Ottawa Bancorp (OTTW) AI Stock Analysis

Ottawa Bancorp

(Other OTC:OTTW)

Select Model

Rating:76Outperform

Price Target:$21.00▲(9.20% Upside)

Action:reiterated

Date:08/21/26

OTTW's solid score is driven by robust technical momentum and a successful financial turnaround following a challenging 2024. The stock is in a strong uptrend and benefits from restored top-line growth and effective debt reduction. While its valuation remains fair and offers a reliable dividend yield, the overall rating is capped by lingering long-term margin compression and a low return on equity.

Positive Factors

Revenue and Earnings GrowthFaster revenue growth and sharply higher net income indicate improved operating momentum and product or market traction. If sustained, this can strengthen the bank’s earnings base over the next several quarters.

Negative Factors

Low Return on EquityLow ROE shows that the bank is generating limited profit from its equity base. Persistently weak capital productivity can constrain earnings compounding and reduce the benefit of balance-sheet growth for shareholders.

Ottawa Bancorp (OTTW) vs. SPDR S&P 500 ETF (SPY)

Market Cap: $60.02M
Dividend Yield: 2.29%
Average Volume (3M): 10.74K
Price to Earnings (P/E): 19.2
Beta (1Y): 0.08
Revenue Growth: 8.98%
EPS Growth: 47.90%
Country: US
Employees: 74
Sector: Financial
Sector Strength: 68
Industry: Banks - Regional

Ottawa Bancorp Business Overview & Revenue Model

Company Description

Ottawa Bancorp, Inc. operates as the bank holding company for OSB Community Bank, a savings bank that provides various financial services to individual and corporate customers in Illinois. The company offers saving, checking, money market, and intere...

How the Company Makes Money

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Ottawa Bancorp Financial Statement Overview

Summary

Ottawa Bancorp demonstrated a successful operational turnaround with 15.8% revenue growth, aggressive balance sheet deleveraging, and restored positive free cash flow. However, depressed net margins and a sluggish 4.0% return on equity constrain the score.

Income Statement

65Positive

Balance Sheet

75Positive

Cash Flow

70Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	19.58M	18.48M	16.83M	16.20M	14.55M	14.89M
Gross Profit	12.62M	11.55M	9.69M	10.70M	11.50M	13.20M
EBITDA	3.20M	2.75M	1.44M	2.61M	3.61M	4.33M
Net Income	2.30M	1.68M	778.14K	1.67M	2.38M	2.90M
Balance Sheet
Total Assets	355.65M	362.59M	353.65M	363.92M	357.70M	342.53M
Cash, Cash Equivalents and Short-Term Investments	9.38M	37.06M	17.01M	32.18M	32.01M	39.47M
Total Debt	17.02M	17.10M	23.63M	32.45M	20.85M	16.52M
Total Liabilities	313.08M	320.89M	313.45M	320.59M	314.56M	294.48M
Stockholders Equity	42.57M	41.70M	40.20M	43.33M	43.14M	48.04M
Cash Flow
Free Cash Flow	0	3.30M	-872.51K	3.03M	3.49M	2.73M
Operating Cash Flow	0	3.43M	-618.32K	3.10M	3.57M	2.98M
Investing Cash Flow	0	-1.99M	9.79M	-2.32M	-15.22M	-38.93M
Financing Cash Flow	0	5.87M	-10.05M	1.75M	16.00M	32.09M

Ottawa Bancorp Risk Analysis

Ottawa Bancorp disclosed 27 risk factors in its most recent earnings report. Ottawa 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

2 New Risks

1.The recent global coronavirus (COVID-19) pandemic has led to periods of significant volatility in financial, commodities and other markets and could harm our business and results of operations.Q1, 2020

2.The spread of the COVID-19 outbreak and the governmental responses may disrupt banking and other financial activity in the areas in which we operate and could potentially create widespread business continuity issues for us.Q1, 2020

Ottawa Bancorp Peers Comparison

Overall Rating

UnderperformOutperform

Sector (68)

Financial Indicators

OTTW against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OPHC	83Outperform	$115.50M	5.29	16.39%	―	24.01%	20.16%
OTTW	76Outperform	$60.02M	19.23	5.50%	2.29%	8.98%	47.90%
CLST	68Neutral	$69.99M	24.10	3.06%	―	31.73%	17.80%
Sector *	68Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
TCBS	65Neutral	$49.87M	14.34	6.14%	1.44%	5.94%	51.02%
HFBL	64Neutral	$69.25M	10.68	11.12%	2.43%	7.94%	43.98%

* Financial Sector Average

Performance Comparison

OTTW and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
OTTW	Ottawa Bancorp, Inc.	19.23	4.15	27.52%
HFBL	Home Federal Bancorp Inc. Of Louisiana	22.85	6.90	43.23%
OPHC	Optimumbank	9.15	5.05	123.17%
TCBS	Texas Community Bancshares, Inc.	17.36	1.70	10.83%
CLST	Catalyst Bancorp, Inc.	17.35	3.10	21.75%

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 21, 2026

Ottawa Bancorp AI Stock Analysis