Western New England Bancorp (WNEB) AI Stock Analysis

• Market Cap: $204.21M
• Dividend Yield: 2.84%
• Average Volume (3M): 159.22K
• Price to Earnings (P/E): 18.7
• Beta (1Y): 0.68
• Revenue Growth: 8.70%
• EPS Growth: -10.56%
• Country: US
• Employees: 286
• Sector: Financial
• Sector Strength: 80
• Industry: Banks - Regional
• EPS (TTM): 0.11
• Shares Outstanding: 20,711,027
• 10 Day Avg. Volume: 322,486
• 30 Day Avg. Volume: 159,225
• PEG Ratio: -3.00
• Price to Book (P/B): 0.74
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 20.97
• Enterprise Value/Market Cap: 0.96
• Enterprise Value/Revenue: 0.40
• Enterprise Value/Gross Profit: 2.67
• Enterprise Value/Ebitda: 2.76
• 1Y Price Target: $9.75
• Price Target Upside: -1.32% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 73 Outperform
• Price Target: $10.00 ▲(1.21%Upside)

Western New England Bancorp's stock score is driven by strong financial performance and positive corporate events, such as the stock repurchase plan and dividend declaration. The technical analysis and valuation provide a stable outlook, though not strongly bullish. The lack of significant momentum in technical indicators slightly moderates the overall score.

Western New England Bancorp Business Overview & Revenue Model

Company Description

Western New England Bancorp (WNEB) is a publicly traded bank holding company headquartered in Westfield, Massachusetts. Operating through its principal subsidiary, Westfield Bank, the company provides a comprehensive range of financial products and services to individuals and businesses. These include personal and commercial banking, mortgage lending, and financial planning services. With a focus on community banking, Western New England Bancorp serves customers across Western Massachusetts and Northern Connecticut, offering convenience through a network of branches and digital banking platforms.

How the Company Makes Money

Western New England Bancorp generates revenue primarily through interest income from its lending activities, including personal loans, commercial loans, and mortgage loans. The bank earns interest on loans issued to customers, which constitutes a significant portion of its revenue. Additionally, the company earns non-interest income from fees and services related to its deposit accounts, financial planning services, and other banking services. Western New England Bancorp also benefits from strategic partnerships with financial service providers, which enhance its service offerings and contribute to revenue through shared customer bases and cross-selling opportunities. The company’s earnings are further supported by prudent financial management and a focus on maintaining a strong loan portfolio with minimized credit risk.

Western New England Bancorp Financial Statement Overview

Summary

Western New England Bancorp exhibits strong financial health with consistent revenue growth and solid profitability metrics. The company's balance sheet is moderately leveraged, typical for regional banks, but could benefit from improved equity ratios. Cash flow management shows efficiency in operations, though there is room for improvement in free cash flow generation.

Income Statement

Western New England Bancorp has shown a commendable revenue growth trajectory with recent TTM revenue of $103.04M, up from $98.90M the previous year, indicating a stable growth. The gross profit margin stands at 70.13%, with a healthy net profit margin of 10.68% for the TTM. Despite a slight decrease in EBIT margin to 13.72% from 15.12%, the profitability remains solid. EBITDA margin is robust at 16.23%, showcasing efficient operations. Overall, the income statement reflects strong growth and profitability.

Balance Sheet

The balance sheet of WNEB shows a sound financial position with a debt-to-equity ratio of 0.43, indicating a moderate leverage level, which is typical for the banking sector. Return on equity is decent at 4.63% for the TTM, though there is room for improvement. The equity ratio stands at 8.77%, suggesting a stable capital structure. The company maintains a healthy level of assets, although a more diversified equity base could enhance stability.

