American Bank (AMBK) AI Stock Analysis

• Market Cap: $88.11M
• Dividend Yield: 3.56%
• Average Volume (3M): 212.00
• Price to Earnings (P/E): 9.0
• Beta (1Y): 0.10
• Revenue Growth: 80.22%
• EPS Growth: 22.70%
• Country: US
• Employees: 46
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.65
• Shares Outstanding: 5,585,141
• 10 Day Avg. Volume: 130
• 30 Day Avg. Volume: 212
• PEG Ratio: -3.73
• Price to Book (P/B): 0.96
• Price to Sales (P/S): 3.58
• P/FCF Ratio: 10.58
• Enterprise Value/Market Cap: 1.08
• Enterprise Value/Revenue: 3.81
• Enterprise Value/Gross Profit: 3.81
• Enterprise Value/Ebitda: 4.37
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 65 Neutral
• Price Target: $17.00 ▲(7.73% Upside)

American Bank's overall stock score is driven by its strong financial performance and attractive valuation. The elimination of debt and solid cash flows enhance its financial stability. However, technical analysis presents mixed signals, with a negative MACD indicating potential bearish momentum. The low P/E ratio and decent dividend yield make it appealing for value and income investors.

American Bank Business Overview & Revenue Model

Company Description

American Bank Incorporated operates as the bank holding company for American Bank that provides various banking products and services to consumer, business, institutional, and governmental customers. It accepts a range of interest-bearing checking and money market accounts, savings accounts, certificates of deposit, and individual retirement accounts. The company also offers commercial, industrial, and other loans; commercial mortgage loans; commercial construction loans; residential mortgage loans; and consumer loans, including personal term loans, personal credit lines, automobile loans, home equity loans, and home equity lines of credit and loans. In addition, it provides online or mobile banking, automated teller machine, safe deposit box rental, and wire transfer services, as well as sells checks and checkbooks, and purchases investment securities. The company operates an office located in Allentown, Pennsylvania; and a loan production office in Blue Bell, Pennsylvania. The company was founded in 1997 and is based in Allentown, Pennsylvania.

How the Company Makes Money

American Bank generates revenue through multiple key streams, primarily focusing on interest income from loans and fees associated with various banking services. The bank earns interest from personal loans, mortgages, and business loans, which typically have higher interest rates compared to the interest paid on customer deposits. Additionally, AMBK collects fees from account maintenance, ATM transactions, and overdraft services, contributing to its non-interest income. The institution may also engage in wealth management services and investment products, offering advisory services that generate further fees. Strategic partnerships with financial technology firms or local businesses can enhance customer engagement and offer new revenue opportunities, while effective risk management practices help optimize profitability.

American Bank Financial Statement Overview

Summary

American Bank's financial position is solid, characterized by consistent profitability and strong cash flows. The elimination of debt markedly enhances the balance sheet health, while revenue growth and stable net margins support a positive outlook. However, the lack of EBITDA data for 2024 and a slight decline in EBIT margin highlight areas for potential improvement.

Income Statement

American Bank showed moderate revenue growth of 4.2% from 2023 to 2024, with a consistent net profit margin of approximately 35.5% in 2024. However, the gross profit margin decreased due to reduced gross profit, and EBIT margin slightly declined from 47.2% to 44.5%. The absence of EBITDA data for 2024 limits a comprehensive assessment of operational efficiency.

Balance Sheet

The balance sheet is strong with a debt-to-equity ratio of 0, reflecting no debt in 2024, which significantly improves the financial stability of American Bank. ROE remained solid at 9.5%, and the equity ratio improved from 9.8% to 9.7%. The strengthening equity position is a positive sign of financial health.

Cash Flow

Operating cash flow improved by 43.5% from 2023 to 2024, indicating better cash generation. Free cash flow also grew significantly by 62.2%, reflecting enhanced cash management. The operating cash flow to net income ratio of 0.98 indicates a strong cash conversion from earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	24.93M	25.74M	24.85M	31.80M	29.81M	29.01M
Gross Profit	24.93M	25.74M	24.85M	25.33M	24.07M	22.02M
EBITDA	21.74M	11.79M	12.20M	13.13M	13.13M	3.00K
Net Income	21.74M	9.14M	9.31M	10.28M	10.53M	9.18M
Balance Sheet
Total Assets	881.30M	986.67M	918.88M	927.28M	849.15M	734.29M
Cash, Cash Equivalents and Short-Term Investments	0.00	69.18M	39.50M	-2.88M	-1.48M	-2.64M
Total Debt	0.00	80.36M	109.44M	159.63M	108.71M	113.05M
Total Liabilities	881.30M	890.63M	829.07M	845.38M	772.90M	667.93M
Stockholders Equity	0.00	96.04M	89.81M	81.91M	76.25M	66.36M
Cash Flow
Free Cash Flow	0.00	8.71M	5.37M	17.93M	5.48M	3.95M
Operating Cash Flow	0.00	8.96M	6.25M	19.24M	9.07M	4.95M
Investing Cash Flow	0.00	-35.97M	37.32M	-178.65M	-44.49M	-64.08M
Financing Cash Flow	0.00	56.68M	-20.53M	56.78M	105.50M	82.72M

American Bank Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 15.78
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMBK, the sentiment is Positive. The current price of 15.78 is above the 20-day moving average (MA) of 15.77, below the 50-day MA of 15.82, and above the 200-day MA of 15.06, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 50.45 is Neutral, neither overbought nor oversold. The STOCH value of 52.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AMBK.

American Bank Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IROQ	69 Neutral	$84.79M	18.74	5.53%	1.56%	6.61%	139.05%
AUBN	68 Neutral	$91.15M	13.74	8.25%	4.13%	27.65%	996.66%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
AMBK	65 Neutral	$88.11M	9.00	27.52%	3.56%	80.22%	22.70%
CFSB	54 Neutral	$92.53M	―	-0.35%	―	11.64%	-913.46%
SSBI	49 Neutral	$78.85M	-49.02	-1.64%	0.34%	-0.03%	-126.57%
PBHC	44 Neutral	$94.19M	157.02	2.33%	2.73%	8.19%	―