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Optimumbank Holdings (OPHC)
:OPHC
US Market
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Optimumbank Holdings (OPHC) AI Stock Analysis

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OPHC

Optimumbank Holdings

(OPHC)

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Outperform 83 (OpenAI - Gpt-5.6Sol)
Rating:83Outperform
Price Target:
$11.50
▲(24.46% Upside)
Action:Reiterated
Date:08/20/26
The score is driven primarily by strong financial performance (high margins, strong cash conversion, and materially lower leverage) and supportive earnings-call fundamentals (raised EPS outlook, margin expansion, solid credit quality). Valuation is also favorable due to a low P/E. The main constraint is technical overheating (very high RSI/Stoch), which increases near-term pullback risk, alongside earnings-call risks around rising expenses and potential dilution from capital needs.
Positive Factors
Margin and Profitability
Expanding margins and strong profitability indicate that OPHC is converting its banking franchise into durable earnings. Higher net interest income, noninterest revenue and operating leverage can support returns if growth remains disciplined.
Negative Factors
Rising Operating Costs
Higher personnel, technology and infrastructure spending may be necessary for expansion, but it creates execution risk and can dilute operating leverage. Costs must scale more slowly than revenue for current profitability to remain sustainable.
Read all positive and negative factors
Positive Factors
Negative Factors
Margin and Profitability
Expanding margins and strong profitability indicate that OPHC is converting its banking franchise into durable earnings. Higher net interest income, noninterest revenue and operating leverage can support returns if growth remains disciplined.
Read all positive factors

Optimumbank Holdings (OPHC) vs. SPDR S&P 500 ETF (SPY)

Optimumbank Holdings Business Overview & Revenue Model

Company Description
OptimumBank Holdings, Inc. operates as the bank holding company for OptimumBank, which provides various consumer and commercial banking services to individuals and businesses. The company accepts interest-bearing and noninterest-bearing, savings, ...
How the Company Makes Money
OPHC primarily makes money through its banking subsidiary by earning (1) net interest income and (2) non-interest income. Net interest income is generated from the spread between interest earned on loans and other interest-earning assets and inter...

Optimumbank Holdings Earnings Call Summary

Earnings Call Date:Jul 24, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Nov 06, 2026
Earnings Call Sentiment Positive
The call highlights strong, scalable growth: record quarterly earnings, robust loan and deposit expansion, margin expansion, favorable credit metrics and the launch of high-yield financing platforms. Management also noted a simplified capital structure and growing institutional coverage. Offsetting risks include rising operating expenses, a lower allowance ratio relative to rapid portfolio growth (CRE concentration), the need to raise equity to sustain expansion, and short-term operational and funding challenges at the new OptimumFinance platform. On balance the positive financial performance, asset growth, credit quality and strategic initiatives outweigh the challenges.
Positive Updates
Record Quarterly Net Income and EPS
Reported record quarterly net income of $6.7 million, a 43% increase vs. Q1 2026 and an 85% increase vs. Q2 2025; net income per basic share $0.40 and diluted $0.28 for the quarter.
Negative Updates
Rising Noninterest Expense
Total noninterest expense increased to $8.38 million for the quarter and rose by approximately $4.6 million year-over-year for the first six months of 2026 due to investments in personnel, technology and infrastructure.
Read all updates
Q2-2026 Updates
Negative
Record Quarterly Net Income and EPS
Reported record quarterly net income of $6.7 million, a 43% increase vs. Q1 2026 and an 85% increase vs. Q2 2025; net income per basic share $0.40 and diluted $0.28 for the quarter.
Read all positive updates
Company Guidance
Management updated guidance to a forward-looking annual earnings range of approximately $1.00–$1.15 per share, based on a second-quarter run rate of about $0.28 per diluted share (Q2 net income ~$6.7M; Q2 diluted EPS $0.28, basic $0.40). That outlook reflects strong underlying metrics: net interest income ~$14.7M in Q2 (YTD NII ~$27.9M), total interest income $21.7M, NIM 4.57% (up from 4.49% Q1 and 4.14% a year ago), core pre‑tax, pre‑provision earnings $8.8M (annualized core ROE 26.9%; annualized core pre‑tax, pre‑provision earnings ~ $32M), noninterest income ~$2.49M, noninterest expense ~$8.38M, efficiency ratio 48.79%, gross loans ~$1.22B (loan yield YTD 7.11%), total deposits ~$1.21B, total assets >$1.4B, ACL/loans 0.91%, NPAs 0.22% of assets, net charge‑offs 0%, Tier 1 leverage 10.54%, tangible book value per diluted share $5.65, and an approximate diluted share count of 24.8M; management noted the Series B/C preferred exchange simplified the capital structure with minimal dilution impact and signaled possible opportunistic equity raises to support continued balance‑sheet growth while maintaining ~10% capital targets.

