Confident Investing Starts With TipRanks Premium

Get 55% Off
TipRanks
Go Ultimate55% OFF

PCB Bancorp (PCB) Risk Analysis

Public companies are required to disclose risks that can affect the business and impact the stock. These disclosures are known as “Risk Factors”. Companies disclose these risks in their yearly (Form 10-K), quarterly earnings (Form 10-Q), or “foreign private issuer” reports (Form 20-F). Risk factors show the challenges a company faces. Investors can consider the worst-case scenarios before making an investment. TipRanks’ Risk Analysis categorizes risks based on proprietary classification algorithms and machine learning. PCB Bancorp disclosed 41 risk factors in its most recent earnings report. PCB Bancorp reported the most risks in the “Finance & Corporate” category.

Risk Overview Q2, 2026

Source: the company's latest filing for the period ended Jun 30, 2026, filed Aug 06, 2026

Risk Distribution
41Risks
Sector Avg.Finance & CorporateTech & InnovationLegal & RegulatoryProductionAbility to SellMacro & Political
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Risk Change Over Time

PCB Bancorp disclosed risks per quarterNo. of Risks38394041424344Q3Q4Q12023Q2Q3Q4Q12024Q2Q3Q4Q12025Q2Q4Q12026Q2Showing: Q4, 2025
Risks removedRisks addedRisks changedPCB Bancorp Risk Factors
Risk Removed (1)
  • Share Price & Shareholder Rights - Risk 1
    We may not qualify to repurchase our Series C Preferred Stock on favorable terms.

    On May 24, 2022, we sold shares of our Series C Preferred Stock to the U.S. Treasury for the purchase price of $69.1 million under the Emergency Capital Investment Program, or "ECIP." Under the ECIP program, the Treasury invested in depository institutions that are Community Development Financial Institutions or minority depository institutions ("MDIs") to encourage lending to small businesses, minority-owned businesses and consumers in low-income and underserved communities. In January of 2025, we entered into an ECIP Securities Purchase Option Agreement with Treasury that grants us or our qualifying designee may repurchase the Series C Preferred Stock, potentially at a substantial discount if we meet certain conditions (the "Repurchase Option"). To be eligible to exercise the Repurchase Option, we must, among other things, meet certain thresholds for "deep impact lending" or "qualified lending" (as defined in the ECIP's guidelines), comply with the ECIP agreements and rules, continue to qualify as an MDI, and be "well-capitalized" under federal Prompt Corrective Action guidelines. The earliest possible date by which we could exercise the repurchase options (assuming we meet all required conditions) is June 30, 2026. There can be no assurance that we will ever satisfy the lending and other requirements necessary to exercise the Repurchase Option. For additional information, see "Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations - Financial Condition - Shareholders' Equity and Regulatory Capital - Emergency Capital Investment Program"

Read and Evaluate the RiskReserved for Ultimate MembersUpgrade

Risk Highlights Q2, 2026

Main Risk Category
Finance & Corporate
With 18 Risks
Number of Disclosed Risks
41
No changes from last report
S&P 500 Average: 32
Recent Changes
0Risks added
0Risks removed
0Risks changed
Since Jun 2026
Number of Risk Changed
0
No changes from last report
S&P 500 Average: 1

Risk Word Cloud

the company relies on dividends from the bank to pay cash dividends, repurchase shares and fund its operating expenses.bank to pay cash dividendsour allowance for credit losses may not be adequate to cover actual losses in our loan portfolio.adequate to cover actual losseswe may need to raise additional capital in the future, and if we fail to maintain sufficient capital, whether due to losses, an inability to raise additional capital or otherwise, our financial condition, liquidity and results of operations, as well as our ability to maintain regulatory compliance, would be adversely affected.inability to raise additional capitalwe are subject to stringent capital requirements.subject to stringent capital requirementsthe non-guaranteed portion of sba loans that we retain on our balance sheet as well as the guaranteed portion of sba loans that we sell could expose us to various credit and default risks.guaranteed portion of sba loansthe non-guaranteed portion of sba loans that we retain on our balance sheet as well as the guaranteed portion of sba loans that we sell could expose us to various credit and default risks.non-guaranteed portion of sba loanswe are subject to extensive government regulation that could limit or restrict our activities, which in turn may adversely impact our ability to increase our assets and earnings.subject to extensive government regulationwe may need to raise additional capital in the future, and if we fail to maintain sufficient capital, whether due to losses, an inability to raise additional capital or otherwise, our financial condition, liquidity and results of operations, as well as our ability to maintain regulatory compliance, would be adversely affected.fail to maintain sufficient capitalsystem failure or breaches of our network security could subject us to increased operating costs as well as litigation and other liabilities.breaches of our network securitycompetition among u.s. banks for customer deposits is intense and may increase the cost of retaining current deposits or procuring new deposits.cost of retaining current deposits

Risk Factors Full Breakdown - Total Risks 41

Share Price & Shareholder Rights1 | 2.4%
  • Share Price & Shareholder Rights - Risk 1
    We may not qualify to repurchase our Series C Preferred Stock on favorable terms.

