Columbia Banking System (COLB) AI Stock Analysis

• Market Cap: $7.48B
• Dividend Yield: 5.76%
• Average Volume (3M): 5.56M
• Price to Earnings (P/E): 9.9
• Beta (1Y): 1.10
• Revenue Growth: -1.39%
• EPS Growth: 11.31%
• Country: US
• Employees: 4,721
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.76
• Shares Outstanding: 299,171,260
• 10 Day Avg. Volume: 5,833,282
• 30 Day Avg. Volume: 5,559,329
• PEG Ratio: 0.25
• Price to Book (P/B): 1.10
• Price to Sales (P/S): 1.90
• P/FCF Ratio: 9.03
• Enterprise Value/Market Cap: 1.12
• Enterprise Value/Revenue: 2.86
• Enterprise Value/Gross Profit: 4.49
• Enterprise Value/Ebitda: 10.09
• 1Y Price Target: $29.40
• Price Target Upside: 15.11% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

• Rating: 69 Neutral
• Price Target: $28.00 ▲(9.63% Upside)

Columbia Banking System's overall score is driven by strong earnings call performance and attractive valuation metrics. However, financial performance concerns, particularly in revenue growth and cash flow management, weigh on the score. Technical analysis indicates potential short-term weakness, but the stock's valuation and dividend yield provide a buffer.

Positive Factors

Net Interest Margin Expansion

Improved net interest margins indicate better profitability from core banking operations, enhancing long-term financial stability and competitive positioning.

Successful Integration Planning with Pacific Premier

The acquisition is expected to enhance technological capabilities and market presence, supporting future growth and competitive advantage.

Strong Fee Income Growth

Growth in noninterest income diversifies revenue streams, reducing reliance on interest income and enhancing financial resilience.

Negative Factors

Declining Revenue Growth

A declining revenue growth rate may signal challenges in market expansion and customer acquisition, potentially impacting long-term profitability.

Increasing Debt Levels

Rising debt levels can strain financial flexibility and increase risk, affecting the company's ability to invest in growth opportunities.

Declining Deposit Balances

Declining deposits can limit the bank's ability to fund loans and investments, impacting growth and financial stability.

Columbia Banking System Business Overview & Revenue Model

Company Description

Columbia Banking System, Inc. operates as the bank holding company for Columbia State Bank that provides a range of banking services to small and medium-sized businesses, professionals, and individuals in the United States. It offers personal banking products and services, including noninterest and interest-bearing checking, savings, money market, and certificate of deposit accounts; home mortgages for purchases and refinances, home equity loans and lines of credit, and other personal loans; debit and credit cards; and digital banking services. The company also provides business banking products and services, such as checking, savings, interest-bearing money market, and certificate of deposit accounts; agricultural, asset-based, builder, and other commercial real estate loans, as well as loans guaranteed by the small business administration; and professional banking, treasury management, merchant card, and international banking services. In addition, it offers wealth management solutions that include financial planning services, such as asset allocation, net worth analysis, estate planning and preservation, education funding, and wealth transfer; long-term care, and life and disability insurance solutions; individual retirement solutions comprising retirement planning, retirement income strategies, and traditional and Roth individual retirement accounts; and business solutions, which comprise business retirement plans, key person insurance, business succession planning, and deferred compensation plans to individuals, families, and professional businesses. Further, the company provides fiduciary, investment, and administrative trust services, such as personal and special needs trusts, estate settlement, and investment agency and charitable management. It operates a network of 153 branch locations, including 68 in the state of Washington, 59 in Oregon, 15 in Idaho, and 11 in California. The company was founded in 1993 and is headquartered in Tacoma, Washington.

How the Company Makes Money

Columbia Banking System generates revenue primarily through net interest income and non-interest income. Net interest income is derived from the difference between the interest earned on loans and the interest paid on deposits, a common revenue stream for banks. The bank provides various loan products, including commercial loans, residential mortgages, and consumer loans, which contribute significantly to this income. Additionally, non-interest income comes from services such as fees for account maintenance, transaction services, mortgage origination fees, and wealth management services. Significant partnerships with local businesses and community organizations also enhance its customer base and revenue opportunities. Economic factors such as interest rates and the overall health of the regional economy can also impact earnings.

