LINKBANCORP (LNKB) AI Stock Analysis

• Market Cap: $260.48M
• Dividend Yield: 4.3%
• Average Volume (3M): 50.41K
• Price to Earnings (P/E): 9.9
• Beta (1Y): 0.54
• Revenue Growth: 152.82%
• EPS Growth: N/A
• Country: US
• Employees: 378
• Sector: Financial
• Sector Strength: 84
• Industry: Banking
• EPS (TTM): 0.71
• Shares Outstanding: 37,370,920
• 10 Day Avg. Volume: 53,919
• 30 Day Avg. Volume: 50,413
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 2.65
• Price to Cash Flow (P/CF): 4.60
• P/FCF Ratio: 2.50
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $8.00
• Price Target Upside: 15.44% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

LINKBANCORP's overall stock score is driven by solid financial performance and strong corporate events indicating a positive outlook. However, technical analysis shows mixed signals and the valuation suggests potential concerns with a negative P/E ratio. The dividend yield provides some appeal for income-focused investors.

LINKBANCORP Business Overview & Revenue Model

Company Description

LINKBANCORP (LNKB) is a financial services holding company that operates primarily in the banking sector. It offers a range of banking products and services, including personal and business banking, loans, mortgages, and investment services. The company aims to serve both individual and commercial clients by providing tailored financial solutions that meet their varied needs.

How the Company Makes Money

LINKBANCORP generates revenue primarily through the interest income from loans and mortgages offered to individuals and businesses. Additionally, the company earns money from service fees associated with its banking products, such as account maintenance fees, transaction fees, and investment advisory fees. Non-interest income also plays a role in its earnings, derived from wealth management services and other financial services. Strategic partnerships with other financial institutions and service providers may also contribute to its revenue streams by expanding its product offerings and market reach.

LINKBANCORP Financial Statement Overview

Summary

LINKBANCORP demonstrates solid financial health with strong revenue growth and efficient operations. The balance sheet reflects a stable financial position with moderate leverage, while cash flow metrics show improving trends. Nonetheless, there are areas for improvement, particularly in enhancing net profitability and maximizing equity returns.

Income Statement

The company has demonstrated strong revenue growth, with a significant increase in total revenue from 2023 to TTM (Trailing-Twelve-Months). Gross profit margin is robust, indicating effective cost management. However, the net profit margin is relatively modest, suggesting room for improvement in net profitability. The EBIT margin is impressive, highlighting operational efficiency, but the EBITDA margin is low due to high depreciation/amortization or other non-operating expenses.

Balance Sheet

LINKBANCORP maintains a healthy equity ratio, showcasing a solid capital structure with a reasonable level of leverage. The debt-to-equity ratio is manageable, suggesting prudent financial leverage. However, the return on equity is low, indicating less efficient use of equity to generate returns, which is a potential concern for shareholders.

Cash Flow

The company has shown an improvement in free cash flow, with positive growth in TTM (Trailing-Twelve-Months). The operating cash flow to net income ratio is favorable, illustrating strong cash generation relative to reported net income. However, the free cash flow to net income ratio is lower, indicating that free cash flow is not as strong as net earnings could suggest.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
133.75M	66.28M	35.94M	18.25M	13.33M
	Gross Profit
148.96M	66.28M	35.94M	18.25M	13.33M
	EBIT
108.60M	0.00	12.99M	100.00K	4.84M
	EBITDA
10.33M	0.00	7.93M	0.00	5.15M
	Net Income Common Stockholders
5.43M	-11.97M	5.60M	289.00K	4.19M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
-11.66M	128.58M	114.45M	139.20M	175.66M
	Total Assets
2.67B	2.67B	1.16B	932.76M	429.54M
	Total Debt
88.50M	88.50M	102.80M	45.19M	1.49M
	Net Debt
8.31M	8.31M	67.16M	9.77M	-48.72M
	Total Liabilities
2.40B	2.40B	1.03B	823.14M	378.87M
	Stockholders Equity
265.31M	265.31M	138.55M	109.62M	50.67M
Cash Flow		Free Cash Flow
1.78M	-1.38M	-2.25M	4.51M	3.02M
	Operating Cash Flow
8.99M	-10.00K	2.34M	4.77M	3.13M
	Investing Cash Flow
67.00M	58.58M	-222.59M	-5.04M	-38.82M
	Financing Cash Flow
129.99M	-8.39M	227.67M	-10.30M	41.15M

LINKBANCORP Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 6.93
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LNKB, the sentiment is Neutral. The current price of 6.93 is below the 20-day moving average (MA) of 7.01, below the 50-day MA of 7.15, and above the 200-day MA of 6.77, indicating a neutral trend. The MACD of -0.09 indicates Negative momentum. The RSI at 46.13 is Neutral, neither overbought nor oversold. The STOCH value of 62.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for LNKB.

LINKBANCORP Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FNB	74 Outperform	$4.99B	11.00	7.53%	3.45%	15.34%	-3.89%
Sector *	64 Neutral	$14.59B	10.31	8.70%	4.21%	16.52%	-11.97%
LNKB	63 Neutral	$260.48M	9.87	9.61%	4.30%	152.82%	―
WASH	63 Neutral	$608.74M	12.16	-5.77%	7.05%	-14.04%	-155.40%
FULT	62 Neutral	$3.35B	11.65	9.69%	3.77%	21.10%	-4.20%
TMP	61 Neutral	$927.27M	12.94	10.25%	3.83%	41.65%	668.73%
UBSI	61 Neutral	$5.02B	12.75	7.62%	4.22%	6.80%	1.48%

LINKBANCORP Corporate Events

LINKBANCORP Achieves Record Results and Declares Dividend

LINKBANCORP reported record financial results for the fourth quarter and full year of 2024, with a net income of $7.6 million for the quarter, reflecting strategic initiatives aimed at improving performance through cost reduction and growth in quality loans and core deposits. The company also declared a quarterly cash dividend of $0.075 per share, indicating a positive outlook for shareholders, while its ongoing branch sale in New Jersey is expected to close in the first quarter of 2025, which may impact its operational focus.