Core Insights - The article emphasizes the importance of value investing and the use of various valuation metrics to identify strong stocks in any market condition [1][2] Company Overview - Amalgamated Financial (AMAL) is highlighted as a stock to watch, currently holding a Zacks Rank of 2 (Buy) and an A rating for Value [3] - AMAL has a Forward P/E ratio of 7.27, which is lower than the industry average of 8.86 [3] - Over the past 12 months, AMAL's Forward P/E has fluctuated between a high of 10.97 and a low of 6.91, with a median of 8.53 [3] Valuation Metrics - The P/S ratio for AMAL is 1.87, significantly lower than the industry average of 3.34, indicating a potentially undervalued stock [4] - AMAL's P/CF ratio stands at 7.51, compared to the industry's average of 8.59, suggesting an attractive valuation based on cash flow [5] - Over the past 52 weeks, AMAL's P/CF has ranged from a high of 10.58 to a low of 6.90, with a median of 8.38 [5] Investment Outlook - The combination of the aforementioned metrics suggests that Amalgamated Financial is likely undervalued, making it a strong candidate for value investors [6]

Financial Performance - Net income for Q3 2025 was $26.8 million, or $0.88 per diluted share, compared to $27.9 million, or $0.90 per diluted share for Q3 2024, reflecting a decrease of $1.2 million[173]. - For the nine months ended September 30, 2025, net income was $77.8 million, or $2.53 per diluted share, down from $81.9 million, or $2.65 per diluted share for the same period in 2024, a decrease of $4.1 million[174]. - Non-interest income for the third quarter of 2025 was $9.2 million, up from $8.9 million in Q3 2024, attributed to a decrease in losses on sale of loans and an increase in equity investments income[194]. - Non-interest income for the nine months ended September 30, 2025, was $23.6 million, a decrease of $4.8 million compared to $28.4 million for the same period in 2024[195]. Asset and Loan Growth - As of September 30, 2025, total assets were $8.68 billion, total loans net of allowance for credit losses were $4.73 billion, total deposits were $7.77 billion, and stockholders' equity was $775.6 million[153]. - Total assets increased to $8.68 billion as of September 30, 2025, up from $8.26 billion at the end of 2024, with notable increases in deposits and securities[202]. - Total loans receivable increased by $119.5 million from December 31, 2024, reflecting growth in the loan portfolio[202]. - Total loans, net of deferred origination fees and costs, increased to $4.73 billion as of September 30, 2025, compared to $4.61 billion at December 31, 2024, marking a growth of 2.6%[217]. Credit Quality and Loss Provisions - The provision for credit losses increased by $3.5 million in Q3 2025 and by $4.2 million for the nine months ended September 30, 2025, indicating a growing concern over credit quality[173][174]. - Provision for credit losses increased to $5.3 million in Q3 2025 from $1.8 million in Q3 2024, mainly due to charge-offs in consumer solar and business banking portfolios[189]. - The allowance for credit losses decreased by $3.6 million to $56.5 million at September 30, 2025, with a ratio of allowance to total loans at 1.18%[230]. - Potential problem loans amounted to $150.6 million, or 1.7% of total assets, at September 30, 2025, compared to $109.4 million, or 1.3% at December 31, 2024[235][236]. Interest Income and Margins - Net interest income for Q3 2025 was $76.4 million, a 6.0% increase from $72.1 million in Q3 2024, driven by higher yields and average balances on interest-earning assets[178]. - The net interest spread increased to 2.51% in Q3 2025 from 1.90% in Q3 2024, an increase of 61 basis points[179]. - The net interest margin for Q3 2025 was 3.60%, up 9 basis points from 3.51% in Q3 2024, attributed to increases in yields and average balances on interest-earning assets[179]. - Interest income for the third quarter of 2025 was $6.8 million, an increase of $4.3 million compared to the same period in 2024, primarily driven by a net increase in total loans[187]. Deposits and Liquidity - Total deposits increased to $7.77 billion at September 30, 2025, up from $7.18 billion at December 31, 2024[240]. - Estimated uninsured deposits were $4.07 billion at September 30, 2025, an increase from $3.71 billion at December 31, 2024[243]. - The liquidity position is supported by management of liquid assets and access to alternative funding sources, ensuring adequate liquidity to meet current and future needs[252]. - Total liquidity available within two days was $4.15 billion, covering 102% of total uninsured deposits[255]. Securities and Investments - The company had available-for-sale securities of $1.98 billion as of September 30, 2025, compared to $1.63 billion at the end of 2024[206]. - Total securities increased to $3.50 billion as of September 30, 2025, up from $3.22 billion at December 31, 2024, representing a growth of 8.6%[214]. - The company purchased $826.7 million in securities during the nine months ended September 30, 2025, compared to $793.4 million in the same period of 2024, reflecting a 4.2% increase[207]. - The company reported a net realized loss of $2.9 million from the sale of available-for-sale securities during the nine months ended September 30, 2025, compared to a loss of $8.7 million in the same period of 2024[207]. Capital and Equity - Total stockholders' equity rose to $775.6 million at September 30, 2025, compared to $707.7 million at December 31, 2024, an increase of $67.9 million[256]. - The company maintained a Tier 1 capital to risk-weighted assets ratio of 14.21% as of September 30, 2025, exceeding the minimum requirement of 6.00%[259]. - The company is categorized as "well capitalized" under prompt corrective action measures and meets capital conservation buffer requirements[260]. Operational and Strategic Initiatives - The Company is committed to being a socially responsible financial partner, holding B Corporation certification and being a member of the Global Alliance for Banking on Values[156]. - The Company operates three branch offices in New York City, one in Washington, D.C., one in San Francisco, and a commercial office in Boston, alongside a digital banking platform[154]. - The Company offers a wide range of investment products, including both index and actively-managed funds, tailored to socially responsible clients[155]. - The company entered into a fifteen-year lease agreement for its headquarters, with a base rent commencing at $6.2 million per annum, escalating by approximately 9% and 8% at specified intervals[261].

