tiprankstipranks
Southern Michigan Bancorp Inc (SOMC)
OTHER OTC:SOMC
US Market
Want to see SOMC full AI Analyst Report?

Southern Michigan Bancorp (SOMC) AI Stock Analysis

7 Followers

Top Page

SOMC

Southern Michigan Bancorp

(OTC:SOMC)

Select Model
Select Model
Select Model
Outperform 73 (OpenAI - 5.2)
Rating:73Outperform
Price Target:
$35.00
▲(11.15% Upside)
Action:Reiterated
Date:08/06/26
The score is driven primarily by solid financial performance, highlighted by strong 2025 revenue and cash-flow improvement alongside manageable leverage, though tempered by margin compression and historical volatility. Technicals add support with price above key moving averages and neutral-to-positive momentum. Valuation contributes positively with a reasonable P/E and a modest dividend yield.
Positive Factors
Strong Revenue and Earnings Growth
The sharp 2025 revenue acceleration and accompanying earnings increase indicate stronger operating scale and customer activity. If sustained, this growth can expand the community bank’s earnings base and improve its ability to invest in products, staffing, and market coverage.
Negative Factors
Margin Compression
The decline in profitability margins suggests that revenue growth is not translating into earnings as efficiently as before. Persistent pressure from funding costs, loan pricing, operating expenses, or credit provisions could limit future earnings growth and returns.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Revenue and Earnings Growth
The sharp 2025 revenue acceleration and accompanying earnings increase indicate stronger operating scale and customer activity. If sustained, this growth can expand the community bank’s earnings base and improve its ability to invest in products, staffing, and market coverage.
Read all positive factors

Southern Michigan Bancorp (SOMC) vs. SPDR S&P 500 ETF (SPY)

Southern Michigan Bancorp Business Overview & Revenue Model

Company Description
Southern Michigan Bancorp, Inc. serves as the bank holding company for Southern Michigan Bank & Trust, delivering a comprehensive array of commercial banking solutions. These services cater to individuals, businesses, institutions, and governmenta...
How the Company Makes Money
Southern Michigan Bancorp makes money primarily through its community banking operations. Its largest revenue driver is typically net interest income: the bank earns interest and fee income on loans and other interest-earning assets (such as comme...

Southern Michigan Bancorp Financial Statement Overview

Summary
Overall fundamentals are solid, led by a sharp 2025 revenue acceleration ($48.6M to $93.2M) and improved cash generation (operating cash flow $22.1M; free cash flow $20.3M). Profitability remains healthy (net margin ~13%, EBIT margin ~15%), and leverage looks manageable with debt-to-equity improving to ~1.10. The score is tempered by margin compression versus prior years and notable year-to-year volatility in revenue and free cash flow.
Income Statement
74
Positive
Balance Sheet
63
Positive
Cash Flow
70
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue96.16M93.17M48.56M46.81M51.51M46.15M
Gross Profit56.29M54.06M48.56M73.31M51.51M46.15M
EBITDA14.52M14.39M14.02M14.94M17.48M15.51M
Net Income12.32M12.21M10.40M10.90M13.49M11.76M
Balance Sheet
Total Assets1.68B1.69B1.50B1.42B1.28B1.16B
Cash, Cash Equivalents and Short-Term Investments81.17M110.38M69.50M73.09M75.70M117.85M
Total Debt133.51M134.08M117.98M146.54M89.25M77.92M
Total Liabilities1.56B1.57B1.39B1.32B1.19B1.07B
Stockholders Equity126.25M121.48M107.22M97.83M86.16M97.75M
Cash Flow
Free Cash Flow0.0020.26M2.85M7.90M8.36M9.90M
Operating Cash Flow0.0022.11M7.84M16.24M13.19M13.68M
Investing Cash Flow0.00-157.40M-76.58M-141.57M-179.38M-148.72M
Financing Cash Flow0.00175.92M66.36M119.69M124.06M154.82M

Southern Michigan Bancorp Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
80
Outperform
$127.82M10.429.59%1.92%7.51%20.96%
73
Outperform
$144.37M11.8810.09%2.10%10.57%6.03%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
63
Neutral
$145.03M44.081.80%1.06%6.46%1.90%
60
Neutral
$117.61M9.1114.72%6.06%10.15%28.62%
58
Neutral
$117.09M43.691.83%21.45%
55
Neutral
$106.15M-27.82-2.50%1.50%-11.21%-176.24%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SOMC
Southern Michigan Bancorp
31.49
7.13
29.25%
MGYR
Magyar Bancorp
19.80
2.87
16.92%
RVSB
Riverview Bancorp
5.32
0.35
6.96%
UNB
Union Bankshares
23.78
-0.75
-3.05%
BSBK
Bogota Financial
9.18
-0.31
-3.32%
SRBK
SR Bancorp, Inc.
19.76
4.94
33.32%
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 06, 2026