Western New England Bancorp (WNEB) AI Stock Analysis

• Market Cap: $272.13M
• Dividend Yield: 2.11%
• Average Volume (3M): 44.26K
• Price to Earnings (P/E): 20.3
• Beta (1Y): 0.76
• Revenue Growth: 7.37%
• EPS Growth: 27.35%
• Country: US
• Employees: 286
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.16
• Shares Outstanding: 20,491,966
• 10 Day Avg. Volume: 57,876
• 30 Day Avg. Volume: 44,255
• PEG Ratio: -0.82
• Price to Book (P/B): 0.82
• Price to Sales (P/S): 1.57
• P/FCF Ratio: 17.52
• Enterprise Value/Market Cap: 1.24
• Enterprise Value/Revenue: 2.61
• Enterprise Value/Gross Profit: 4.25
• Enterprise Value/Ebitda: 16.84
• 1Y Price Target: $12.50
• Price Target Upside: -5.52% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): 0.7
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: $12.50 ▼(-5.52% Downside)

Western New England Bancorp's overall score is driven by its solid financial performance and reasonable valuation. Technical indicators suggest some short-term weakness, but the stock remains fundamentally sound with a stable financial position and a modest dividend yield.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong market position and the ability to generate increasing sales over time, supporting long-term business stability.

Cash Flow Generation

Strong cash flow generation enhances financial flexibility, allowing for reinvestment in growth opportunities and providing a buffer against economic downturns.

Debt Management

A moderate debt level ensures financial stability and reduces the risk of financial distress, supporting sustainable operations and growth.

Negative Factors

Profitability Concerns

Decreasing net profit margins may indicate rising costs or inefficiencies, potentially impacting long-term profitability and shareholder returns.

Return on Equity

Low return on equity suggests limited profitability from shareholder investments, which could hinder the company's ability to attract new investors.

Earnings Growth

Negative earnings growth reflects challenges in increasing profitability, which may affect future valuation and investor confidence in the company's growth prospects.

Western New England Bancorp Business Overview & Revenue Model

Company Description

Western New England Bancorp, Inc. operates as the holding company for Westfield Bank that provides a range of commercial and retail banking products and services to individuals and businesses. The company accepts various deposit accounts, including checking, business and municipal savings, money market and sweep, individual retirement, and other savings accounts; time deposits; certificates of deposit; and interest on lawyers trust accounts. It also offers residential and commercial real estate, commercial construction, working capital, equipment financing and term, home equity, and consumer loans; commercial and industrial loans, such as revolving lines of credit. In addition, the company provides automated teller machine (ATM), telephone and online banking, remote deposit capture, cash management, overdraft and safe deposit facility, and night deposit services. As of December 31, 2021, it operated through a network of 25 banking offices, 23 free-standing ATMs, and 35 seasonal or temporary ATMS located in Agawam, Chicopee, Feeding Hills, East Longmeadow, Holyoke, Huntington, Ludlow, South Hadley, Southwick, Springfield, Ware, West Springfield and Westfield, Massachusetts and Bloomfield, Enfield, Granby, and West Hartford, Connecticut. The company was formerly known as Westfield Financial, Inc. and changed its name to Western New England Bancorp, Inc. in October 2016. Western New England Bancorp, Inc. was founded in 1853 and is headquartered in Westfield, Massachusetts.

How the Company Makes Money

Western New England Bancorp generates revenue primarily through the interest income earned on loans and investments. The bank offers a variety of loan products, including commercial real estate loans, residential mortgages, and lines of credit, which typically carry interest rates that contribute significantly to its earnings. Additionally, WNEB earns non-interest income through fees for services such as account maintenance, transaction fees, and wealth management services. The company benefits from its strong local presence and community relationships, which help attract and retain customers. Strategic partnerships with local businesses and organizations also enhance its customer base and revenue potential.

Western New England Bancorp Financial Statement Overview

Summary

Western New England Bancorp exhibits solid financial health with consistent revenue growth and strong cash flow generation. The company has increased its leverage, but it remains manageable. Profitability metrics indicate room for improvement, particularly in enhancing net profit margins and return on equity.

