CF Bankshares Q4 net income rises on margin expansion

Overview

• Bank holding company's Q4 net income rose 31% yr/yr

• Net interest margin for Q4 increased 28bps compared to Q4 2024

• Company's capital position remains strong with Tier 1 Leverage ratio of 11.40%

Outlook

• CF Bankshares anticipates stronger commercial growth rates in 2026

• Company expects stabilized interest rate environment to positively impact earnings

• CF Bankshares aims to compete effectively for deposits with its efficient model

Result Drivers

• COMMERCIAL LOAN GROWTH - Co offset high loan payoffs with $369 mln in commercial loan fundings, bolstered by strong pipelines and expanded banking teams

• INTEREST EXPENSE REDUCTION - Decrease in interest expense contributed to higher net interest income, driven by a decline in cost of funds

• NET INTEREST MARGIN IMPROVEMENT - NIM increased by 28bps in Q4 2025 compared to Q4 2024, aided by lower cost of funds and disciplined pricing

Key Details

Analyst Coverage

• The one available analyst rating on the shares is "buy"

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

• Wall Street's median 12-month price target for CF Bankshares Inc is $29.00, about 8% below its February 4 closing price of $31.52

• The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 6 three months ago

Press Release: ID:nPn1Ndhcfa

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