CB Financial beats Q2 adjusted EPS estimates, raises dividend by 4%

Overview

• CB Financial Services beats analysts' expectations for Q2 adjusted EPS

• Adjusted net income exceeds estimates

• Co declares 4% increase in quarterly cash dividend

Outlook

• CB Financial Services anticipates steady loan demand throughout 2025

• Company expects treasury services program operational by late 2025

• CB Financial Services aims to reduce reliance on brokered CDs

• Company maintains positive outlook for revenue growth by year-end

Result Drivers

• COMMERCIAL LOAN GROWTH - Driven by strong production in commercial real estate and industrial loans, funded by increased core deposits

• DEPOSIT MIX IMPROVEMENT - Shift towards lower-cost core deposits and reduced reliance on time deposits, aiding in cost of funds reduction

• NIM EXPANSION - Net interest margin improved due to lower cost of funds and higher yield on earning assets, aided by strategic balance sheet repositioning

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the banks peer group is "buy."

• Wall Street's median 12-month price target for CB Financial Services Inc is $31.00, about 8.4% above its July 21 closing price of $28.40

• The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 15 three months ago

Press Release: ID:nBw34fgYJa