Bank Of The Jame Financial (BOTJ) AI Stock Analysis

Bank Of The Jame Financial

(NASDAQ:BOTJ)

Select Model

Rating:62Neutral

Price Target:$25.00▲(5.22% Upside)

Action:reiterated

Date:10/31/26

BOTJ scores in the moderate range. Financial fundamentals are stable rather than outstanding: a conservatively leveraged balance sheet, steady revenue growth and an improving TTM earnings trend are offset by multi-year margin compression and inconsistent cash flow generation. A low P/E near 9.4 plus a 1.7% yield and a recently announced 50% dividend increase — alongside record assets, loans and deposits and a sharp drop in nonperforming loans — provide fundamental and valuation support. The main drag is technical: the stock trades below its 20-, 50- and 100-day moving averages and is now testing its 200-day line, with deeply oversold readings suggesting the near-term trend remains weak even if a bounce is possible.

Positive Factors

Revenue and Profitability GrowthStrong multi-year revenue expansion and a rebound in TTM net margin indicate improved operating performance and better conversion of revenue into earnings. If sustained, this combination can support internal capital generation, reinforce customer reach, and provide a stronger base for growth over the next several quarters.

Negative Factors

Cash Flow VolatilityAlthough TTM free cash flow slightly exceeded net income, its negative growth and uneven historical pattern make cash generation less predictable. Persistent volatility could limit the bank’s ability to fund expansion, absorb unexpected credit costs, or maintain consistent capital distribution without relying on other resources.

Bank Of The Jame Financial (BOTJ) vs. SPDR S&P 500 ETF (SPY)

Market Cap: $107.95M
Dividend Yield: 1.68%
Average Volume (3M): 42.00K
Price to Earnings (P/E): 9.0
Beta (1Y): 0.21
Revenue Growth: 7.06%
EPS Growth: 52.33%
Country: US
Employees: 169
Sector: Financial
Sector Strength: 68
Industry: Banks - Regional

Bank Of The Jame Financial Business Overview & Revenue Model

Company Description

Bank of the James Financial Group, Inc. serves as the holding company for Bank of the James, which delivers a full spectrum of retail and commercial banking services. Its clientele spans individuals, businesses, various organizations and associations...

Bank Of The Jame Financial Financial Statement Overview

Summary

Blended view of the Income Statement (55), Balance Sheet (72), and Cash Flow (50) scores. Strengths include consistent revenue growth from $39M to $63M over five years, aggressive deleveraging that cut debt-to-equity from 0.41 to 0.11, and an equity base now above $80M with TTM ROE improving to ~14.3% and net income reaching $11.5M. Offsetting these are meaningful margin compression since 2022 (net margin down from ~20.3% to ~14.4%) tied to higher funding costs, and volatile operating and free cash flow generation, though cash conversion quality remains solid.

Income Statement

55Neutral

Balance Sheet

72Positive

Cash Flow

50Neutral

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	60.67M	62.51M	58.96M	51.42M	44.17M	39.29M
Gross Profit	46.87M	48.69M	44.21M	41.98M	42.92M	37.69M
EBITDA	11.98M	13.03M	11.86M	12.25M	13.72M	11.51M
Net Income	11.49M	9.02M	7.94M	8.70M	8.96M	7.59M
Balance Sheet
Total Assets	1.04B	1.04B	979.24M	969.37M	928.57M	987.63M
Cash, Cash Equivalents and Short-Term Investments	261.51M	84.47M	38.67M	242.12M	215.81M	190.60M
Total Debt	8.67M	8.80M	19.35M	19.93M	20.49M	21.02M
Total Liabilities	958.15M	958.98M	914.38M	909.33M	878.35M	918.21M
Stockholders Equity	83.15M	80.05M	64.86M	60.04M	50.23M	69.43M
Cash Flow
Free Cash Flow	12.73M	10.49M	5.96M	7.92M	8.12M	13.44M
Operating Cash Flow	12.62M	11.66M	8.51M	9.49M	9.31M	16.35M
Investing Cash Flow	-77.04M	-42.40M	-11.17M	-23.34M	-88.13M	-65.03M
Financing Cash Flow	22.06M	41.90M	1.14M	26.92M	-42.57M	130.95M

Bank Of The Jame Financial Technical Analysis

Technical Analysis SentimentNegative

Last Price23.76

Price Trends

50DMA27.25Negative

100DMA26.65Negative

200DMA23.92Negative

Market Momentum

MACD-0.15Positive

RSI29.15Positive

STOCH24.21Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BOTJ, the sentiment is Negative. The current price of 23.76 is below the 20-day moving average (MA) of 27.39, below the 50-day MA of 27.25, and below the 200-day MA of 23.92, indicating a bearish trend. The MACD of -0.15 indicates Positive momentum. The RSI at 29.15 is Positive, neither overbought nor oversold. The STOCH value of 24.21 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BOTJ.

Bank Of The Jame Financial Risk Analysis

Bank Of The Jame Financial disclosed 46 risk factors in its most recent earnings report. Bank Of The Jame Financial reported the most risks in the "Finance & Corporate" category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added

1 New Risk

1.4848 ItemQ3, 2024

Bank Of The Jame Financial Peers Comparison

Overall Rating

UnderperformOutperform

Sector (68)

Financial Indicators

BOTJ against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FUSB	73Outperform	$90.83M	11.96	7.58%	1.70%	3.80%	43.33%
UBCP	69Neutral	$81.21M	9.97	11.53%	6.71%	6.21%	8.32%
Sector *	68Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
BOTJ	62Neutral	$107.95M	8.97	14.94%	1.68%	7.06%	52.33%
SSBI	53Neutral	$77.40M	190.50	0.33%	―	-7.24%	―
BYFC	51Neutral	$106.33M	-4.23	-7.74%	―	10.60%	-935.88%
FNWB	44Neutral	$97.30M	-1100.00	-0.03%	―	-6.23%	99.73%

* Financial Sector Average

Performance Comparison

BOTJ and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
BOTJ	Bank Of The James Financial Group, Inc.	23.76	7.07	42.39%
BYFC	Broadway Financial	11.46	5.06	79.06%
SSBI	Summit State Bank	11.43	0.59	5.44%
UBCP	United Bancorp	14.16	1.86	15.09%
FUSB	First Us Bancshares	16.50	3.49	26.82%
FNWB	First Northwest Bancorp	10.23	1.23	13.67%

Bank Of The Jame Financial Corporate Events

DividendsFinancial Disclosures

Bank of the James Financial Hikes Quarterly Dividend

Positive

Oct 30, 2026

Bank of the James Financial Group reported strong results for the third quarter and first nine months of 2026, with net income rising to $3.32 million for the quarter and $9.34 million year-to-date, driven by higher net interest income and noninteres...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Oct 30, 2026

Bank Of The Jame Financial AI Stock Analysis