Columbia Banking System Financial Statement Overview

Summary

Columbia Banking System shows stable profitability with strong margins, but declining revenue growth and increasing debt levels pose risks. Cash flow management is crucial due to negative trends in free cash flow growth.

Income Statement

Columbia Banking System's income statement shows a mixed performance. The TTM data indicates a decline in revenue growth rate, which is concerning. However, the company maintains healthy gross and net profit margins, suggesting operational efficiency. The EBIT and EBITDA margins are stable, reflecting consistent profitability. The revenue growth rate has fluctuated significantly over the years, indicating potential volatility in revenue streams.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio, which has increased over the years but remains manageable. The return on equity is positive, indicating the company is generating returns for its shareholders. The equity ratio is stable, suggesting a solid capital structure. However, the increasing debt levels could pose a risk if not managed properly.

Cash Flow

The cash flow statement reveals challenges in free cash flow growth, with a negative trend in recent periods. The operating cash flow to net income ratio is low, indicating potential issues in converting income into cash. However, the free cash flow to net income ratio is strong, suggesting efficient cash generation relative to net income. The declining free cash flow growth rate is a concern that needs addressing.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.94B	2.97B	2.74B	1.35B	1.32B	1.42B
Gross Profit	1.87B	1.82B	1.78B	1.19B	1.32B	1.09B
EBITDA	831.87M	868.62M	615.45M	478.88M	589.66M	-1.42B
Net Income	528.48M	533.67M	348.71M	336.75M	420.30M	-1.52B
Balance Sheet
Total Assets	51.90B	51.58B	52.17B	31.85B	30.64B	29.24B
Cash, Cash Equivalents and Short-Term Investments	608.06M	2.08B	10.99B	4.49B	6.63B	5.51B
Total Debt	4.10B	3.90B	4.76B	1.72B	975.13M	1.60B
Total Liabilities	46.56B	46.46B	47.18B	29.37B	27.89B	26.53B
Stockholders Equity	5.34B	5.12B	5.00B	2.48B	2.75B	2.70B
Cash Flow
Free Cash Flow	506.58M	623.20M	669.84M	1.04B	647.25M	81.79M
Operating Cash Flow	551.88M	658.87M	669.84M	1.07B	662.72M	93.77M
Investing Cash Flow	-33.56M	114.57M	501.74M	-3.53B	-1.53B	-960.11M
Financing Cash Flow	-644.98M	-1.06B	-303.69M	1.00B	1.06B	2.08B

Columbia Banking System Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 25.54
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For COLB, the sentiment is Positive. The current price of 25.54 is below the 20-day moving average (MA) of 25.61, below the 50-day MA of 25.97, and above the 200-day MA of 24.56, indicating a neutral trend. The MACD of -0.21 indicates Positive momentum. The RSI at 49.64 is Neutral, neither overbought nor oversold. The STOCH value of 44.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for COLB.

Columbia Banking System Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HOMB	77 Outperform	$5.33B	11.77	11.20%	2.90%	1.43%	19.58%
OZK	73 Outperform	$5.16B	7.27	12.35%	3.86%	2.79%	2.11%
FNB	72 Outperform	$5.51B	11.00	7.86%	3.08%	4.74%	27.01%
COLB	69 Neutral	$7.48B	9.92	10.24%	5.76%	-1.39%	11.31%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
GBCI	67 Neutral	$5.10B	21.03	6.92%	3.01%	8.73%	26.19%
VLY	66 Neutral	$5.67B	12.03	7.07%	4.34%	-1.94%	41.35%

Columbia Banking System Corporate Events

Columbia Banking System Completes Major Acquisition

On September 2, 2025, Columbia Banking System completed its acquisition of Pacific Premier Bancorp, significantly enhancing its strategic expansion in Southern California and solidifying its market leadership in Northern California, Washington, Oregon, and Arizona. This acquisition increases Columbia’s assets to approximately $70 billion, with more than 350 locations across eight western states, reinforcing its position as a regional banking leader. The integration of systems and services is expected in the first quarter of 2026, with the unified Columbia brand now serving customers, marking a significant milestone in Columbia’s growth and market presence.