Core Viewpoint - Amalgamated Financial (AMAL) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook based on rising earnings estimates, which significantly influence stock prices [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system emphasizes the importance of changing earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - Institutional investors utilize earnings estimates to determine the fair value of stocks, leading to buying or selling actions that affect stock prices [4]. Recent Performance and Outlook - Amalgamated Financial is projected to earn $3.62 per share for the fiscal year ending December 2025, with no year-over-year change expected [8]. - Over the past three months, the Zacks Consensus Estimate for Amalgamated Financial has increased by 2%, reflecting a positive trend in earnings estimates [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly for Zacks Rank 1 stocks, which have averaged a +25% annual return since 1988 [7]. - The upgrade to Zacks Rank 2 places Amalgamated Financial in the top 20% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [10].

Core Insights - The article emphasizes the importance of value investing as a successful strategy across various market conditions, focusing on fundamental analysis and traditional valuation metrics to identify undervalued stocks [2] Company Overview - Amalgamated Financial (AMAL) is highlighted as a stock to watch, currently holding a Zacks Rank of 2 (Buy) and an A rating for Value [4] - AMAL's P/E ratio stands at 7.27, significantly lower than the industry average of 8.82, indicating potential undervaluation [4] - The stock's Forward P/E has fluctuated between 10.97 and 6.91 over the past year, with a median of 8.53 [4] Valuation Metrics - The P/S ratio for AMAL is 1.86, compared to the industry average of 3.32, suggesting that AMAL is undervalued based on sales performance [5] - AMAL's P/CF ratio is 7.51, which is attractive relative to the industry's average of 8.57, indicating a solid cash outlook [6] - Over the past 12 months, AMAL's P/CF has ranged from 10.58 to 6.90, with a median of 8.38 [6] Investment Outlook - The combination of the aforementioned metrics suggests that Amalgamated Financial is likely undervalued, and its strong earnings outlook positions it as one of the market's strongest value stocks [7]

