OP Bancorp (NASDAQ:OPBK) Releases Quarterly Earnings Results, Beats Estimates By $0.02 EPS

OP Bancorp (NASDAQ:OPBK) announced its quarterly earnings results on Thursday. The company reported $0.52 EPS for the quarter, beating analysts’ consensus estimates of $0.50 by $0.02, FiscalAI reports. OP Bancorp had a return on equity of 12.59% and a net margin of 16.87%. The company had revenue of $27.50 million during the quarter, compared to analysts’ expectations of $26.50 million.

OP Bancorp Trading Down 0.1%

Shares of NASDAQ OPBK traded down $0.01 during trading on Friday, reaching $15.01. The company had a trading volume of 921 shares, compared to its average volume of 41,696. The company’s fifty day moving average price is $15.18 and its 200-day moving average price is $14.81. OP Bancorp has a 12 month low of $12.41 and a 12 month high of $16.83. The stock has a market cap of $224.02 million, a P/E ratio of 7.77 and a beta of 0.62. The company has a quick ratio of 1.01, a current ratio of 1.02 and a debt-to-equity ratio of 0.42.

OP Bancorp Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, November 19th. Shareholders of record on Thursday, November 5th will be issued a dividend of $0.14 per share. The ex-dividend date of this dividend is Thursday, November 5th. This represents a $0.56 annualized dividend and a yield of 3.7%. OP Bancorp’s payout ratio is presently 29.02%.

Key Headlines Impacting OP Bancorp

Here are the key news stories impacting OP Bancorp this week:

• Positive Sentiment: Dividend maintained: OP Bancorp declared a quarterly cash dividend of $0.14 per share, payable November 19 to shareholders of record on November 5. The $0.56 annualized payout implies a yield of approximately 3.6%–3.7%, supporting the stock’s income appeal. OP Bancorp Declares Quarterly Cash Dividend
• Positive Sentiment: Year-over-year earnings growth: Third-quarter net income rose to $7.8 million, or $0.52 per diluted share, from $6.7 million, or $0.45 per share, a year earlier. Revenue reached $27.5 million, exceeding the $26.5 million estimate cited by MarketBeat. OP Bancorp Earnings Report
• Positive Sentiment: Improved core banking trends: Net interest income increased 11% sequentially to $22.2 million, while net interest margin expanded 19 basis points to 3.27%. Deposits grew 3% to $2.43 billion and gross loans rose 1% to $2.29 billion. OP Bancorp Third-Quarter Net Income
• Neutral Sentiment: Mixed earnings comparisons: EPS of $0.52 topped the $0.50 consensus estimate reported by MarketBeat but fell short of Zacks’ $0.53 estimate. Net income also declined from $8.0 million in the second quarter, creating a mixed near-term earnings signal. OP Bancorp Q3 Earnings
• Negative Sentiment: Higher credit costs: The provision for credit losses climbed to $1.60 million from a $149,000 reversal in the prior quarter, potentially weighing on future profitability if credit conditions deteriorate.
• Negative Sentiment: Insider selling: Recent disclosures show three insider sales and no purchases over the past six months, including 21,818 shares sold by Chief Operating Officer Christine Yoon Oh.

Wall Street Analysts Forecast Growth

OPBK has been the subject of several research reports. DA Davidson increased their target price on OP Bancorp from $17.00 to $18.00 and gave the company a “buy” rating in a research report on Tuesday, July 28th. Zacks Research cut OP Bancorp from a “strong-buy” rating to a “hold” rating in a report on Monday, September 28th. Wall Street Zen downgraded OP Bancorp from a “buy” rating to a “hold” rating in a research note on Saturday, August 15th. Keefe, Bruyette & Woods raised their price objective on shares of OP Bancorp from $17.00 to $17.50 and gave the company a “market perform” rating in a report on Monday, July 27th. Finally, Weiss Ratings reiterated a “buy (b)” rating on shares of OP Bancorp in a research report on Monday, September 14th. Two equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $17.75.

About OP Bancorp

OP Bancorp is the bank holding company for Open Bank, a full-service commercial bank headquartered in Los Angeles, California. Open Bank primarily serves small and medium-sized businesses, entrepreneurs, professionals and individuals, with a focus on relationship-based banking.

The bank offers commercial and consumer deposit products, commercial real estate and business loans, residential mortgage loans, lines of credit and other lending services. It also provides online and mobile banking, treasury management and other services designed to support business and personal financial needs.

Open Bank was established to serve the banking needs of diverse communities, including Korean American and other Asian American customers.