The most recent analyst rating on (COLB) stock is a Buy with a $35.00 price target. To see the full list of analyst forecasts on Columbia Banking System stock, see the COLB Stock Forecast page.

Columbia Banking System Announces Q3 2025 Results Date

On August 29, 2025, Columbia Banking System, Inc. announced it will release its third quarter 2025 financial results on October 30, 2025, after market close. The company will host a conference call for investors and analysts on the same day to discuss the financial results and recent activities, followed by a live Q&A session. This announcement highlights Columbia’s commitment to transparency and engagement with stakeholders, potentially impacting its market positioning and investor relations.

The most recent analyst rating on (COLB) stock is a Buy with a $29.00 price target. To see the full list of analyst forecasts on Columbia Banking System stock, see the COLB Stock Forecast page.

Columbia Banking System Declares Quarterly Cash Dividend

On August 15, 2025, Columbia Banking System, Inc. announced that its Board of Directors approved a quarterly cash dividend of $0.36 per common share. This dividend is set to be paid on September 15, 2025, to shareholders recorded by August 29, 2025. This decision reflects Columbia’s ongoing commitment to returning value to its shareholders and may positively impact its market positioning by reinforcing investor confidence.

The most recent analyst rating on (COLB) stock is a Buy with a $35.00 price target. To see the full list of analyst forecasts on Columbia Banking System stock, see the COLB Stock Forecast page.

Columbia Banking System’s Merger Agreement: A Double-Edged Sword for Strategic Growth?

The Merger Agreement restricts Columbia Banking System from engaging in or promoting certain third-party acquisition proposals, which could potentially limit its strategic growth opportunities. This limitation might deter other interested parties from proposing acquisitions, thereby affecting Columbia’s ability to explore potentially beneficial deals. As a result, Columbia may miss out on opportunities to enhance its market position or financial performance through strategic acquisitions. The restrictive nature of the agreement could thus pose a significant risk to Columbia’s long-term competitive strategy and growth prospects.

Columbia Banking System Gains Approval for Merger

On August 6, 2025, Columbia Banking System and Pacific Premier Bancorp announced they received all necessary regulatory approvals for their merger, initially announced on April 23, 2025. The merger is expected to close by August 31, 2025, enhancing Columbia’s market position in the western U.S. and promising long-term value for stakeholders.

The most recent analyst rating on (COLB) stock is a Buy with a $35.00 price target. To see the full list of analyst forecasts on Columbia Banking System stock, see the COLB Stock Forecast page.

Columbia Banking System’s Earnings Call Highlights Growth and Strategic Moves

Columbia Banking System’s recent earnings call painted a largely positive picture of the company’s financial health and strategic direction. The sentiment was buoyant, driven by strong quarterly performance, growth in net interest margin, and core fee income. The upcoming acquisition of Pacific Premier is on track and expected to bolster Columbia’s capabilities. Despite challenges like declining deposit balances and macroeconomic uncertainty, the positive developments and strategic initiatives were emphasized as outweighing these hurdles.

Columbia Banking System Reports Strong Q2 2025 Results

Columbia Banking System, Inc., headquartered in Tacoma, Washington, operates as a regional bank providing a range of financial services including commercial and retail banking, SBA lending, and wealth management across the western United States. In its second quarter of 2025, Columbia Banking System reported a net income of $152 million, reflecting a significant increase from the previous quarter. The company also saw an improvement in its net interest margin, which rose to 3.75%, driven by higher interest income from loans and securities. Despite a slight decrease in non-interest income, the bank managed to reduce its non-interest expenses by $62 million, primarily due to the absence of a legal settlement and severance expenses incurred in the first quarter. The bank’s credit quality remained stable with non-performing assets unchanged at 0.35% of total assets. Looking ahead, Columbia Banking System remains focused on enhancing profitability and optimizing its balance sheet while preparing for the completion of its acquisition of Pacific Premier Bancorp, expected in September 2025.