Group 1 - The article does not provide any relevant content regarding company or industry insights [1]

Group 1 - The article does not provide any relevant content regarding company or industry insights [1]

Financial Data and Key Metrics Changes - Core earnings per share for Q3 2025 was $0.91, with year-to-date core EPS at $2.66, reflecting a 3% growth compared to the previous year [3][9] - Net income was reported at $26.8 million, or $0.88 per diluted share, while core net income was $27.6 million, or $0.91 per diluted share [9] - Net interest income increased by 4.9% to $76.4 million, with a net interest margin rising by 5 basis points to 3.6% [9][10] - Non-performing assets decreased by $12.2 million, or 34.6%, to $23 million, representing 0.26% of total assets [4] Business Line Data and Key Metrics Changes - Loans grew by $99 million across growth mode portfolios, achieving a 3.3% growth rate, up from 2.1% in the previous quarter [5] - The PACE portfolio saw total assessments grow by $27.4 million, with CPACE growing over 8% [5] - Deposits increased by over $415 million, with notable growth in the political segment (up $235 million, or 19%) and climate and sustainability segment (up $86 million, or 21%) [6] Market Data and Key Metrics Changes - Total on-balance sheet deposits increased by $149 million, or 1.9%, to $7.6 billion, with an additional $265 million held off-balance sheet [10] - The tangible book value per share increased by $0.98, or 4%, to $25.31, marking a 46% growth since September 2021 [10] Company Strategy and Development Direction - The company is investing in a fully integrated digital modernization platform to enhance productivity and customer understanding [7] - Management is focused on maintaining a balanced and predictable contribution from lending channels while monitoring the policy debate in New York City [8] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the bank's performance and growth potential, emphasizing the quality and sustainability of earnings [3][7] - The company raised its full-year 2025 core pre-tax pre-provision earnings guidance to $164 to $165 million [16] Other Important Information - The allowance for credit losses on loans decreased by $2.5 million to $56.5 million, with a ratio of 1.18% [15] - The bank received a revised outlook to positive from KBRA during its annual credit rating surveillance report [14] Q&A Session Summary Question: What is the $1.9 million specific reserve against? - The specific reserve is related to a multifamily property with an updated appraisal indicating a change in loan-to-value [20] Question: How would a rent freeze impact the rent-regulated multifamily business? - Management does not expect significant impact in the next 18 to 24 months and sees potential upside in balanced housing approaches [23][24] Question: Concerns about federal funding for green energy projects? - Management is confident in existing projects as funding streams are locked in, and they see continued demand for financing in the renewable energy sector [26][28] Question: How to position the company against regulatory scrutiny? - The company focuses on compliance with laws and regulations, emphasizing strong performance and risk management [31][32] Question: Insights on expenses and future guidance? - Expenses are on track with the $170 million annual target, with potential upside if Q4 expenses align with Q3 [40][41] Question: Expectations for loan yields and new originations? - Loan yields are expected to decline due to anticipated rate cuts, with strong origination performance noted in the C&I portfolio [42][44]

