Optimumbank Holdings (OPHC) AI Stock Analysis

• Market Cap: $51.70M
• Dividend Yield: N/A
• Average Volume (3M): 26.09K
• Price to Earnings (P/E): 3.3
• Beta (1Y): 0.48
• Revenue Growth: 63.78%
• EPS Growth: 59.54%
• Country: US
• Employees: 73
• Sector: Financial
• Sector Strength: 88
• Industry: Banks - Regional
• EPS (TTM): 1.33
• Shares Outstanding: 11,751,082
• 10 Day Avg. Volume: 20,163
• 30 Day Avg. Volume: 26,094
• PEG Ratio: 0.06
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.78
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 1.54
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $5.50
• Price Target Upside: 25.00% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

Optimumbank Holdings shows strong financial health with significant revenue growth and improving profitability. The company's valuation is attractive due to a low P/E ratio, indicating potential for appreciation. Technical indicators suggest caution with overbought conditions, while positive corporate events highlight strategic growth. The overall score reflects a solid investment with some risks related to technical factors.

Optimumbank Holdings Business Overview & Revenue Model

Company Description

OptimumBank Holdings, Inc. operates as the bank holding company for OptimumBank that provides various consumer and commercial banking services to individuals and businesses. It accepts demand interest-bearing and noninterest-bearing, savings, money market, NOW, and time deposit accounts, as well as certificates of deposit; and offers residential and commercial real estate, multi-family real estate, commercial, land and construction, and consumer loans, as well as lending lines for working capital needs. The company also provides debit and ATM cards; investment, cash management, notary, and night depository services; and direct deposits, money orders, cashier's checks, domestic collections, and banking by mail, as well as internet banking services. It operates through two banking offices located in Broward County, Florida. The company was founded in 2000 and is based in Fort Lauderdale, Florida.

How the Company Makes Money

OptimumBank Holdings, Inc. makes money primarily through the interest income generated from its loan portfolio, which includes commercial real estate loans, residential real estate loans, and other consumer loans. Additionally, the bank earns revenue from service fees related to deposit accounts and other banking services. The bank also benefits from interest earned on its investments in securities. OptimumBank's financial performance is influenced by factors such as interest rate fluctuations, the economic environment in its operating region, and its ability to maintain a strong loan portfolio with minimal defaults.

Optimumbank Holdings Financial Statement Overview

Summary

Optimumbank Holdings exhibits strong financial performance with significant revenue growth, improved profit margins, and a strong equity position. Despite the lack of debt, the company should monitor asset and equity balance to maintain stability.

Income Statement

Optimumbank Holdings has demonstrated strong revenue growth with a significant increase from $5.28M in 2020 to $59.63M in 2024. Gross profit margins are impressive, consistently at 100% due to the nature of their business. The net profit margin improved significantly, reaching 22% in 2024 from negative figures in earlier years, indicating enhanced profitability. The EBIT margin also improved dramatically from negative in 2020 to 98% in 2024, showcasing strong operational efficiency. However, the lack of EBITDA data for 2024 limits a full assessment.

Balance Sheet

The company's balance sheet shows a strong equity position with a debt-to-equity ratio of 0 in 2024, down from higher levels in previous years, indicating no reliance on debt. The return on equity (ROE) improved to 12.72% in 2024, reflecting effective capital utilization. The equity ratio is healthy at 11.06%, suggesting a stable financial structure. However, the low equity base compared to total assets may pose some risk in terms of leverage if asset values fluctuate.