Income Statement

Western New England Bancorp shows a stable revenue growth trajectory with a TTM revenue growth rate of 1.88%. The gross profit margin remains strong at 60.02%, indicating efficient cost management. However, the net profit margin has decreased from previous years, now at 9.47%, suggesting increased expenses or reduced efficiency in converting revenue into profit. The EBIT and EBITDA margins are healthy, reflecting solid operational performance.

Balance Sheet

The company maintains a moderate debt-to-equity ratio of 0.51, which is manageable but has increased compared to previous years, indicating a rise in leverage. The return on equity is relatively low at 5.07%, suggesting limited profitability from shareholder investments. The equity ratio is stable, reflecting a balanced asset structure.

Cash Flow

Cash flow performance is robust, with a significant free cash flow growth rate of 58.59% in the TTM period. The operating cash flow to net income ratio is strong at 3.62, indicating efficient cash generation relative to net income. The free cash flow to net income ratio is high at 0.93, demonstrating effective conversion of income into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	129.80M	122.74M	112.02M	99.26M	92.41M	92.13M
Gross Profit	79.62M	73.39M	77.94M	91.86M	86.67M	65.91M
EBITDA	20.09M	17.56M	22.18M	37.32M	34.42M	16.68M
Net Income	13.35M	11.67M	15.07M	25.89M	23.70M	11.21M
Balance Sheet
Total Assets	2.74B	2.65B	2.56B	2.55B	2.54B	2.37B
Cash, Cash Equivalents and Short-Term Investments	262.18M	217.89M	162.96M	175.69M	292.91M	286.34M
Total Debt	100.98M	123.14M	156.46M	62.20M	22.29M	57.85M
Total Liabilities	2.49B	2.42B	2.33B	2.33B	2.31B	2.14B
Stockholders Equity	243.64M	235.91M	237.41M	228.14M	223.69M	226.64M
Cash Flow
Free Cash Flow	15.98M	10.97M	11.87M	35.63M	25.34M	21.49M
Operating Cash Flow	17.21M	12.17M	14.77M	36.77M	28.79M	25.07M
Investing Cash Flow	-88.42M	-46.59M	-13.71M	-111.87M	-162.91M	-123.56M
Financing Cash Flow	81.35M	72.03M	-2.57M	1.99M	150.13M	161.19M

Western New England Bancorp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 13.23
• 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 WNEB, the sentiment is Positive. The current price of 13.23 is above the 20-day moving average (MA) of 12.49, above the 50-day MA of 11.82, and above the 200-day MA of 10.47, indicating a bullish trend. The MACD of 0.40 indicates Negative momentum. The RSI at 76.64 is Negative, neither overbought nor oversold. The STOCH value of 71.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WNEB.

Western New England Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ESSA	76 Outperform	―	―	―	―	5.57%	-16.40%
HWBK	74 Outperform	$242.18M	11.00	14.27%	2.33%	0.16%	258.06%
OPBK	74 Outperform	$220.16M	9.41	10.99%	3.25%	9.10%	12.36%
WNEB	69 Neutral	$272.13M	20.32	5.51%	2.11%	7.37%	27.35%
OPOF	69 Neutral	―	―	―	―	1.57%	21.30%
FINW	68 Neutral	$245.24M	16.91	8.00%	―	26.54%	2.73%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

Western New England Bancorp Corporate Events

Western New England Bancorp Q3 2025 Financial Results

On October 28, 2025, Western New England Bancorp announced its financial results for the three and nine months ended September 30, 2025. The company reported a net income of $3.2 million for the third quarter, a decrease from the previous quarter but an increase from the same period in 2024. The company also declared a quarterly cash dividend and highlighted significant growth in core deposits and loans, particularly in commercial and residential real estate. Despite a decrease in net income from the previous quarter, the company maintained a strong asset quality and continued its stock repurchase program, reflecting a disciplined capital management strategy aimed at delivering long-term shareholder value.