Winchester Bancorp, Inc. (WSBK) AI Stock Analysis

• Market Cap: $118.19M
• Dividend Yield: N/A
• Average Volume (3M): 6.40K
• Price to Earnings (P/E): 83.9
• Beta (1Y): -0.13
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 71
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): N/A
• Shares Outstanding: 9,295,376
• 10 Day Avg. Volume: 4,279
• 30 Day Avg. Volume: 6,403
• PEG Ratio: 0.45
• Price to Book (P/B): 0.72
• Price to Sales (P/S): 1.86
• P/FCF Ratio: 37.95
• Enterprise Value/Market Cap: 2.21
• Enterprise Value/Revenue: 5.48
• Enterprise Value/Gross Profit: 11.78
• Enterprise Value/Ebitda: 413.84
• 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: 56 Neutral
• Price Target: $13.00 ▲(16.07% Upside)
• Action: Reiterated Date: 02/14/26
• Date: Action: Reiterated 02/14/26

Overall score is held back primarily by weak profitability and negative ROE alongside elevated leverage, partially offset by strong recent free-cash-flow improvement and a technically strong uptrend. Valuation and earnings-call factors were not assessable from the provided data.

Positive Factors

Free cash flow improvement

A 475% increase in free cash flow signals materially improved cash generation versus prior periods. Durable cash generation provides flexibility to fund loans, meet deposit outflows, invest in tech or branch needs, and buffer earnings volatility over the next several quarters.

Modest revenue growth

Consistent revenue growth near 5% indicates stable demand for the bank’s lending and deposit services in its local market. This top-line momentum supports net interest income and fee generation, sustaining core operations and strategic initiatives over a multi-month horizon.

Community banking franchise and diversified funding

A local community bank model with retail deposits, mortgages and commercial loans creates sticky funding and relationship-driven lending. This franchise strength tends to deliver stable deposit funding and resilient core revenue, a durable advantage in regional banking markets.

Negative Factors

Weak profitability and negative ROE

Negative margins and ROE indicate the business is not generating returns on equity and struggles to convert revenues into profit. Persistently weak profitability limits retained capital build, dividend capacity, and flexibility to absorb credit stress over coming quarters.

Elevated leverage

A debt-to-equity ratio of 1.27 denotes relatively high leverage for a regional bank. Elevated leverage increases sensitivity to credit losses and interest-rate shifts, constrains regulatory and strategic flexibility, and can pressure capital ratios during stress periods.

Weak cash conversion and margin pressure

Low operating cash conversion and sub-1x free cash flow to net income suggest earnings quality issues and limited cash cushion. Coupled with negative EBIT/EBITDA margins, this points to operational inefficiencies that could hamper sustained profitability and loan growth capacity.

Winchester Bancorp, Inc. Business Overview & Revenue Model

Company Description

Winchester Bancorp, Inc. operates as the bank holding company for Winchester Savings Bank, offering a range of banking products and services in Massachusetts. The company provides various deposit accounts, including checking, savings, money market, and certificates of deposit. It also offers loans such as residential and commercial real estate loans, construction loans, home equity loans and lines of credit, commercial business loans, and consumer loans. Additionally, the company invests in securities.

How the Company Makes Money

Winchester Bancorp generates revenue primarily through the interest income earned on loans and investments. The company's key revenue streams include interest from personal, commercial, and mortgage loans, as well as income from securities and other financial instruments. Additionally, Winchester Bancorp earns non-interest income from service fees, account maintenance charges, and transaction fees associated with its banking services. The bank may also engage in strategic partnerships with local businesses and organizations, enhancing its service offerings and expanding its customer base, which can contribute to overall earnings.

Winchester Bancorp, Inc. Financial Statement Overview

Summary

Mixed fundamentals: modest revenue growth (4.77%) and sharply higher free cash flow growth (475.46%) are positives, but profitability is weak (negative net margin and negative EBIT/EBITDA margins) and leverage is elevated (debt-to-equity 1.27) with negative ROE (-0.76%).

Income Statement

Winchester Bancorp's income statement reveals a mixed performance. The company experienced a revenue growth rate of 4.77% in the latest period, indicating some positive momentum. However, profitability metrics are concerning, with a negative net profit margin of -1.96% and negative EBIT and EBITDA margins, reflecting operational challenges and inefficiencies.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio of 1.27, suggesting significant leverage, which could pose risks if not managed properly. The return on equity is negative at -0.76%, indicating that the company is not generating sufficient returns on its equity base. However, the equity ratio of 12.15% suggests a reasonable level of equity relative to total assets.

Cash Flow

Cash flow analysis shows a strong free cash flow growth rate of 475.46%, indicating improved cash generation capabilities. The operating cash flow to net income ratio is low, suggesting potential issues in converting income into cash. However, the free cash flow to net income ratio of 0.88 indicates that the company is generating cash relative to its net income.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023
Income Statement
Total Revenue	47.61M	44.51M	36.33M	25.78M
Gross Profit	22.13M	17.25M	15.32M	17.26M
EBITDA	630.00K	-683.00K	1.50M	6.26M
Net Income	1.42M	-874.00K	786.00K	4.16M
Balance Sheet
Total Assets	1.02B	949.38M	852.97M	750.63M
Cash, Cash Equivalents and Short-Term Investments	64.92M	80.51M	75.20M	79.15M
Total Debt	143.60M	147.00M	129.47M	91.70M
Total Liabilities	897.72M	834.03M	772.68M	673.59M
Stockholders Equity	118.25M	115.35M	80.29M	77.05M
Cash Flow
Free Cash Flow	5.50M	2.18M	-1.09M	4.74M
Operating Cash Flow	5.65M	2.46M	231.00K	437.00K
Investing Cash Flow	-109.92M	-86.73M	-105.18M	-121.75M
Financing Cash Flow	117.51M	95.39M	96.89M	110.31M

Winchester Bancorp, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AUBN	69 Neutral	$86.47M	12.17	8.22%	4.16%	24.17%	739.42%
PROV	69 Neutral	$102.28M	16.16	4.68%	3.50%	0.99%	-16.23%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
IROQ	62 Neutral	$93.21M	17.31	6.20%	1.48%	1.93%	157.35%
WSBK	56 Neutral	$118.19M	83.91	―	―	―	―
PBHC	54 Neutral	$82.55M	-14.03	2.26%	2.86%	0.84%	―
FNWB	46 Neutral	$89.89M	-19.56	-4.68%	2.88%	8.02%	21.36%