Enterprise Bancorp, Inc. (EBTC) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

SmartFinancial, Inc.

Burke Herbert Financial Services Corp.

Northeast Bank (Maine)

Five Star Bancorp

Shore Bancshares, Inc.

HomeTrust Bancshares, Inc.

Flushing Financial Corp.

CNB Financial Corp. (Pennsylvania)

Bar Harbor Bankshares

Enterprise Bancorp, Inc.

Equity Bancshares, Inc.

Why is Enterprise Bancorp, Inc. ?

High Profitability with a Net Interest Margin of 5.29%

Flat results in Mar 25

OPERATING CASH FLOW(Y) Lowest at USD 50.24 MM
INTEREST(9M) At USD 63.73 MM has Grown at 29.15%
GROSS NPA (%)(Q) Highest at 0.7%

With ROA of 0.50%, it has a fair valuation with a 1.30 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 65.86%, its profits have risen by 16.6% ; the PEG ratio of the company is 0.8

High Institutional Holdings at 38.67%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
Their stake has increased by 1.94% over the previous quarter.

Market Beating Performance

The stock has generated a return of 65.86% in the last 1 year, much higher than market (S&P 500) returns of 12.69%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Enterprise Bancorp, Inc. should be less than 10%
Overall Portfolio exposure to Regional Banks should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Regional Banks)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Enterprise Bancorp, Inc. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Enterprise Bancorp, Inc.

65.86%

1.79

38.45%

S&P 500

13.22%

0.62

20.57%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

11.19%

EBIT Growth (5y)

7.02%

EBIT to Interest (avg)

Debt to EBITDA (avg)

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

Dividend Payout Ratio

26.46%

Pledged Shares

Institutional Holding

38.67%

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.30

EV to EBIT

10.96

EV to EBITDA

10.14

EV to Capital Employed

1.26

EV to Sales

2.39

PEG Ratio

0.82

Dividend Yield

239.84%

ROCE (Latest)

11.47%

ROE (Latest)

10.83%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

Bearish

OBV

Mildly Bearish

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

10What is working for the Company

NII(Q)

Highest at USD 38.69 MM

DIVIDEND PER SHARE(HY)

Highest at USD 0

CREDIT DEPOSIT RATIO(Q)

Highest at 0.7%

CASH AND EQV(HY)

Highest at USD 94.88 MM

-7What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 50.24 MM

INTEREST(9M)

At USD 63.73 MM has Grown at 29.15%

GROSS NPA (%)

Here's what is working for Enterprise Bancorp, Inc.

NII

Highest at USD 38.69 MM and Grown

In each period in the last five periods

MOJO Watch

The bank's income from core business is increasing

Net NPA (%)

Credit Deposit Ratio

Highest at 0.7% and Grown

In each half year in the last four Semi-Annual periods

MOJO Watch

Bank has been creating proportionately higher loans against its deposits, thereby creating higher revenue generating assets

Credit Deposit Ratio (%)

Dividend per share

Highest at USD 0 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Cash and Eqv

Highest at USD 94.88 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for Enterprise Bancorp, Inc.

Operating Cash Flow

Lowest at USD 50.24 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Non Performing Loans (%)

Highest at 0.7%

in the last four Semi-Annual periods

MOJO Watch

Proportion of stressed loans given by the bank are increasing

Non Performing Loans (%)

Interest

At USD 63.73 MM has Grown at 29.15%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)