Magyar Bancorp (MGYR) AI Stock Analysis

• Market Cap: $89.61M
• Dividend Yield: 1.52%
• Average Volume (3M): 2.55K
• Price to Earnings (P/E): 10.8
• Beta (1Y): 0.32
• Revenue Growth: 23.47%
• EPS Growth: 10.77%
• Country: US
• Employees: 91
• Sector: Financial
• Sector Strength: 83
• Industry: Banks - Regional
• EPS (TTM): 1.29
• Shares Outstanding: 6,479,621
• 10 Day Avg. Volume: 736
• 30 Day Avg. Volume: 2,550
• PEG Ratio: 1.00
• Price to Book (P/B): N/A
• Price to Sales (P/S): 2.90
• Price to Cash Flow (P/CF): 8.00
• P/FCF Ratio: 3.40
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Magyar Bancorp's overall stock score reflects its strong financial health, highlighted by a robust balance sheet and effective equity management. The company benefits from positive corporate events, including significant growth in loans and enhanced shareholder returns. However, technical indicators suggest a lack of strong momentum, and while the valuation is appealing, it is not enough to significantly boost the score. The variability in cash flow remains a concern that moderates the overall score.

Magyar Bancorp Business Overview & Revenue Model

Company Description

Magyar Bancorp, Inc. is a bank holding company based in New Brunswick, New Jersey. Through its subsidiary, Magyar Bank, it serves the financial needs of individuals and small to medium-sized businesses primarily in Central New Jersey. The company provides a range of financial products and services, including retail and commercial banking, mortgage lending, and deposit products.

How the Company Makes Money

Magyar Bancorp generates revenue through its core banking operations. The company earns interest income from loans it provides to individuals and businesses, such as residential and commercial mortgages, home equity loans, and lines of credit. Additionally, it collects interest on investment securities. Non-interest income is derived from service charges on deposit accounts, fees from loan originations, and other financial services. The bank also benefits from strategic partnerships with financial service providers, which can offer additional fee-based revenue streams.

Magyar Bancorp Financial Statement Overview

Summary

Overall, Magyar Bancorp demonstrates strong financial health with robust profitability metrics and a secure balance sheet devoid of debt. The company exhibits good revenue growth and effective equity management, although cash flow variability could pose operational challenges. Continuous focus on improving cash flow stability will enhance financial resilience.

Income Statement

The company's income statement reveals strong performance with a significant gross profit margin and consistent net profit margin. Revenue growth has been positive, with a notable increase from the previous years. The EBIT margin is healthy, although the negative EBITDA figure in TTM suggests some non-operating expenses impacting the overall earnings.

Balance Sheet

The balance sheet is robust, showing no total debt in the latest period, which enhances financial stability. The equity ratio is strong, indicating a solid equity base relative to assets. Return on equity is consistent, reflecting effective management of equity to generate profits.

Cash Flow

Operating cash flow is positive and supports net income, indicating good cash generation from operations. However, the fluctuation in free cash flow growth rate suggests variability in operational efficiency and capital expenditures. The free cash flow to net income ratio is sound, although less consistent over time.

Breakdown
TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
48.41M	31.50M	30.42M	231.00K	29.00M	23.13M
	Gross Profit
47.91M	31.50M	30.42M	231.00K	29.00M	23.13M
	EBIT
19.30M	81.00K	10.74M	13.84M	8.72M	3.11M
	EBITDA
-920.00K	11.10M	11.58M	12.01M	9.56M	4.27M
	Net Income Common Stockholders
8.21M	7.78M	7.71M	7.92M	6.12M	2.19M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
6.29M	15.62M	72.53M	12.10M	88.13M	76.29M
	Total Assets
550.85K	951.92M	907.29M	798.54M	657.76M	754.00M
	Total Debt
69.09K	28.57M	29.52M	15.63M	23.36M	67.41M
	Net Debt
-6.22M	28.57M	-43.02M	-15.31M	-51.84M	5.68M
	Total Liabilities
510.59K	841.37M	802.50M	700.04M	560.12M	697.15M
	Stockholders Equity
40.26K	110.55M	104.79M	98.50M	97.64M	56.85M
Cash Flow		Free Cash Flow
5.10M	5.51M	8.18M	10.81M	8.84M	667.00K
	Operating Cash Flow
5.79M	6.32M	8.48M	11.20M	9.26M	814.00K
	Investing Cash Flow
-82.80M	-90.29M	-66.05M	-69.74M	-8.20M	-79.96M
	Financing Cash Flow
84.08M	37.04M	99.17M	14.28M	12.41M	119.40M

Magyar Bancorp Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 13.83
• 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 MGYR, the sentiment is Neutral. The current price of 13.83 is below the 20-day moving average (MA) of 13.84, below the 50-day MA of 14.21, and above the 200-day MA of 13.25, indicating a neutral trend. The MACD of -0.09 indicates Negative momentum. The RSI at 48.71 is Neutral, neither overbought nor oversold. The STOCH value of 62.49 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for MGYR.

Magyar Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MGYR	73 Outperform	$89.61M	10.78	7.53%	1.52%	23.47%	10.77%
PROV	69 Neutral	$97.72M	16.18	4.82%	3.82%	7.55%	-20.61%
Sector *	63 Neutral	$12.32B	9.52	7.89%	79.24%	12.74%	-4.55%
PBHC	54 Neutral	$92.16M	26.65	2.36%	2.67%	16.38%	64.98%
WMPN	53 Neutral	$108.56M	―	-0.81%	0.99%	2.25%	-261.40%
FNWB	50 Neutral	$99.32M	―	-3.46%	2.66%	10.31%	-557.61%
BSBK	41 Neutral	$89.98M	―	-1.58%	―	-11.26%	-460.04%

Magyar Bancorp Corporate Events

Magyar Bancorp Reports Strong 2024 Financial Performance

Magyar Bancorp, Inc. announced a strong financial performance for 2024, highlighting a 5.5% increase in deposits, 12% loan growth, and a rise in earnings per share to $1.23. The company also reported enhanced shareholder returns through increased dividend payments and an active stock buyback program, while being recognized as a high-performing bank with a 5-star Bauer Financial rating and inclusion in the 2024 KBW Honor Roll. The company’s commitment to growth and enhanced liquidity is underscored by strategic expansions, such as opening a new branch in Martinsville and closing its Bridgewater office.