Waterstone Financial (WSBF) AI Stock Analysis

• Market Cap: $336.72M
• Dividend Yield: 3.59%
• Average Volume (3M): 44.40K
• Price to Earnings (P/E): 11.2
• Beta (1Y): 0.59
• Revenue Growth: -0.09%
• EPS Growth: 83.67%
• Country: US
• Employees: 600
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.44
• Shares Outstanding: 18,359,930
• 10 Day Avg. Volume: 62,806
• 30 Day Avg. Volume: 44,399
• PEG Ratio: 0.24
• Price to Book (P/B): 0.84
• Price to Sales (P/S): 1.46
• P/FCF Ratio: 16.53
• Enterprise Value/Market Cap: 2.04
• Enterprise Value/Revenue: 3.41
• Enterprise Value/Gross Profit: 4.78
• Enterprise Value/Ebitda: 20.55
• 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: 62 Neutral
• Price Target: $19.50 ▲(14.57% Upside)
• Action: Reiterated Date: 02/27/26
• Date: Action: Reiterated 02/27/26

The score is held back primarily by financial risk factors—especially highly inconsistent cash flow and elevated leverage—despite improving profitability. Technicals add support with an uptrend and positive momentum signals, while valuation is reasonable with a modest P/E and a solid dividend yield.

Positive Factors

Improving Profitability

Sustained margin expansion indicates stronger core earning power from lending and fee businesses. Higher net and operating margins increase internally generated earnings, supporting reinvestment, reserves and capital returns without relying solely on asset growth, improving medium-term financial resilience.

Negative Factors

Extreme cash flow volatility

Large year-to-year swings in operating and free cash flow materially weaken predictability of internal funding for lending, dividends and capital expenditures. The ~96% drop highlights reliance on volatile items and increases probability of external financing or balance-sheet adjustments under stress.

Waterstone Financial Business Overview & Revenue Model

Company Description

Waterstone Financial, Inc. operates as a bank holding company for WaterStone Bank SSB that provides various financial services to customers in southeastern Wisconsin, the United States. It operates in two segments, Community Banking and Mortgage B...

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Waterstone Financial, Inc. operates as a bank holding company for WaterStone Bank SSB that provides various financial services to customers in southeastern Wisconsin, the United States. It operates in two segments, Community Banking and Mortgage B...

How the Company Makes Money

Waterstone Financial generates revenue primarily through interest income from loans and mortgages, as well as fees from various banking services. The company earns interest by lending funds to customers at higher rates than it pays on deposits. Ad...

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Waterstone Financial generates revenue primarily through interest income from loans and mortgages, as well as fees from various banking services. The company earns interest by lending funds to customers at higher rates than it pays on deposits. Ad...

Waterstone Financial Financial Statement Overview

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	201.61M	199.38M	176.97M	171.06M	268.47M
Gross Profit	143.63M	132.55M	127.32M	156.80M	258.09M
EBITDA	33.45M	26.48M	14.33M	28.51M	98.16M
Net Income	26.40M	18.69M	9.38M	19.49M	70.79M
Balance Sheet
Total Assets	2.26B	2.21B	2.21B	2.03B	2.22B
Cash, Cash Equivalents and Short-Term Investments	294.41M	191.24M	235.84M	232.55M	541.76M
Total Debt	412.26M	446.52M	466.05M	386.78M	477.13M
Total Liabilities	1.91B	1.87B	1.87B	1.66B	1.78B
Stockholders Equity	349.39M	339.13M	344.06M	370.49M	432.77M
Cash Flow
Free Cash Flow	17.86M	46.96M	-28.28M	205.96M	141.23M
Operating Cash Flow	19.02M	48.06M	-27.58M	206.66M	142.01M
Investing Cash Flow	-3.58M	-23.96M	-159.22M	-335.74M	160.06M
Financing Cash Flow	15.91M	-20.76M	176.58M	-201.00M	-20.12M

Waterstone Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 17.02
• 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 WSBF, the sentiment is Positive. The current price of 17.02 is below the 20-day moving average (MA) of 17.96, below the 50-day MA of 17.97, and above the 200-day MA of 15.69, indicating a bullish trend. The MACD of 0.13 indicates Negative momentum. The RSI at 59.26 is Neutral, neither overbought nor oversold. The STOCH value of 48.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WSBF.

Waterstone Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CZFS	71 Outperform	$317.76M	7.48	11.36%	3.38%	2.16%	24.43%
FNLC	70 Outperform	$323.91M	8.51	12.70%	5.24%	10.46%	18.70%
PCB	70 Outperform	$331.88M	8.21	9.62%	3.57%	10.93%	42.68%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
PLBC	67 Neutral	$348.18M	7.08	13.35%	2.63%	11.98%	-10.12%
WSBF	62 Neutral	$336.72M	11.18	7.67%	3.59%	-0.09%	83.67%
FSBW	56 Neutral	$295.56M	9.19	10.77%	3.17%	4.43%	-12.94%