Cash Flow	3.42M	8.80M	-31.15M	-72.18M	-52.80M	-29.91M
Financing Cash Flow	-9.98M	-10.51M	33.00M	56.07M	64.88M	30.54M

Texas Community Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16.56
• 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 TCBS, the sentiment is Positive. The current price of 16.56 is above the 20-day moving average (MA) of 15.90, above the 50-day MA of 15.96, and above the 200-day MA of 15.91, indicating a bullish trend. The MACD of 0.05 indicates Negative momentum. The RSI at 69.16 is Neutral, neither overbought nor oversold. The STOCH value of 52.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TCBS.

Texas Community Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OPHC	73 Outperform	$47.30M	3.13	15.03%	―	14.91%	0.81%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
CLST	66 Neutral	$60.84M	25.54	2.72%	―	76.66%	―
TCBS	55 Neutral	$46.42M	18.73	4.74%	1.23%	12.12%	―
BAFN	54 Neutral	$35.76M	-2.78	-11.14%	3.98%	1.63%	-508.72%
CFSB	54 Neutral	―	―	-0.35%	―	11.64%	-913.46%

Texas Community Corporate Events

Texas Community Appoints Jason McCrary as New CFO

On December 1, 2025, Jason McCrary, CPA, was appointed as the Chief Financial Officer of Texas Community Bancshares, Inc. and its bank subsidiary, Broadstreet Bank, SSB. This appointment, initially reported on November 13, 2025, marks a significant leadership change for the company, potentially impacting its financial strategy and operations.

Texas Community Announces New CFO Appointment

On November 10, 2025, Texas Community Bancshares, Inc. announced the retirement of Julie Sharff as Chief Financial Officer, effective December 1, 2025, with Jason McCrary set to succeed her. Sharff, who has been pivotal in the company’s strategic growth over her 28-year tenure, will continue as a consultant until May 2026 to ensure a smooth transition. McCrary, who joined the company in 2024, brings extensive experience in accounting and finance, having previously served as CFO at a major community bank. His appointment is part of the company’s strategy to enhance financial performance and sustain long-term growth.