Cash Flow

Optimumbank Holdings' cash flow statements show a robust increase in operating cash flow from $3.76M in 2021 to $15.61M in 2024, indicating strong cash generation. The free cash flow also increased significantly, with a growth rate of 151.20% from 2023 to 2024. The operating cash flow to net income ratio is strong, suggesting efficient conversion of profits into cash. However, the high fluctuations in financing and investing cash flows indicate potential volatility in cash management strategies.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
59.63M	35.78M	18.80M	11.18M	5.28M
	Gross Profit
59.63M	35.78M	18.80M	11.18M	5.28M
	EBIT
58.56M	9.38M	9.44M	3.07M	-782.00K
	EBITDA
0.00	9.02M	5.96M	3.37M	-455.00K
	Net Income Common Stockholders
13.12M	6.28M	4.02M	6.30M	-782.00K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
36.76M	76.66M	96.94M	93.36M	73.52M
	Total Assets
932.93M	791.25M	585.22M	351.88M	235.11M
	Total Debt
52.77M	64.25M	12.17M	19.77M	25.99M
	Net Debt
-13.98M	-12.41M	-59.66M	-39.20M	-28.64M
	Total Liabilities
829.75M	721.25M	522.64M	19.77M	25.99M
	Stockholders Equity
103.18M	70.01M	62.58M	38.51M	17.83M
Cash Flow		Free Cash Flow
15.61M	6.21M	10.04M	3.38M	-1.66M
	Operating Cash Flow
15.61M	6.88M	10.36M	3.76M	-1.46M
	Investing Cash Flow
-125.47M	-199.66M	-229.80M	-108.76M	-62.77M
	Financing Cash Flow
126.83M	197.61M	232.31M	109.34M	109.93M

Optimumbank Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.40
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OPHC, the sentiment is Positive. The current price of 4.4 is above the 20-day moving average (MA) of 4.03, above the 50-day MA of 4.17, and below the 200-day MA of 4.56, indicating a neutral trend. The MACD of 0.07 indicates Negative momentum. The RSI at 64.49 is Neutral, neither overbought nor oversold. The STOCH value of 84.99 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for OPHC.

Optimumbank Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OPHC	77 Outperform	$51.70M	3.31	15.16%	―	63.78%	59.54%
HFBL	76 Outperform	$40.73M	12.00	6.24%	4.00%	1.27%	-27.46%
Sector *	64 Neutral	$12.64B	9.74	8.05%	17044.60%	12.66%	-4.62%
CFSB	60 Neutral	$51.47M	―	>-0.01%	―	13.69%	77.14%
CLST	57 Neutral	$48.78M	20.96	2.70%	―	152.27%	―
TCBS	48 Neutral	$46.77M	―	3.88%	1.05%	19.56%	-90.02%

Optimumbank Holdings Corporate Events

OptimumBank Holdings Releases Q1 2025 Financial Results

On April 24, 2025, OptimumBank Holdings, Inc. released a presentation detailing its financial performance for the year ending December 31, 2024, and the unaudited results for the quarter ending March 31, 2025. The announcement provides insights into the company’s operational outcomes and financial status, potentially impacting its market positioning and stakeholder interests.

Spark’s Take on OPHC Stock

According to Spark, TipRanks’ AI Analyst, OPHC is a Outperform.

Optimumbank Holdings demonstrates strong financial performance with significant revenue and profitability improvements, zero debt, and robust cash flow. The attractive valuation with a low P/E ratio suggests potential upside. However, technical indicators highlight some bearish momentum risks. Overall, the company is well-positioned for growth but should monitor asset management and market trends closely.

To see Spark’s full report on OPHC stock, click here.

Optimumbank Holdings Reports Strong Financial Performance Growth

OptimumBank Holdings, Inc. reported a significant increase in financial performance for the year ended December 31, 2024, with net income rising to $13.1 million, a notable improvement from $6.3 million in 2023. This growth was driven by a 46.3% rise in net interest income and a 33.9% increase in noninterest income, alongside robust asset and deposit growth. The bank’s strategic investments in talent, technology, and infrastructure led to a 32.7% increase in noninterest expenses, supporting its expansion and operational growth. The strengthened capital position with improved Tier 1 capital ratio to 10.91% also highlights the company’s commitment to sustainable growth and superior shareholder returns.