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If Bancorp Inc. (IROQ)
NASDAQ:IROQ
US Market

IF Bancorp (IROQ) AI Stock Analysis

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IF Bancorp

(NASDAQ:IROQ)

59Neutral
IF Bancorp's stock score is driven primarily by strong financial stability with a debt-free balance sheet and efficient gross profit margins. However, the company faces challenges with declining revenue and net margins, moderately inefficient cash flows, and a high P/E ratio suggesting overvaluation. Technical indicators also suggest neutral to slightly bearish momentum, which tempers the overall outlook. To improve the score, the company needs to focus on reversing revenue contraction and improving profitability.

IF Bancorp (IROQ) vs. S&P 500 (SPY)

IF Bancorp Business Overview & Revenue Model

Company DescriptionIF Bancorp, Inc. (IROQ) is a holding company for Iroquois Federal Savings and Loan Association, a community-oriented financial institution offering a range of financial services. The company primarily serves individuals and businesses in its local regions, providing products such as residential and commercial real estate loans, consumer loans, and deposit products. IF Bancorp operates through its network of branch offices and aims to deliver personalized banking services tailored to meet the needs of its customers.
How the Company Makes MoneyIF Bancorp generates revenue primarily through the interest income earned from its loan portfolio. The company offers various types of loans, including residential mortgage loans, commercial real estate loans, and consumer loans, which contribute significantly to its interest income. Additionally, the company earns non-interest income from service charges on deposit accounts, loan servicing fees, and commissions from the sale of investment and insurance products. IF Bancorp also benefits from interest earned on its investment securities portfolio. The company's strategic focus on community banking enables it to maintain strong customer relationships, which supports its revenue generation activities.

IF Bancorp Financial Statement Overview

Summary
IF Bancorp demonstrates strong gross profit margins and a debt-free balance sheet, reflecting healthy operations and financial stability. However, declining revenue and net profit margins, along with moderate cash flow efficiency, highlight areas for improvement. The banking industry context suggests that maintaining revenue growth and enhancing profitability will be crucial for future performance.
Income Statement
65
Positive
The gross profit margin for TTM (Trailing-Twelve-Months) is strong at 85.0%, indicating efficient cost management. However, the net profit margin has decreased to 7.3%, reflecting potential challenges in converting revenue to profit. The revenue growth rate is negative at -20.11% from the previous annual report, suggesting revenue contraction. EBIT and EBITDA margins are at 59.9% and 2.7% respectively, with a significant drop in EBITDA margin due to lower depreciation benefits.
Balance Sheet
70
Positive
With a debt-to-equity ratio at 0.0 in TTM, the company exhibits strong financial stability with no leverage risk. The equity ratio remains healthy at 8.6%, though slightly lower compared to historical trends, indicating reasonable equity financing. ROE has declined to 3.9% in TTM, suggesting reduced profitability on equity compared to previous years.
Cash Flow
60
Neutral
Free cash flow has improved with a growth rate of 38.3% in TTM, showing positive cash generation. The operating cash flow to net income ratio is slightly below 1, indicating limited cash conversion efficiency. The free cash flow to net income ratio suggests sufficient cash generation relative to net income, but efficiency can be improved.
Breakdown
Jun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income StatementTotal Revenue
22.08M26.07M27.77M26.44M23.10M
Gross Profit
22.11M26.07M27.77M26.44M23.10M
EBIT
2.35M6.26M10.36M7.38M5.88M
EBITDA
0.006.92M8.50M8.06M6.55M
Net Income Common Stockholders
1.79M4.66M5.78M5.35M4.25M
Balance SheetCash, Cash Equivalents and Short-Term Investments
6.19M10.99M298.22M252.63M195.86M
Total Assets
887.75M848.98M857.56M797.34M735.52M
Total Debt
58.25M19.50M15.00M28.00M37.50M
Net Debt
48.43M8.51M-60.81M-34.73M4.03M
Total Liabilities
813.83M777.22M785.90M712.04M652.95M
Stockholders Equity
73.92M71.75M71.66M85.30M82.56M
Cash FlowFree Cash Flow
2.04M516.00K8.28M6.59M6.74M
Operating Cash Flow
2.28M2.77M8.67M6.87M6.90M
Investing Cash Flow
-39.75M-57.12M-68.80M-36.04M-34.30M
Financing Cash Flow
36.05M-10.47M73.21M58.44M1.27M

IF Bancorp Technical Analysis

Technical Analysis Sentiment
Positive
Last Price24.44
Price Trends
50DMA
23.90
Positive
100DMA
23.65
Positive
200DMA
21.42
Positive
Market Momentum
MACD
0.08
Negative
RSI
56.47
Neutral
STOCH
68.64
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IROQ, the sentiment is Positive. The current price of 24.44 is above the 20-day moving average (MA) of 23.73, above the 50-day MA of 23.90, and above the 200-day MA of 21.42, indicating a bullish trend. The MACD of 0.08 indicates Negative momentum. The RSI at 56.47 is Neutral, neither overbought nor oversold. The STOCH value of 68.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IROQ.

IF Bancorp Risk Analysis

IF Bancorp disclosed 23 risk factors in its most recent earnings report. IF Bancorp 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 0 New Risks

IF Bancorp Peers Comparison

Overall Rating
UnderperformOutperform
Sector (64)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
70
Neutral
$69.23M10.568.32%5.38%22.78%722.30%
64
Neutral
$12.65B9.748.04%17044.64%12.65%-5.11%
63
Neutral
$85.46M17.305.61%4.77%1.75%22.21%
62
Neutral
$73.23M9.538.10%1.91%5.07%-7.24%
59
Neutral
$81.89M23.924.35%1.66%11.65%67.39%
57
Neutral
$74.94M9.8511.23%5.72%7.53%-19.74%
41
Neutral
$91.67M-0.73%-11.26%-460.04%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IROQ
IF Bancorp
24.44
8.44
52.75%
AUBN
Auburn National Bancorporation
19.82
1.76
9.75%
LSBK
Lake Shore Bancorp
15.08
4.10
37.34%
UBCP
United Bancorp
12.56
1.23
10.86%
FUSB
First US Bancshares
12.73
2.53
24.80%
BSBK
Bogota Financial
7.02
0.47
7.18%

IF Bancorp Corporate Events

Executive/Board Changes
IF Bancorp Announces Leadership Changes and Appointments
Neutral
Nov 26, 2024

IF Bancorp, Inc. announced leadership changes with Walter H. Hasselbring, III stepping down as President to become Chair of the Board, while Thomas J. Chamberlain is appointed as the new President. As Hasselbring continues as CEO, the company aims for strong leadership by combining roles and appointing Joseph A. Cowan as Lead Independent Director. These strategic moves are designed to enhance oversight and maintain consistent leadership within the company and its subsidiary, Iroquois Federal Savings and Loan Association.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.