    On May 24, 2022, we sold shares of our Series C Preferred Stock to the U.S. Treasury for the purchase price of $69.1 million under the Emergency Capital Investment Program, or "ECIP." Under the ECIP program, the Treasury invested in depository institutions that are Community Development Financial Institutions or minority depository institutions ("MDIs") to encourage lending to small businesses, minority-owned businesses and consumers in low-income and underserved communities. In January of 2025, we entered into an ECIP Securities Purchase Option Agreement with Treasury that grants us or our qualifying designee may repurchase the Series C Preferred Stock, potentially at a substantial discount if we meet certain conditions (the "Repurchase Option"). To be eligible to exercise the Repurchase Option, we must, among other things, meet certain thresholds for "deep impact lending" or "qualified lending" (as defined in the ECIP's guidelines), comply with the ECIP agreements and rules, continue to qualify as an MDI, and be "well-capitalized" under federal Prompt Corrective Action guidelines. The earliest possible date by which we could exercise the repurchase options (assuming we meet all required conditions) is June 30, 2026. There can be no assurance that we will ever satisfy the lending and other requirements necessary to exercise the Repurchase Option. For additional information, see "Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations - Financial Condition - Shareholders' Equity and Regulatory Capital - Emergency Capital Investment Program"

Accounting & Financial Operations3 | 7.3%
Debt & Financing14 | 34.1%

See a full breakdown of risk according to category and subcategory. The list starts with the category with the most risk. Click on subcategories to read relevant extracts from the most recent report.

FAQ

What are “Risk Factors”?
Risk factors are any situations or occurrences that could make investing in a company risky. The Securities and Exchange Commission (SEC) requires that publicly traded companies disclose their most significant risk factors. This is so that potential investors can consider any risks before they make an investment. They also offer companies protection, as a company can use risk factors as liability protection. This could happen if a company underperforms and investors take legal action as a result. It is worth noting that smaller companies, that is those with a public float of under $75 million on the last business day, do not have to include risk factors in their 10-K and 10-Q forms, although some may choose to do so.
How do companies disclose their risk factors?
Publicly traded companies initially disclose their risk factors to the SEC through their S-1 filings as part of the IPO process. Additionally, companies must provide a complete list of risk factors in their Annual Reports (Form 10-K) or (Form 20-F) for “foreign private issuers”. Quarterly Reports also include a section on risk factors (Form 10-Q) where companies are only required to update any changes since the previous report. According to the SEC, risk factors should be reported concisely, logically and in “plain English” so investors can understand them.
How can I use TipRanks risk factors in my stock research?
Use the Risk Factors tab to get data about the risk factors of any company in which you are considering investing. You can easily see the most significant risks a company is facing. Additionally, you can find out which risk factors a company has added, removed or adjusted since its previous disclosure. You can also see how a company’s risk factors compare to others in its sector. Without reading company reports or participating in conference calls, you would most likely not have access to this sort of information, which is usually not included in press releases or other public announcements. A simplified analysis of risk factors is unique to TipRanks.
What are all the risk factor categories?
TipRanks has identified 6 major categories of risk factors and a number of subcategories for each. You can see how these categories are broken down in the list below. 1. Financial & Corporate Accounting & Financial Operations - risks related to accounting loss, value of intangible assets, financial statements, value of intangible assets, financial reporting, estimates, guidance, company profitability, dividends, fluctuating results. Share Price & Shareholder Rights – risks related to things that impact share prices and the rights of shareholders, including analyst ratings, major shareholder activity, trade volatility, liquidity of shares, anti-takeover provisions, international listing, dual listing. Debt & Financing – risks related to debt, funding, financing and interest rates, financial investments. Corporate Activity and Growth – risks related to restructuring, M&As, joint ventures, execution of corporate strategy, strategic alliances. 2. Legal & Regulatory Litigation and Legal Liabilities – risks related to litigation/ lawsuits against the company. Regulation – risks related to compliance, GDPR, and new legislation. Environmental / Social – risks related to environmental regulation and to data privacy. Taxation & Government Incentives – risks related to taxation and changes in government incentives. 3. Production Costs – risks related to costs of production including commodity prices, future contracts, inventory. Supply Chain – risks related to the company’s suppliers. Manufacturing – risks related to the company’s manufacturing process including product quality and product recalls. Human Capital – risks related to recruitment, training and retention of key employees, employee relationships & unions labor disputes, pension, and post retirement benefits, medical, health and welfare benefits, employee misconduct, employee litigation. 4. Technology & Innovation Innovation / R&D – risks related to innovation and new product development. Technology – risks related to the company’s reliance on technology. Cyber Security – risks related to securing the company’s digital assets and from cyber attacks. Trade Secrets & Patents – risks related to the company’s ability to protect its intellectual property and to infringement claims against the company as well as piracy and unlicensed copying. 5. Ability to Sell Demand – risks related to the demand of the company’s goods and services including seasonality, reliance on key customers. Competition – risks related to the company’s competition including substitutes. Sales & Marketing – risks related to sales, marketing, and distribution channels, pricing, and market penetration. Brand & Reputation – risks related to the company’s brand and reputation. 6. Macro & Political Economy & Political Environment – risks related to changes in economic and political conditions. Natural and Human Disruptions – risks related to catastrophes, floods, storms, terror, earthquakes, coronavirus pandemic/COVID-19. International Operations – risks related to the global nature of the company. Capital Markets – risks related to exchange rates and trade, cryptocurrency.