Financial Data and Key Metrics Changes - Core earnings per share for Q3 2025 was $0.91, with year-to-date core EPS at $2.66, reflecting a 3% growth compared to the previous year [3][9] - Net income was reported at $26.8 million, or $0.88 per diluted share, while core net income was $27.6 million, or $0.91 per diluted share [9] - Net interest income increased by 4.9% to $76.4 million, with a net interest margin rising by 5 basis points to 3.6% [9][10] - Non-performing assets decreased by $12.2 million, or 34.6%, to $23 million, representing 0.26% of total assets [4] Business Line Data and Key Metrics Changes - Loans grew by $99 million across multifamily, CRE, and C&I portfolios, marking a 3.3% growth, up from 2.1% in the previous quarter [5][6] - The PACE portfolio saw total assessments grow by $27.4 million, with CPACE growing over 8% [5] - Deposits increased by over $415 million, with notable growth in the political segment (19% increase) and climate and sustainability segment (21% increase) [6] Market Data and Key Metrics Changes - Total on-balance sheet deposits increased by $149 million, or 1.9%, to $7.6 billion, with an additional $265 million held off-balance sheet [10] - The tangible book value per share increased by $0.98, or 4%, to $25.31, growing over 46% since September 2021 [10] Company Strategy and Development Direction - The company is investing in a fully integrated digital modernization platform to enhance productivity and customer understanding [7] - Management is optimistic about future growth, emphasizing the importance of geographic diversity in managing loan growth targets [8] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the ongoing credit cycle and the need for early disclosure and decisive resolution of credit issues [4] - The company raised its full-year 2025 core pre-tax pre-provision earnings guidance to $164 million-$165 million [16] Other Important Information - The allowance for credit losses on loans decreased by $2.5 million to $56.5 million, with the ratio of allowance to total loans at 1.18% [15] - The company plans to continue share buybacks until the share price reflects forward earnings projections [11] Q&A Session Summary Question: Specific reserve mentioned on page 11 - The specific reserve of $1.9 million is related to a multifamily property with an updated appraisal indicating a change in LTV [19][20] Question: Impact of potential rent freezes in New York City - Management does not expect significant impact from potential rent freezes in the next 18-24 months and sees potential upside in balanced housing approaches [22][24] Question: Concerns about federal funding for green energy projects - Management feels secure about existing projects as funding streams are locked in, and they are seeing acceleration in project transactions [25][26][30] Question: Positioning against regulatory scrutiny - The company focuses on compliance with laws and regulations, emphasizing strong performance and risk management to mitigate regulatory risks [31][32] Question: Expense management and guidance - Expenses are on track with the $170 million annual target, with potential upside if Q4 expenses align with Q3 levels [38][41] Question: Loan yields and new originations - Loan yields are expected to decline due to anticipated rate cuts, with new originations showing strong performance in the C&I and PACE portfolios [42][44]

Financial Data and Key Metrics Changes - Core earnings per share for Q3 2025 was $0.91, with year-to-date core EPS at $2.66, reflecting a 3% growth compared to the previous year [5][16] - Net income was reported at $26.8 million or $0.88 per diluted share, while core net income was $27.6 million or $0.91 per diluted share [16] - Net interest income increased by 4.9% to $76.4 million, with net interest margin rising by five basis points to 3.6% [16][17] - Non-performing assets decreased by 34.6% to $12.2 million, representing 0.26% of total assets, and credit quality improved to $79.2 million or 1.67% of total loans [8][16] Business Line Data and Key Metrics Changes - Loans grew by $99 million across multifamily, commercial real estate (CRE), and commercial and industrial (C&I) portfolios, marking a 3.3% growth [11] - The PACE portfolio saw total assessments grow by $27.4 million, with C-PACE growing over 8% [11] - Deposits increased by $415 million, with notable growth in the political segment (19% increase) and climate and sustainability segment (21% increase) [12] Market Data and Key Metrics Changes - Total on-balance sheet deposits increased by $149 million or 1.9% to $7.6 billion, with an additional $265 million held off-balance sheet [17] - The average spot rate paid in deposits declined by eight basis points following a Fed rate cut [17] Company Strategy and Development Direction - The company is investing in a fully integrated digital modernization program to improve productivity and customer understanding [13] - Geographic diversity is emphasized to manage future loan growth targets, with a focus on the evolving policy landscape in New York City [14] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the bank's performance and ability to handle challenges, noting the importance of transparency in credit disclosures [9][14] - The company raised its full-year 2025 core pre-tax pre-provision earnings guidance to $164-$165 million and tightened net interest income guidance to $295-$296 million [23] Other Important Information - The tangible book value per share increased by 4% to $25.31, with a 46% growth since the previous CEO's first full quarter [17] - The allowance for credit losses on loans decreased to $56.5 million, with a ratio of 1.18% [22] Q&A Session Summary Question: Specific reserve mentioned on Page 11 - The specific reserve of $1.9 million is related to a multifamily property that underwent an appraisal, leading to a change in loan-to-value (LTV) [27][28] Question: Impact of potential rent freezes in New York - Management does not expect significant impact from potential rent freezes in the next 18-24 months, citing other tools for housing development [30][32] Question: Concerns about federal funding for green energy projects - Management reassured that existing projects are secure as they are already underway, despite federal funding changes [37][41] Question: Positioning against regulatory scrutiny - The company focuses on compliance with laws and regulations, emphasizing strong performance and risk management to mitigate regulatory risks [43][44] Question: Expense management and future projections - Management indicated that expenses are on track with the annual target of $170 million, with potential upside if expenses remain consistent [47][50] Question: Loan yields and new originations - Loan yields are expected to decline due to anticipated rate cuts, with current origination yields remaining strong [52][56]