Cash Flow

Cash flow analysis reveals a slight decrease in operating cash flow to net income ratio, currently at 0.89, indicating efficient cash conversion. Free cash flow growth rate is negative, reflecting some challenges in cash generation. The free cash flow to net income ratio is 0.81, showing a solid capacity to generate cash relative to profits. There is a need for improvement in free cash flow trends to better support long-term growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	125.20M	122.74M	112.02M	99.26M	92.41M	92.13M
Gross Profit	73.52M	73.39M	77.94M	91.86M	86.67M	65.91M
EBITDA	16.73M	17.56M	22.18M	37.32M	34.42M	16.68M
Net Income	11.01M	11.67M	15.07M	25.89M	23.70M	11.21M
Balance Sheet
Total Assets	2.71B	2.65B	2.56B	2.55B	2.54B	2.37B
Cash, Cash Equivalents and Short-Term Investments	110.79M	217.89M	162.96M	175.69M	292.91M	286.34M
Total Debt	122.28M	123.14M	156.46M	62.20M	22.29M	57.85M
Total Liabilities	2.47B	2.42B	2.33B	2.33B	2.31B	2.14B
Stockholders Equity	237.68M	235.91M	237.41M	228.14M	223.69M	226.64M
Cash Flow
Free Cash Flow	8.56M	10.97M	11.87M	35.63M	25.34M	21.49M
Operating Cash Flow	9.76M	12.17M	14.77M	36.77M	28.79M	25.07M
Investing Cash Flow	-63.32M	-46.59M	-13.71M	-111.87M	-162.91M	-123.56M
Financing Cash Flow	141.53M	72.03M	-2.57M	1.99M	150.13M	161.19M

Western New England Bancorp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 9.88
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

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 9.88 is above the 20-day moving average (MA) of 9.29, above the 50-day MA of 9.34, and above the 200-day MA of 9.01, indicating a bullish trend. The MACD of 0.19 indicates Negative momentum. The RSI at 61.94 is Neutral, neither overbought nor oversold. The STOCH value of 84.11 is Negative, 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
FUNC	78 Outperform	$217.49M	9.62	12.99%	2.62%	13.41%	62.54%
HWBK	76 Outperform	$205.37M	10.80	6.62%	2.70%	4.86%	800.59%
FVCB	75 Outperform	$241.45M	12.96	8.16%	―	17.18%	305.35%
WNEB	73 Outperform	$204.21M	18.67	4.65%	2.84%	8.70%	-10.56%
VABK	72 Outperform	$202.09M	11.36	11.15%	3.84%	2.26%	3.83%
ESSA	70 Outperform	$208.17M	13.23	6.43%	2.93%	5.57%	-16.40%
Sector *	67 Neutral	$16.81B	11.85	9.77%	3.76%	12.07%	-8.35%

Western New England Bancorp Corporate Events

Western New England Bancorp Shareholders Approve Key Proposals

On May 14, 2025, Western New England Bancorp held its Annual Meeting where shareholders voted on four proposals. The meeting saw a quorum with 16,653,531 shares represented. Shareholders elected two directors and approved the compensation of executive officers, the appointment of Wolf & Company, P.C. as the independent auditor for 2025, and the amendment of the 2021 Omnibus Incentive Plan.

The most recent analyst rating on (WNEB) stock is a Hold with a $9.50 price target. To see the full list of analyst forecasts on Western New England Bancorp stock, see the WNEB Stock Forecast page.

Western New England Bancorp Holds Annual Meeting 2025

On May 14, 2025, Western New England Bancorp held its Annual Meeting, where key proposals were discussed, including the election of directors, executive compensation, and the ratification of the company’s accounting firm. The meeting also covered financial results for 2024 and the first quarter of 2025, highlighting the company’s operational performance and strategic initiatives.

The most recent analyst rating on (WNEB) stock is a Hold with a $9.50 price target. To see the full list of analyst forecasts on Western New England Bancorp stock, see the WNEB Stock Forecast page.

Western New England Bancorp Announces Q1 2025 Financial Results

On April 22, 2025, Western New England Bancorp announced its unaudited financial results for the first quarter of 2025, reporting a net income of $2.3 million. The company also declared a quarterly cash dividend and authorized a new stock repurchase plan to buy back up to 1.0 million shares, enhancing shareholder value. The company’s net interest margin improved, and it maintained strong asset quality and liquidity. The 2025 stock repurchase plan will commence after the completion of the 2024 plan, reflecting the company’s focus on disciplined capital management and shareholder returns.