Optimumbank Holdings Financial Statement Overview

Summary
Strong profitability with improving net and operating margins, excellent recent cash generation with free cash flow closely matching net income, and sharply reduced leverage in TTM. Key offsets are moderating recent revenue growth and notable year-to-year volatility in debt levels and cash-flow metrics.
Income Statement
86
Very Positive
Balance Sheet
84
Very Positive
Cash Flow
88
Very Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue78.65M71.13M64.25M39.23M22.84M11.82M
Gross Profit54.56M47.33M37.09M23.12M15.33M9.66M
EBITDA27.51M23.05M18.23M9.02M5.96M3.37M
Net Income20.49M16.65M13.12M6.28M4.02M6.30M
Balance Sheet
Total Assets1.40B1.11B932.93M791.25M585.22M351.88M
Cash, Cash Equivalents and Short-Term Investments41.28M114.56M116.40M101.02M96.94M93.36M
Total Debt5.09M52.74M102.77M126.25M22.17M37.77M
Total Liabilities1.27B989.78M829.75M721.25M522.64M313.37M
Stockholders Equity134.38M121.90M103.18M70.01M62.58M38.51M
Cash Flow
Free Cash Flow26.41M16.95M14.62M6.21M10.04M3.38M
Operating Cash Flow26.70M17.84M15.61M6.88M10.36M3.76M
Investing Cash Flow-437.33M-156.68M-125.47M-199.66M-229.80M-108.76M
Financing Cash Flow375.11M159.77M126.83M197.61M232.31M109.34M

Optimumbank Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
83
Outperform
$110.32M5.1916.39%24.01%20.16%
79
Outperform
$77.58M12.4610.69%2.53%7.71%60.72%
73
Outperform
$82.35M9.467.13%2.76%4.91%127.20%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
65
Neutral
$49.76M14.435.66%1.30%5.94%51.02%
55
Neutral
$181.59M-0.44-63.67%1.33%-35.76%-909.39%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
OPHC
Optimumbank Holdings
8.98
4.73
111.29%
ASRV
Ameriserv Financial
4.80
1.92
66.55%
HFBL
Home Federal Bancorp Of Louisiana
25.42
12.48
96.48%
BAFN
BayFirst Financial Corp
6.61
-2.41
-26.72%
TCBS
Texas Community
17.31
1.25
7.77%

Optimumbank Holdings Corporate Events

Private Placements and Financing
OptimumBank Holdings Issues Subordinated Notes for Capital
Positive
Aug 19, 2026
On August 19, 2026, OptimumBank Holding Company issued $35.0 million of 7.50% fixed‑to‑floating rate subordinated notes due September 1, 2036, in a private placement to institutional investors at par, with proceeds earmarked for genera...
Business Operations and StrategyExecutive/Board ChangesFinancial Disclosures
OptimumBank Delivers Record Q2 Earnings Amid Leadership Transition
Positive
Aug 13, 2026
In the second quarter of 2026, OptimumBank Holdings, Inc. reported record quarterly net income of $6.7 million, an 85% increase over the prior-year period, as it surpassed $1.4 billion in total assets and lifted its annualized core return on equit...
Business Operations and StrategyExecutive/Board ChangesFinancial Disclosures
OptimumBank Reports Record Second-Quarter 2026 Earnings Growth
Positive
Jul 24, 2026
OptimumBank Holdings, Inc. reported strong second-quarter 2026 results on July 24, 2026, delivering record net income of $6.7 million and net income of $11.3 million for the first half of 2026, driven by higher net interest income, rising noninter...
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: Aug 20, 2026