Financial Data and Key Metrics Changes - Core earnings per share for Q3 2025 was $0.91, with year-to-date core EPS at $2.66, reflecting a 3% growth compared to the previous year [3][9] - Net income was reported at $26.8 million, or $0.88 per diluted share, while core net income was $27.6 million, or $0.91 per diluted share [9] - Net interest income increased by 4.9% to $76.4 million, with a net interest margin rising by 5 basis points to 3.6% [9][10] - Non-performing assets decreased by $12.2 million, or 34.6%, to $23 million, representing 0.26% of total assets [4][10] Business Line Data and Key Metrics Changes - Loans grew by $99 million across growth mode portfolios, achieving a 3.3% growth rate, up from 2.1% in the previous quarter [5][6] - The PACE portfolio saw total assessments grow by $27.4 million, with CPACE growing over 8% [5] - Deposits increased by $415 million, with notable growth in the political segment (19% increase) and climate and sustainability segment (21% increase) [6][10] Market Data and Key Metrics Changes - Total on-balance sheet deposits increased by $149 million, or 1.9%, to $7.6 billion [10] - The tangible book value per share increased by $0.98, or 4%, to $25.31, marking a 46% growth since September 2021 [10] Company Strategy and Development Direction - The company is investing in a fully integrated digital modernization platform to enhance productivity and customer understanding [7] - The focus remains on maintaining a balanced and predictable contribution from lending channels while managing geographic diversity [8] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, highlighting strong deposit growth and a solid credit portfolio [6][7] - The company raised its full-year 2025 core pre-tax pre-provision earnings guidance to $164 to $165 million [16] Other Important Information - The allowance for credit losses on loans decreased by $2.5 million to $56.5 million, with a ratio of 1.18% [15] - The company plans to continue share buybacks until the share price reflects forward earnings projections [11] Q&A Session Summary Question: Specific reserve mentioned on page 11 - The specific reserve of $1.9 million is related to a multifamily property with an updated appraisal indicating a change in LTV [19][20] Question: Impact of potential rent freezes in New York City - Management does not expect significant impact in the next 18 to 24 months and is monitoring the situation closely [21][22][23] Question: Concerns about federal funding for green energy projects - Existing projects are secure as funding streams are locked in, and the company is seeing acceleration in project transactions [24][25][26][30] Question: Positioning against regulatory scrutiny - The company focuses on compliance with laws and regulations, emphasizing solid performance and risk management [31][32] Question: Expense management and guidance - Expenses are on track with the $170 million annual target, with potential upside if Q4 expenses align with Q3 [35][39] Question: Loan yields and new originations - Loan yields are expected to decline due to anticipated rate cuts, with current origination yields remaining strong [40][42]